Country Ready For Debate On Health Funding

Health Minister Bill English said today the country was ready for debate on the relationship between improving the health of New Zealanders and Government funding on health services.

A Ministry of Health report, Sustainable Funding Package for the Health and Disability Sector, which was released today, provided a good starting point for that debate, he said.

"Over recent years we have spent a lot of time discussing fairly technical policy issues, such as whether an area health board is better than a Crown health enterprise and a regional health authority.

"It has left people ever more confused and sceptical about what services they can expect and the Government's ability to deliver them.

"What we do need to discuss publicly is the perceived health needs of New Zealanders and how that is related to the level of funding for health. The Sustainable Funding report proposes a means of making that decision.

"As a country I think we are ready for this debate. People now realise that health services have an insatiable apetite for money and we must put the brakes on somewhere. How those limits are set is the big question. These are political issues and as politicians we must accept responsibility for leading this debate."

Mr English said the report was requested by the previous Minister of Health, Jenny Shipley, because of her concerns over health funding levels.

"Mrs Shipley was concerned about some indictors that suggested we may not have been funding health sufficiently to sustain services and access at an adequate level. Some of those concerns have been reflected in the Coalition Agreement, so are now historical.

"This year's Budget will also make it clear that the Government is seeking a credible and realistic funding path for health. This will achieve our aim of maintaining the current level of services across the sector and, at the same time, focus extra resources on particular areas of concern," he said.