Select Committee on Welsh Affairs Minutes of Evidence


Examination of Witnesses (Questions 20 - 39)

MONDAY 19 JANUARY 1998

MR WIN GRIFFITHS MP, MR PETER GREGORY, MR COLIN WILLIAMS, DR RUTH HALL and DR GILL TODD

  20. So the 42 per cent relates purely to medical emergencies?

  (Dr Todd) Medical and, on occasions, paediatric emergencies.

Chairman

  21. Minister, in your written evidence, paragraph 9, you suggested ways in which the £9.5 million might be used, such as community and home care support, improved staffing and that kind of thing. Presumably the system is designed at some stage to cope with these emergency admissions and I think Mr Gregory suggested that was the case and obviously it had to be the case at some time in the past and not a new problem, as Dr Todd said, so what is the main cause? I know you have been talking about research into it, but is it that there are insufficient beds generally or is it bed-blocking which is a problem in North Wales? Although we do not have this problem which has become obvious in South Wales, we do have, speaking to my local trust, problems of bed-blocking, that is, people who need long-term geriatric care who are in beds which should be used for acute services, or have the efficiency savings referred to by Mr Gregory actually pared the system down too far?

  (Mr Griffiths) I would say, and perhaps Peter will add more detail to this, but it is caused by a range of issues. Yes, there is a balancing act to be performed here. You have got a hospital which has so many beds and if it is going to run effectively and efficiently, it has to have a high occupancy rate. That means that whilst they can plan for what we might call normal emergency work, there come the peaks when it will be difficult for them to cope with that because of the other pressures on them, keeping down waiting lists and so on, so to recognise that, we have tried to introduce this system of effective networking so that when one hospital is faced with a peak, there is available locally another hospital which, because it has not got such a problem at that particular time, is able to take the patient. If we could attribute this to one specific thing, and we had a totally limitless resource, but it would have to be limitless, yes, we may not have to talk like this. But given all the pressures that there are, we believe that we have in place in Wales now a highly effective system for making sure that emergency medical admissions do not have to be either taken by other hospitals or a GP is not having to ring up hospital after hospital in order to find a bed. I do not know, Peter, if you want to add anything further.

  (Mr Gregory) Yes, perhaps just two things. One is that this is an issue about the demand for care and its supply and the interaction between those two things and both of those elements are quite complicated. The demand issues are the sorts of things that Ruth Hall and Gill Todd have been talking about. It is a complex set of circumstances which are dependent upon local morbidity, demography, the particular situations of the weather and all the rest of it which come together to provide a pattern of referral to hospital. The general pattern is that the demand for health care increases year on year, whether that is for elective or for emergency. That is a fact of life and that is what the NHS has to cope with. So there is a whole set of issues on the demand side and then there is the supply response to that and, as I said in my initial remarks, the NHS has become progressively more efficient because it has been required to in the way it deals with that activity, and the Department is currently and has for the last few years been expecting a productivity gain over and above the growth of resources which the NHS receives. So it is the interaction between those two factors which produces the situation we have of gradual and growing, and sometimes quite abrupt, increases in demand meeting a supply system which has been required to be ever more efficient. However, in addition to that, we then get the specific problems which can occur not just in the winter, as Colin Williams has pointed out, and one of the interesting things of the last two years is the extent to which we are increasingly being told by the NHS about closures of hospitals outside historically accepted periods of crisis.

  (Mr Williams) Can I say, in my role of adding further figures to things which colleagues have said in response to your question, Mr Jones, that over Wales as a whole it has 30 per cent more beds available to its patients than, proportionately, England has available to its patients. It has more beds available to patients in every specialty and in the care of the elderly specialty has about 50 per cent more beds available to it than is the case in England. And while beds have reduced in previous years, the number of beds available to general medicine has gone up by about 22 per cent.

  22. Given those figures, Mr Williams, how do you explain that the rates are the same in England and Wales?

  (Mr Williams) The rates of?

  23. The rates of emergency admissions and why do we have closures at all in Wales if we are that well endowed with beds?

  (Mr Griffiths) If I could just interject on that particular part, a large part of the reason is that if you look at the health of people in Wales, we have got more problems as compared with England, so that is a very important factor.

