FINANCE: Financial modelling by NHS Derby City has identified a need to reduce 2011-12 contract values by 8 per cent on average across all providers, in order to transfer financial sustainability to GP commissioners from 2012-13.

The PCT reported significant non recurrent pressures, in board minutes published in December.

Activity costs at Derby Hospitals Foundation Trust are £3.5m over plan. Other areas of concern are the Nottingham University Hospitals contract, which is £450,000 over plan, and primary care prescribing, which is £1.4m over plan.

The minutes, from a November 2010 meeting, state: “There is a need to push further as the PCT still has a cost improvement challenge of £11.3m for the remainder of the year if it is to meet its statutory duty to break even.”

The PCT has refocused efforts to ensure delivery of its financial duty to break even this financial year.