Briefing from the Prime Minister’s Spokesman on: NHS Finance, David Blunkett Payment and Capital Transfer Tax.
NHS Finance
Asked if there was anything to add about the NHS financial report that was published this morning, the Prime Minister’s Spokesman (PMS) said she had nothing further to add to what Patricia Hewitt had said this morning. The deficit was 0.2 per cent of the budget. That was not to say that the NHS bodies who overspent should not address their problems. Patricia Hewitt would be writing to all areas of the Health Service offering advice on how to improve financial management.
Put to the PMS that considering there was more money being spent on the NHS than there had been previously, how could this have happened, the PMS said that was correct that more money than ever was being spent on the NHS. There was now £69 billion being spent on the NHS, and the projected deficit was under £140 million. Many trusts and hospitals were managing extremely well, and we were hoping that those who were experiencing difficulties would look to the good practice of others.
Put to the PMS that Patricia Hewitt had made clear this morning that those hospitals that were failing would have to close, and did Number 10 have a problem with that, the PMS said Patricia Hewitt was the Health Secretary, and people should speak to the DoH about the detail.
David Blunkett Payment
Asked about David Blunkett receiving payment of compensation after leaving office, only to return to Cabinet later, the PMS said the rules were all laid down in the Ministerial Pensions and Salaries Act 1991. She would not discuss individual salaries and pay and conditions but these rules applied to Members of Parliament as well as Ministers.
Asked if there would be any reviews of the regulations, the PMS said she was not aware of any plans to hold a review.
Asked if individual MPs should or could forgo payments voluntarily, the PMS said that was up to individual members.
Capital Transfer Tax
Asked if the Prime Minister agreed with Patrick Diamond’s ideas on Capital Transfer Tax, the PMS said that Mr. Diamond no longer advised for the Government. He was a private individual who was entitled to express his views, but was not an adviser.
Asked if there were any plans to renew Inheritance Tax, the PMS said the Treasury had made their views clear on the issue.
Asked if the PMS was aware of any plans for Mr. Diamond to return to Downing Street, the PMS said she was not aware of any.
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