  (Mr Williams) And there are a lot of other complicating factors, as Peter Gregory has said. In addition to having more beds in the public sector, we have far fewer beds in the private sector which, in England, tends to syphon off some demand. But also, as a consequence of some of the factors which both the Minister and Ruth Hall have mentioned on the underlying health of the population, we have about 18 per cent more in-patient admissions and higher referral rates, higher consultation rates to GPs and higher referrals by GPs on to hospitals. So it is a complicated pattern of activity covering both supply and demand.

  (Mr Gregory) Can I just say, Chairman, if you wanted to pursue that line of inquiry, as it were, outside this discussion, the recently published NHS Wales Service Review, which is an exhaustive examination of the state of the NHS, has some very trenchant things to say about the demand on the NHS and that includes the fact that in most specialties, demand for health care in Wales is significantly greater per 100,000 of the population than it is in England, so we have more beds, we have more doctors, we use more resources, we use those resources at least as effectively as in England, but the effect of the general state of morbidity in Wales means that there is higher demand. If you are running assets, therefore, as efficiently as you can, higher demand means you have less flexibility to respond to the kind of surges that I described in my earlier answers.

Mr Livsey

  24. Mr Chairman, in relation to what has just been said, obviously social deprivation is one of the factors involved, but demography must play a considerable part as well because we have an element in Wales of a population exchange with older people either coming back to Wales to retire or coming from England to retire and in my experience the elderly population is certainly far greater than one would find on average elsewhere. On the additional beds that you referred to, is there any relationship between those and the demography?

  (Mr Williams) In the sense that there are more care-of-the-elderly beds available in Wales than is the case in England, yes, there is that relationship.

Mr Jones

  25. Dr Todd, when she responded to a question from one of my colleagues, indicated that it was expected that the increase in the cost to the NHS of the emergency admissions for this current year would be between 3 and 4 per cent. When the budget was allocated to the health authorities at the beginning of the year, what was the figure budgeted for?

  (Mr Griffiths) Obviously you would have to ask the previous administration exactly how they came up with the figure that went into the finances for this financial year because those were decided well before the May election, but in terms of what Dr Todd had to say, and perhaps she could add to this, the health authorities, in making their contracts with trusts and to the money they had available, tried to take account of the additional money needed for dealing with the increase in emergency services. Would that not be true?

  (Dr Todd) Yes. What health authorities did last year was to plan for an increase in their emergency admissions. They may have made that money available by taking it away from elsewhere, they may have made that money available from the growth available to them, or they may have made that money available from efficiency savings, and that would be very much dependent on each and every one of the five health authorities as to how they did that.

  26. I think the point I am trying to get at is that if an extra £9.5 million has to be made available, it is obvious that somebody has under-estimated the likely increase.

  (Mr Griffiths) But that £9.5 million did not have to be made available. What happened was that after the election when we came to power we decided that because we were concerned about the issue of the rise in emergency admissions, it would be worthwhile providing some extra money this year to, if you like, ease us through what could well have been a difficult winter. On top of that, the money we have made available has given a further impetus to health authorities, trusts, GPs and social services to work in an even more focused way and the North Wales Health Authority is doing some specific research and monitoring for us on what is happening this year with the additional money. And, of course, given that we do not have any plans next year to provide additional money other than what has already been announced, what we are looking for at the moment are some more efficiencies in the way the Health Service is run and we may now get systems in place with the NHS and social services, who are acting even more co-operatively, so that bed-blocking is reduced so that the need for elderly people to go into hospital is reduced which will then in itself make sure that there are more beds available for those emergency admissions.

Chairman

  27. Can I ask a potentially stupid question? If the mortality rate is higher in Wales than in England, why are there more geriatric beds in Wales than in England?

  (Mr Griffiths) Well, because despite that-

  28. Are we importing healthy old people from England?

  (Mr Griffiths) To comfort you, Chairman, it is the question which I did put some time ago as to why is it if more people dying in Wales. In fact, if I recall correctly, and someone will put me right if I get this wrong, I think we are predicting that either by the year 2010 or 2015, there will be 14 per cent more over-75s in Wales than in England, so that is an issue which we in Wales are going to have to focus on much more than in England. Maybe it is because of the congenial surroundings that Wales presents and the confidence old people have in the service we are providing that they are settling in Wales.

