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NHS fears despite books balancing NHS fears despite books balancing
(40 minutes later)
Ministers have confirmed the NHS has balanced its books - although many hospitals and other parts of the service are still struggling with debt.Ministers have confirmed the NHS has balanced its books - although many hospitals and other parts of the service are still struggling with debt.
Health Secretary Patricia Hewitt staked her job on wiping out the debt in 2006-07, and the figures show a surplus of £510m. Health Secretary Patricia Hewitt staked her job on wiping out the debt from previous year during 2006-07, and the figures show a surplus of £510m.
However, more than one in five NHS organisations were in the red. However, more than one in five NHS organisations were still in the red.
The book balancing needed training and public health budget cuts. Extra cash due to the service was also held back.The book balancing needed training and public health budget cuts. Extra cash due to the service was also held back.
It takes weeks to cut, it takes years to rebuild trust. Morale is at an all-time low Jonathan FieldenBritish Medical Association Feeling the pinch Send us your commentsIt takes weeks to cut, it takes years to rebuild trust. Morale is at an all-time low Jonathan FieldenBritish Medical Association Feeling the pinch Send us your comments
In a speech on Wednesday, Jonathan Fielden, chairman of the British Medical Association's consultants' committee, will say the cuts have been "excessive". The latest unaudited figures show that the combined debt of the 22% of NHS organisations who failed to break even in 2006-07 was £911m.
"It takes weeks to cut, it takes years to rebuild trust. Morale is at an all-time low. In the previous financial year the NHS ran up an overall deficit of more than £500m, and the gross deficit - the total of all those organisations which ran up debts - was £1.3bn.
"The profession is angry because of this government's mishandling of the health service and has lost all confidence that the government can solve the problems it has created."
He will also warn ministers: "We will not stand by and let you decimate hospitals for purely financial reasons."
The latest figures show that the combined debt of the 22% of NHS organisations who failed to break even in 2006-07 was £911m.
In the previous financial year the NHS ran up an overall deficit of more than £500m, and the gross deficit - the total of all those organisations which ran up deficits - was £1.3bn.
However, the NHS has only managed to balance the books in 2006-07 by taking money from elsewhere.However, the NHS has only managed to balance the books in 2006-07 by taking money from elsewhere.
First of all, £1.8bn of the extra money due to the NHS in 2006-7 - about a quarter of the total increase - was held back. First of all, £1.8bn of the extra money due to the NHS in 2006-7 - about a third of the total increase - was held back.
And regional managers working for strategic health bosses have also made cuts to central budgets, such as training, to build up a £450m contingency fund.And regional managers working for strategic health bosses have also made cuts to central budgets, such as training, to build up a £450m contingency fund.
'Excessive' cuts'Excessive' cuts
That is on top of the thousands of job losses that have been forced on NHS trusts - 17,000 in the past 12 months, according to the NHS Information Centre.That is on top of the thousands of job losses that have been forced on NHS trusts - 17,000 in the past 12 months, according to the NHS Information Centre.
And on the day the figures are announced the Times newspaper is reporting that it has seen a government memo revealing that more than half of patients are still waiting longer than 18 weeks for treatment.
Ministers, due to publish full data on waits on Thursday, have pledged that by the end of next year all patients will be treated within this time limit.
Shadow health secretary Andrew Lansley said: "Cutting education and training and plundering public health budgets is not the way to manage the future of our NHS.Shadow health secretary Andrew Lansley said: "Cutting education and training and plundering public health budgets is not the way to manage the future of our NHS.
"No other business would be run on boom and bust and neither should the health service.""No other business would be run on boom and bust and neither should the health service."
But Health Secretary Patricia Hewitt said: "Over nine out of 10 recent hospital patients say their care was good, very good or excellent and that is even better than it was a year earlier. Peter Carter, general secretary of the Royal College of Nursing, added the figures exposed the "tragedy and farce of NHS finances".
"And that is despite the very difficult decisions that have had to be made by NHS staff in order to turn around the financial problems that we faced a year ago." "We now have a mind-boggling state of affairs in which individual organisations are in deficit, while the NHS as a whole has amassed a surplus."
And Jonathan Fielden, chairman of the British Medical Association's consultants' committee, said the cuts have been "excessive".
"It takes weeks to cut, it takes years to rebuild trust. Morale is at an all-time low."
But Health Secretary Patricia Hewitt said despite the "difficult year", the most recent surveys showed patients were more satisfied with the NHS.
"If we had not taken action the NHS deficit would have been double [what it was]."
And NHS chief executive David Nicholson said: "We have been absolutely determined to get this right.
"We have not finished the journey, but we are well on the way to making it happen."