News on 16 February 2001

Government to spend £3.1bn on 29 new hospitals

The Government has set out its agenda for healthcare in the 21st century, investing £3.1bn in the NHS with 29 new hospital schemes around the country. Single fast track treatment centres for non-urgent appointments and operations will also be part of the plan.

With one tenth of hospitals dating back to Victorian times, shoddy buildings and unreliable equipment, long term investments are needed to improve the NHS. Health secretary Alan Milburn told Parliament: "We have made a start in putting this right. The biggest new hospital building programme in the history of the NHS is already underway.”

According to the NHS plan, nine new hospital developments will be given the go ahead this year with a further nine to follow in 2002. Milburn said: "The advice that I have received is that there is a strong case for investment in all 29 proposed schemes. I have accepted that advice. Instead of approving 18 schemes I am giving the go ahead to all 29.”

Many of the new hospital developments will be delivered through the Private Finance Initiative and at the end of the PFI contract the option will be open for each of these hospitals to become the property of the NHS.

Milburn added: "I am also making a further major reform to the PFI process. For too long hospital developments have been considered in isolation from other changes to local health services. A hospital can only work successfully if it is working in partnership with local primary, community, intermediate and social services.”

Jessica Jarlvi

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