  Chairman: It is very encouraging for somebody getting on for 50!

Ms Morgan

  29. How was the £9.5 million actually decided on, the exact amount of money?

  (Mr Griffiths) You mean, was the 9.5 a measured response to what we thought the emergency was going to be or was it something else? Well, it was something else.

Mr Jones

  30. What you could get out of the Treasury, I suppose.

  (Mr Griffiths) Inasmuch as that was the amount of money that we could get to help the Service through the winter.

Ms Morgan

  31. And going on to the other point, what percentage did we get in comparison with the rest of Britain?

  (Mr Griffiths) This was all settled through the Barnett Formula, so we got our share of the money that was available for the winter crisis. The whole of the package at the time it was announced included within it specific monies which the Department of Health in England had actually saved out of its own budget and also an amount of money which they had previously been promised by the Treasury to deal with the extra spending on their Drugs Bill. But on the specific amount available for the winter crisis, our money was determined by our share under the Barnett Formula. Would that be right, Peter?

  (Mr Gregory) Absolutely right, yes.

  32. Because there were some criticisms at the time that we were getting less than we should get.

  (Mr Griffiths) That is right. It simply arose out of the fact that the global amount was presented as £300 million, but within that I think it was something like £130 million, though I am not absolutely sure now, and it arose out of direct savings within the Department of Health's budget, plus an amount they had already been promised to deal with their Drugs Bill.

  (Mr Gregory) The actual amounts were about £30 million worth of savings which the Department of Health were declaring themselves and £80 million which was available from the Treasury to cover drugs bill overspends on the Family Health Services, which meant that available for the winter crisis resourcing was £190 million, of which England got £159 million and we got the £9.5 million which you have referred to, and the Scots and the Northern Irish got their Barnett Formula consequentials as a direct result. So the amount which was allocated to the winter crisis was exclusively allocated on the basis of the Barnett Formula.

  33. Then, to follow that up, the University Hospital of Wales Trust points out the need for a review if lessons are to be learned for next year, so is there going to be any value-for-money evaluation of how this £9.5 million is going to be spent?

  (Mr Griffiths) Yes, I earlier referred to the North Wales Health Authority study we are doing, but all of the health authorities, once they had their individual allocations out of the £9.5 million, they then provided us with plans of how they intended to spend the money and what particular problems they were going to focus on. Having done that, these plans are being monitored and when the money has been spent, and we are into the spring and the summer, we will be evaluating what has happened. The North Wales Health Authority will have some more specific and detailed work to do and the lessons we learn after that I hope will help us to do an even better job next year, but of course without another £9.5 million thrown in on top of what has already been provided for next year.

Mr Caton

  34. In your memorandum you say that the health authorities and the trusts in Wales have given what you describe as a "landmark commitment" about the treatment of patients over this winter and you have expanded on that in your introductory remarks and in response to a question from Mr Jones. I would be interested to know what you mean by "landmark". Also, if they fail to honour their guarantees, will there be any sanction?

  (Mr Griffiths) Well, we called it a landmark decision because this sort of guarantee had never been given before. Basically, whilst in the past obviously health authorities, trusts and everybody in the Health Service have been focusing on trying to provide the best service as possible, if you like, this year the Secretary of State felt that it would be a good idea if we could really set ourselves a target which would be certainly very challenging, but, on the other hand, which could be achievable with a lot of extra work and I am grateful to all of those in the National Health Service in Wales who have come together, and in local government, of course, because social services departments are playing a role in all this, who are working together to make sure that this guarantee happens. It has never been given before and in that sense it is landmark. Now, as far as failures are concerned, I think I have indicated already that I am not contemplating failure in this regard and certainly the way in which the Health Service has in previous years made improvements in cutting down closures, I am already confident that the management within the NHS is able to, and has put together, a plan to avoid some of the disasters which have happened in previous years. So I am happy about that. I think we have learnt from the past. There have been good evaluations in the past and we have learnt lessons. I am confident that managers are able to cope. We will be evaluating what happens this year. If it were to turn out that something did go disastrously wrong, then it would be a question of whether that was caused by the Hong Kong chicken flu, which it looks as though it is not going to happen, but if suddenly a whole population was knocked out, then that is something different, but if in looking at the level of emergency admissions, there was not an incredibly unpredictable peak, yet a hospital found itself closed for half of the rest of the winter, then yes, we would want to ask questions and look at whether there had been any professional failures, but, by and large, I am confident that that sort of thing will not happen and that because the Health Service is very aware of the need to manage this at the highest levels, we are going to come through this without any need for sanctions. In fact my emphasis is rather on co-operating so that we can learn the good lessons to carry on improving the service.

