FINANCE: Ipswich Hospital Trust overspent by nearly £1.7m on pay for the first three months of the financial year due to temporay staffing levels, according to board papers.

The trust’s performance report to the July board meetng noted the overspend. It said: “Pay expenditure is over budget due to continuing high levels of temporary staff costs.”

The overspend is expected to grow to £2.5m by March 2012. The report said a “reduction in the additional session rate” and action to reduce agency and bank spend had been incorporated into the trust’s forecast.