BUDGET: Record spending on health
21/9/2006

The single largest health spending on record will be delivered in this Budget – including an extra $640 million over the next four years - pushing the spending on the State’s health system to a record $3 billion in 2006-07.

 

In addition, efficiencies of $82.3 million made within the Health portfolio through reducing administration costs over the next four years will be redirected to front-line health services.

 

“South Australia has a world-class health system. However it continues to face growing pressures from an ageing population,” Treasurer Kevin Foley said.

 

“The Rann Labor Government is committed to making our hospitals even better and the massive boost of extra money will help to do this.”

 

The $640 million in new money will include $400 million on extra funding that is enough for an additional 100,000 patient admissions over four years.

 

The government will deliver on health election commitments and other health initiatives including:

  • 16,000 elective surgery procedures over four years from our $38m election package
  • A $12.9m dental package to give restorative dental care to 28,000 people over the next four years, with waiting times to be cut to 10 months
  • A $52m package to build three planned GP Plus Health Care Centres across Adelaide and fund 50 nurses to go into GP clinics to provide support
  • $88m over the next four years towards the $145m redevelopment of Flinders Medical Centre
  • An extra $17.5m will be budgeted to operate Modbury Hospital as a public hospital
  • $9.8m in additional funding for the next stage of the Lyell McEwin Hospital redevelopment. This next stage of the redevelopment has been expanded to a $43.5m project and now includes an extended emergency care unit
  • $19.9m has been allocated for 56 new mental health workers to provide services in GPs’ offices and therapy for young people
  • $4.8m over four years will fund a new SA Ambulance station at McLaren Vale to be built this financial year
  • $14.4m over four years for addition emergency department doctors for public hospitals
  • $11.6m for extra doctors and specialists in our hospitals
  • $6m to expand the Family Home Visiting program for families with newborns
  • $20.8m over four years to buy more state-of-the-art medical equipment
  • $2m over four years to buy 30 places in our universities for South Australian medical students.

Minister for Health John Hill said this clearly showed that the health of the community was paramount to this Government.

 

“Extra money will not only go to our hospitals for more elective surgery, and to prepare our hospitals for the ever-increasing demand on their services, but will support health services across the State,” Mr Hill said.

 

“This year we have seen historic levels of demand in our emergency departments across our public hospitals. We have a strategy in place and it is due to the hard-working staff at our hospitals that the system is coping.

 

“We are also looking to the future and spending to provide greater support for GPs and to build up primary health care services for South Australians to keep them healthy and out of hospitals.

 

“We are spending more than ever to provide better health – but we need South Australians to come on board and take care of themselves as well to prevent illness.”

 

Efficiencies will be made over the next four years in the Health Portfolio including:

  • $47m in efficiency dividends
  • $21.6m in operational savings through changes to administrative arrangements in Metropolitan Health Service
  • $7.3m in head office administration savings
  • $2.2m by consolidating Public Pathology services into a single provider
  • $3m in reduced energy cost at the RAH and FMC through cogeneration of electricity services
  • $1.2m in reduced administration costs for the SA Ambulance Service.