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NHS England 'facing funding gap of up to £2bn' NHS England 'facing funding gap of up to £2bn'
(about 1 hour later)
NHS England faces a funding gap of up to £2bn in its budget for the next financial year, health chiefs have told the BBC. NHS England faces a funding gap of up to £2bn in its budget for the next financial year, health chiefs warn.
Senior officials warned that growing financial needs would outstrip the money it receives from April 2015. Senior NHS officials told the BBC that growing financial needs would outstrip the money it received from April 2015.
Health Secretary Jeremy Hunt is involved in Whitehall talks on whether new money is needed to plug the gap.Health Secretary Jeremy Hunt is involved in Whitehall talks on whether new money is needed to plug the gap.
The Department of Health said it was "confident" it would "make the savings necessary to meet rising demand".The Department of Health said it was "confident" it would "make the savings necessary to meet rising demand".
NHS England's budget for 2015 has been set at about £100bn.
'On track'
The NHS has seen a prolonged budget freeze as part of the government's plan to reduce the country's deficit.The NHS has seen a prolonged budget freeze as part of the government's plan to reduce the country's deficit.
Its budget has been protected from cuts which have affected most other departments, but spending has only risen at the rate of inflation.Its budget has been protected from cuts which have affected most other departments, but spending has only risen at the rate of inflation.
Factors including population growth have led to increasing demand on NHS services, and higher NHS pension costs have added to the financial pressure.Factors including population growth have led to increasing demand on NHS services, and higher NHS pension costs have added to the financial pressure.
In a statement, the Department of Health said: "The NHS is on track to make £20 billion savings this parliament and we are confident that it will continue to make the savings necessary to meet rising demand."In a statement, the Department of Health said: "The NHS is on track to make £20 billion savings this parliament and we are confident that it will continue to make the savings necessary to meet rising demand."
But some health chiefs told the BBC the sums for the financial year beginning next April - just before the general election - do not add up.But some health chiefs told the BBC the sums for the financial year beginning next April - just before the general election - do not add up.
'Gap after savings''Gap after savings'
Meanwhile, an estimate by the health regulator Monitor underlines the possible scale of the challenge.Meanwhile, an estimate by the health regulator Monitor underlines the possible scale of the challenge.
It says there is a funding gap of just over £5bn for 2015-16 in NHS England's £78bn commissioning budget for all secondary healthcare - which makes up about three quarters of NHS England's total budget and includes hospitals and mental health services.It says there is a funding gap of just over £5bn for 2015-16 in NHS England's £78bn commissioning budget for all secondary healthcare - which makes up about three quarters of NHS England's total budget and includes hospitals and mental health services.
Even after all realistic efficiency savings are made, Monitor says, a deficit of £1.6 billion will remain in this section of the budget.Even after all realistic efficiency savings are made, Monitor says, a deficit of £1.6 billion will remain in this section of the budget.
The concerns over NHS England's budget come after recent research by the Nuffield Trust suggested NHS Wales was facing a £2.5bn funding gap over the next decade.The concerns over NHS England's budget come after recent research by the Nuffield Trust suggested NHS Wales was facing a £2.5bn funding gap over the next decade.
Health Minister Mark Drakeford said that report, commissioned by the Welsh government, recognised long-term savings could be made if services continue to be reformed.Health Minister Mark Drakeford said that report, commissioned by the Welsh government, recognised long-term savings could be made if services continue to be reformed.