Ms Morgan

  35. You have just mentioned co-operation and you say in your memorandum that the guarantee "will require the co-operation of social services departments, GPs and GP fundholders, trusts and ambulance services as well as a recognition of the relationship which exists with elective activity", so how sure are you that you will be able to get the necessary co-operation from all these different bodies that you mention?

  (Mr Griffiths) Well, in a sense that is already being done in that, first of all, we have to remember that there were already co-operative systems in place before this winter and what is perhaps a little different about this winter is that, if you like, we have provided some pump-priming money and said to the Health Service in Wales, "Now, here's a little bit of additional money. Look hard at how you can use this money to improve further your systems". Specifically we would like co-operation to be improved, and so all the evidence we have so far is that this is working and that where there were already fairly high levels of co-operation, this has been cemented, if you like, by the additional funding. I do not know, Gill, whether you would like to say anything else about how this is working at the present time.

  (Dr Todd) The task forces that are in place in each of the health authorities include representatives of all these bodies and they have been working now through the year and I think that what has come out of that consistently is not just an identification of those things which are going very well, but also those things that could go better, that we are actually sitting within those task forces, and in some cases small groups that have been put together as a result of those task forces have been sharing experiences, the good and the bad. As a result of that, there have been numbers of solutions found to numbers of problems, but also a better understanding. We heard earlier about bed-blocking and there is some work done in various parts of Wales to look and to understand better bed-blocking and to look and to understand how we can get patients actually always in the place where they can receive the care at that point in time that they require it. We must remember that for a lot of very elderly, very vulnerable patients, that means being admitted into a hospital bed, being assessed in an acute hospital and then needing to be moved on to another type of hospital or even to another environment and the smooth transfer of the patient from one care location to another care location is a very important part of the care. I think it is very interesting that a large amount of the money which has been made available this winter has been used to look at ways of making that easier. For example, in one community trust, they have established what they call a "virtual team" which means that they have got available to them extra hours which are funded so that that care can be targeted on those people who are particularly vulnerable and need that extra care in order, if possible, to keep people in the community. But the same sort of arrangement can occur when you are trying to move people from a bed which they no longer require in a smooth way because certainly we know that older people are made much more vulnerable if they are moved in a way which is not properly planned. So there is a lot in the system of medical admissions which needs to be looked at and I think what this extra money and the co-operation that we have got between the key players is allowing us to do is to look at that across all agencies. One of the most interesting things that has come out is the major part which is played by voluntary organisations, particularly Age Concern, and others in the care of elderly people and I think that we will be very interested when we look around Easter at the outcome of this year and the experience in those partnerships. The partnership with general practitioners is increasing every day with the experience of the last two or three years and now with the White Paper that is focusing on where the majority of care is provided, which is in general practice, and looking at what general practitioners require as extra support to look after patients in the community or for short spells in hospital. We must remember that a lot of these emergency admissions only stay one or two days in hospital, so a large number of emergency admissions are very short admissions, but that does not mean that they are wrong and they could have been avoided because they stay such a short period of time, but because they have got an acute illness which needs acute treatment for a short period of time, so some of them may be people with asthma or with a respiratory disease and they do not need a long time in hospital, so you have got to have a system which is flexible and can account for all those problems. The service has to deal with this multi-factorial problem as there are a lot of different reasons why people get admitted and a lot of reasons why social services, general practitioners, ourselves and trusts need to work together to look at a whole spectrum of types of demand, types of need, different sorts of people who need different things at different times and it is not a simple problem and I think that is what has caused so much mystery about it.

Mr Livsey

  36. I wonder if the Minister could tell us his views on the importance of coterminosity of services with trusts, for example, where the social services' boundaries of local authorities and trusts could actually be coterminous, and not only that, but ambulance services to some extent as well. There were some bad patches which were fairly frequent in the past of the South-East Wales Ambulance Trust and I remember a patient being delayed for three days because no ambulance was turning up because of remote-controlled decision-making.

