Health authority makes £4.5m savings

After the first six months of the financial year, NHS Fife has fallen short of its projected efficiency savings.

Members of the NHS Fife Board were given an update on the health authority’s financial position last week.

According to the latest figures, the board managed to deliver a total of £4,561,000 savings in the first six months of 2011.

But, this was £269,000 short of the £4,830,000 identified in the financial framework for the period.

The biggest shortfall came through procurement, which only managed to deliver £85,000 instead of £440,000.

Chris Bowring, director of finance, said: “More detailed projections have now been carried out on the assessment of the year end position for each of the individual areas.

“Based on these and the financial performance for the six months, it is clear that achievement of the key financial target of breakeven by the year end is at risk.

“The actions put in place to reduce expenditure are not yet resulting in a significant improvement in the financial position.”