Cost of NHS jobs claim by Labour

Labour claims they have reveals the hidden costs of redundancy pay-outs in the East Midlands arising from David Cameron’s NHS re-organisation.

The new figures come as a leaked report from the Department of Health confirms the full costs of the re-organisation at over £3 billion.

New, official figures lists the costs of NHS redundancies in every community during the first year of the Tory-led Government’s NHS re-organisation. The NHS in the East Midlands has already been forced to spend over £12 million laying off staff - only for many expected to be re-employed elsewhere in the system. And this is just the first phase of redundancies - further damaging figures are expected in the summer.

The new figures come as a leaked government ‘business case’ for its Health Bill confirms that the vast overall cost of the Government’s NHS re-organisation.

More than £276m in the East Midlands is being held back from NHS patient care to pay for the re-organisation, in the form of a government-ordered 2 per cent Primary Care Trust budget hold back in 2011-12 and 2012-13 - amounting to £3.45 billion across England.

Liz Kendall MP, Labour’s Shadow Care Minister, said: “People will want to know why the NHS in the East Midlands has been forced to waste over £12 million on payouts only for many of the same staff to be re-employed in the new NHS organisations. This is only the first wave of redundancies - more are expected later this year and next as part of the Government’s reckless NHS re-organisation that will cost over £276 million in the East Midlands alone.

“The East Midlands NHS is counting the cost of David Cameron’s arrogance. By pushing ahead with a re-organisation no-one wants, he is taking billions away from the NHS front-line just as it needs to focus on patient care.

“Cameron promised to protect the NHS but his back-office waste has resulted in front-line cuts, with thousands of nurses also losing their jobs since he became PM. He will never be trusted again on the NHS.”

Andy Burnham MP, Labour’s Shadow Health Secretary, said: “It is nothing short of scandalous that the Prime Minister is wasting billions on an unnecessary re-organisation whilst also cutting 4,000 nurses’ jobs.

“In opposition, David Cameron promised no top-down re-organisation of the NHS. In office, he brought forward the biggest ever. Cameron is an NHS con-man and we will hold him to account for his betrayal of patients and staff.

“He has inflicted chaos on the NHS and patients are paying the price in longer waits and a growing postcode lottery.

“The argument in Westminster may be over but Labour is taking the battle for the NHS to every town, street and doorstep. We will be, as we have always been, the last line of defence for the NHS in your community. A vote for Labour in May is a positive vote for the NHS.”