  (Mr Griffiths) First of all, I think in this context the White Paper announcement we made last week which will see the introduction of Local Health Groups will, I think, also make an additional contribution to dealing with the winter crisis problems because these Local Health Groups will be based on local government areas. In some of the bigger local authorities there may be more than one, but essentially things will operate within the local authority area, so there will be an even higher degree of planning because now the health authority will hand over the whole of the local health care budget to the Local Health Group and they will, therefore, be making their own considerations about the need to take account of medical emergency admissions. Also on that actual commissioning body the local authorities will be present and I am going to imagine that there will be very, very vigorous discussions about not just what might be needed to handle the winter crisis, but how best to improve care, particularly for elderly patients, over the whole of the year and the linking with the local authority is obviously going to be very, very important in that respect. As far as ambulance services are concerned, we are having a review of the best way of providing ambulance services in Wales. Whatever the outcome of that review, I think the important thing that I want to emphasise is that there must be very strong local management in anything which arises out of it so that we do not get that loss of local contact which can happen, so there has got to be strong direction at the centre to enable it to happen locally, but the guiding principle should be that within that strategic framework there is strong local management. I am certainly looking forward to the creation of the local health groups to provide an impetus for even better planning of health services which will once again help to deal with emergencies at whatever time of the year they occur.

Ms Lawrence

  37. Getting back to paragraph 11 in your submission, the guarantee, you mentioned that increases in staff sickness rates are a potential issue of concern and weekly reports will be sent to the Welsh Office. What action could you take if staff sickness rates did increase because surely the winter months are the time when staff sickness rates are likely to increase anyway?

  (Mr Griffiths) Well, obviously I think the principle is that we want to be kept informed about this. One interesting thing in my own trust in Bridgend is that over the last few years there has been a general reduction in sickness rates, and whereas previously the peaks used to be in winter, the peaks are now in the summer, of sickness rates. But what we want to do is to try to make sure that we are getting the right balance in terms of providing a high-quality service without putting such a stress on the staff that we find that sickness rates are rising and if we do detect increases, we want to know why that is happening to see what we need to do to help deal with it.

  (Mr Gregory) Could I just follow that up and say, if we just take sickness rates for the moment, that we are not asking for that information because of a generalised concern about sickness rates in the NHS as a whole, but it is particularly about whether the NHS needs to take any special measures in respect of increasing levels of sickness amongst the staff, for instance, caused by an influenza epidemic to make sure that services can still be run by, for instance, making sure that the appropriate staff are vaccinated, so it is actually linked to the need for local operational managers to be thinking about those issues rather than some wider policy issue about the levels of sickness in the NHS at large.

Mr Jones

  38. Minister, I think you have made it perfectly clear to us that there will be no extra £9.5 million next year and I think it is also fairly clear, as you have told us, that you will be sticking to your spending plans already announced for next year. Now, given that you are asking managers to devote a lot of their valuable time to reconfigurate trusts next year as well and given that you have indicated to us that you are worried about the extent of problems in the Health Service, particularly about the increase in the cost of admissions, which is growing, do you still think it is a good idea to let them spend their valuable time looking at structures rather than delivering a better health service?

  (Mr Griffiths) Yes, I do because the two things are interconnected, looking at the structures and delivering a better health service, because one of the things which will come out of such a reconfiguration is the provision of more money to be spent directly on patient care. Now, depending upon the final shape of the trusts, that could be anything between £5 million and £10 million, so if we are getting up to the higher figure, the pay-back could be, if you like, an extra £10 million in a couple of years' time for additional spending in the winter. Once the extra funding is made available and with the proposals in the White Paper, taking all the changes together, we would hope to unfold over a five-year period something like a £50 million saving and that money will go directly into patient care. So I think, yes, it is important to improve the structures because the pay-back will be more money for patient care.

  39. I think there may be a case for saying that there will be a pay-back eventually, but I think you have indicated that it will take at least a couple of years for that to come through. What will be the short-term cost of the management time devoted to this for the next couple of years?

  (Mr Griffiths) Well, do you want me to express that in pounds, shillings and pence?


 
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