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Nanette highlights the NHS administration costs increase - £23m rise this year, £50m over past two years

Nanette highlights that NHS administration costs have risen again – from £697m in 2008/9 to £720m in 2009/10, a rise of 3%.

In 2007/8 the figure was £670m, so admin costs have risen by £50m in just two years.

Nanette Milne MSP, Shadow Minister for Public Health, said:

“This £50m rise in administration costs over the past two years is unacceptable. As we are still coming to terms with the effects of Labour’s debt legacy, there is simply no excuse. Instead, all Health Boards should be looking to save costs in this field.

“Scottish Conservatives are committed to protecting the health budget, but we must continue to find efficiencies and divert funds to frontline services.

“Audit Scotland reports this year have made perfectly clear that we can make substantial efficiency savings without jeopardising our vital frontline services, such as cutting 15% off the locum budget through better planning and procurement.

“NHS Boards must scrutinise their administration costs thoroughly and look to pare them back to an acceptable minimum in order to deliver maximum investment in frontline services.

"Today’s figures show that we are going in completely the wrong direction with regard to administration costs – it is vital that the saving starts now and next year’s figures are much, much better.”