FINANCE: A report to the board said the acute trust had achieved less than half of the major savings schemes it had planned.
It is now forecasting saving only £3.3m from a planned total of £8.2m.
A scheme to save £1m by closing beds had to be abandoned after saving only £227,000, “when it became clear that bed closure plans would not be achieved under current levels of activity”.
The report also highlights disagreement with commissioners over £300,000 potential savings from decommissioning “low priority procedures” (LPP).
Recording a net saving of zero against the £300,000 plan, it said: “All LPP work [was] deemed to be necessary and commissioners not prepared to fund the additional activity therefore target removed.”
A £1m outpatient decommissioning target achieved only £139,000 in savings, with the report citing “clincial engagement issues” and only a “small amount of savings attributable to emergency & specialist medicine decommissioning”.
The report said it was still on target for £20.3m savings and that the reason it was £672,000 behind target for the year-to-date was because most savings schemes were “back-loaded to the end of the year”.
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Savings document (see attached, right)