FINANCE: Oxfordshire primary care trust has agreed to pay an extra £7.5m to Oxford Radcliffe Hospitals Trust, which has reported an overperformance against contract worth £16m.
PCT board papers for January say “a £7.5m year-end settlement has been reached with ORH in respect to Oxfordshire”.
At month eight of 2011-12, “ORH were over performing, at full payment by results cost, by £15.93m against plan”.
The overperformance equates to 8.2 per cent of the contract value in the year to date.
The £7.5m payment effectively splits the current cost equally between the commissioner and provider. It also caps the liability of the PCT if overperformance continues to rise.
The worst overperformance is in excess non-elective bed days, which were more than double the planned level of 7,420 for the year to date. The actual figure was over 17,000, costing an additional £1.8m.
Most of the overperforming clinical specialities were associated with non-elective activity, particularly cardiology, critical care and trauma orthopaedics.
“Another key over-performing specialty is ophthalmology”, the board papers said, driven by the cost of a change in the drugs used to treat wet macular degeneration.
“This has been escalated to chief executive level, as this is impacting directly on [the trust] as well as the PCT position, and a response is expected imminently.”