FINANCE: South Warwickshire clinical commissioning group has spent £2.3m by cutting the use of contract penalties for emergency care.

The measures are part of a new block contract for non-elective care.

The CCG’s July finance report says: “The CCG has invested c£1.6m in increasing the level of emergency activity paid for at 100 per cent rate rather than at the 30 per cent emergency marginal rate and a further £70,000 in reducing the abatement for unpaid readmissions within 30 days.”

In other words, this means “More money for the same activity thus bolstering the emergency services within South Warwickshire Foundation Trust”.

“These agreements formed part of an overall settlement that resulted in a block emergency contract for 2013-14.

“This arrangement reduces in year financial risk for the CCG.”