Survey of Medical Directors in NHS trusts in England funding difficulties


September 2005
Key results
  • Half of respondents work for an acute trust, with a further quarter working for a PCT (table 1)
  • Three quarters of respondents report that their trust is facing a funding shortfall in the current financial year (table 2). The predicted shortfall ranges from £0.2million to £25 million, with the mean predicted shortfall of £6.2 million (figure 2).
  • More than a third of respondents report that earlier apparent/actual funding agreements with the PCTs have been changed at short notice in this financial year (table 3). This appears to be more likely in acute and community health trusts (figure 3). The reasons for this largely relate to funding shortfalls, cutbacks and pressures, often at the SHA level.
  • A third of respondents report that their trust is intending to reduce services as a result of any shortfall (table 4). Intended reductions in services includes bed closures, staff redundancies and recruitment freezing, reduced elective services, ward closures, withdrawal of staff development and training, reduction in patient transport services and overall service reconfiguration.
  • Almost half of respondents report that their trust is intending to freeze recruitment as a result of funding shortfalls and a quarter report that their trust is considering staff redundancies (table 5). The impact of recruitment freeze is more likely to be experienced by PCTs (figure 5). In half of cases, medical staff are likely to be included in any recruitment freezes, but are less likely to be part of any redundancies (table 6). In most cases respondents are unable to identify exact post which may be affected by potential recruitment freezes and redundancies, although some consultant and senior medical posts are likely.
  • Whilst a quarter of respondents rate the financial health of their trust as being ‘poor’ (1) the mean rating was the middle ‘average’ score (3) (table 7 and figure 6). Almost two-thirds of respondents rate the financial health of their PCT at the lower end of the scale (mean rating=2) (table 8 and figure 7).
Table1 - Type of Trust
  Frequency Percent
Acute 58 50.0
Community or mental health 20 17.2
PCT 29 25.0
Other 9 7.8
Total 116 100.0
No reply 4  
Total 120  

Table 2 - Whether your trust is facing a funding shortfall in the current financial year (2005-6)
  Frequency Percent
Yes 83 72.8
No 29 25.4
Don't know 2 1.8
Total 114 100.0
No reply 6  
Total 120  


Figure 1 Whether your trust is facing a funding shortfall in the current financial year (2005-6) by type of trust (%)Whether your trust is facing a funding shortfall in the current year (2005-06) by type of trust

Figure 2 Predicted shortfall by the end of the year (£millions) (%)Predicted shortfall by the end of the year (£millions)

Table 3 - Whether earlier apparent/actual funding agreements with Primary Care Trusts been changed at short notice in this financial year
  Frequency Percent
Yes 42 37.8
No 59 53.2
Don't know 10 9.0
Total 111 100.0
No reply 9  
Total 120  


Figure 3 - Whether earlier apparent/actual funding agreements with Primary Care Trusts been changed at short notice in this financial year by type of trust (%)Whether earlier apparent/actual funding agreements with PCTs been changed at short notice in this financial year by type of trust


Table 4 - Whether your trust is intending to reduce services as a result of any shortfall
  Frequency Percent
Yes 41 37.6
No 58 53.2
Don't know 10 9.2
Total 109 100.0
No reply 11  
Total 120  


Figure 4 - Whether your trust is intending to reduce services as a result of any shortfall by type of trust (%)Whether your trust is intending to reduce services as a result of any shortfall by type of trust

Table 5 - Impact of funding shortfalls on staff recruitment and retention
  Frequency Percent
Freeze on recruitment    
Yes 52 47.3
No 53 48.2
Don't know 5 4.5
Total 110 100.0
No reply 10  
Total 120  
     
Considered redundancies    
Yes 30 26.8
No 73 65.2
Don't know 9 8.0
Total 112 100.0
No reply 8  
Total 120  


Figure 5 - Impact of funding shortfalls on staff recruitment and retention by type of trust (%)Impact of funding shortfalls on staff recruitment and retention by type of trust

Table 6 - Whether recruitment freezes or redundancies are likely to include medical staff
  Frequency Percent
Recruitment    
Yes 23 47.9
No 15 31.3
Don't Know 10 20.8
Total 48 100.0
No reply 4  
Total 52  
     
Redundancies    
Yes 4 14.3
No 20 71.4
Don't Know 4 14.3
Total 28 100.0
No reply 2  
Total 30  

Table 7 - Rating of the financial health of your trust
  Frequency Percent
1 - Poor 26 23.4
2 20 18.0
3 30 27.0
4 26 23.4
5 - Excellent 9 8.1
Total 111 100.0
No reply 9  
Total 120  

Table 8 Rating of the financial health of your Primary Care Trust
  Frequency Percent
1 - Poor 38 35.2
2 28 25.9
3 25 23.1
4 14 13.0
5 - Excellent 3 2.8
Total 108 100.0
No reply 12  
Total 120  


Figure 6 - Rating of financial health of your trust (%)Rating of financial health of your trust

Figure 7 - Rating of the financial health of your Primary Care Trust (%)Rating of the financial health of your PCT

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