DH review could impact on healthcare accounting

Published on July 23, 2012 by Crawfords Accounting

A Department of Health review could have direct bearing on healthcare accounting, due to one of its proposals relating to referral services.

The newly launched consultation, headed up by health minister Lord Howe, looks at the Health and Social Care Act 2012 and local authority scrutiny arrangements.

Among its proposals is the suggestion that, in addition to the safety, effectiveness and patient experience of services when making a referral, local authorities should also take financial sustainability into account.

“Our Health and Social Care Act aims to ensure we have a modern health service that works around patients and meets the healthcare needs of the local population,” says Lord Howe.

“That’s why local authorities will play a key role under the new structure.”

Patients and the public as a whole are also being invited to take a part in planning and delivering any changes to the existing healthcare system.

For healthcare accounting, any focus on ‘financial sustainability’ could have an effect, and it remains to be seen how local authorities interpret their responsibilities under this proposal – and whether they view it as a demand for cost-cutting measures.

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