TWO MPs are seeking an urgent meeting with Burnley Health Care NHS Trust over its plans to axe £500,000 from the budget.
In a report to be presented to the Trust's board, financial director David Meakin will recommend that half a million pounds be cut from their capital programme.
The cut must be made to offset a massive overspend of £1,364,700 for the first six months of the financial year.
The decision on whether or not to cut spending will be discussed at a meeting of Burnley Health Care NHS Trust's board today at Rossendale Hospital.
Burnley MP Peter Pike said: "I am very concerned and did discuss this with the outgoing chairman and chief executive of the Trust, Brian Foster and David Chew.
"I obviously know that the Trust has had a difficult year. Gordon Prentice and I want to have an urgent meeting to discuss this and the implications of it and to see what the way forward is.
"Then, if necessary, we will make representations to the Department of Health for extra money for the Trust."
Mr Meakin's report also outlines the reasons for the overspend. These include: 'acute recruitment and retention problems and unprecedented sickness and unplanned absence levels' in the mental health sector and an increase in the number of full-time employees working for the Trust.
Mr Meakin said: "We have got vacancies in nursing and consultancy. We have advertised several times for the posts and there don't seem to be the people out there to fill the positions.
"There does seem to be a shortage of mental health nurses and even though we have an advantageous salary basis we still have not managed to fill the posts."
Mr Meakin refused to be drawn on whether staff shortages were putting a strain on existing staff.
There has also been a sharp increase in the number of overall admissions. The extra 2,245 admissions has according to the report, put the Trust under "immense" pressure to meet its financial targets.
For the period ending October 31 2001, the Trust shows what the report calls an "adverse variance" of £1,364,700.
The report say that all 'necessary clinical expenditure' is now being avoided and that further efficiencies are now being sought.
Mr Meakin will also ask the board today to consider a further meeting in December to discuss the ramifications of the budget. He will also ask East Lancashire Health Authority if they can transfer money to Burnley Health Care NHS Trust to ease their financial difficulties.
"It will mean deferring building works, avoiding buying stationery and that kind of thing, anything that is not directly linked to patient care we will be reviewing the expenditure and avoid it if we can", he added.
Mr Meakin will tell the board that the Trust's position on waiting list times has improved slightly. The number of patients waiting for inpatient and day-case appointments has fallen from 4,757 at the end of September to 4,727 at the end of October.
At the end of October there were 1,947 patients waiting over 13 weeks for an out-patient appointment, a fall of 71 from the end of September. Patients waiting longer than 26 weeks has also fallen from 351 to 292.
Frank Clifford, chairman of the Burnley Pendle and Rossendale Community Health Council, a watchdog to Burnley Health Care NHS Trust, said: "I would want clear identification of what capital works are being cut back and what effect it will have to deliver improved care to the people of Burnley Pendle and Rossendale.
"In making a cutback it is going to impact on patient care and quality of care. What I am deeply concerned about is that not withstanding the fact that deficits were noted in the first eight weeks of the new financial year."
Mr Clifford is also concerned that the cash shortfalls and the pressures they inevitably bring are impacting upon the Trust ability to meeting National Service Framework guidelines on patient care and waiting list times.
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