New research announced by independent health care charity, the Health Foundation, has predicted funding pressures on the NHS will increase to £65 billion above inflation by 2030/31. The findings show that the incoming government will have to face the ongoing challenge of sustaining high quality care while trying to balance the healthcare budget.
Anita Charlesworth, chief economist at the Health Foundation, commented: “Our analysis shows health funding pressures will continue to grow beyond the rate of inflation and economic growth. The projections from our work show the health funding requirement growing by 2.9% a year over and above inflation if productivity growth continues in line with recent trends. This is higher than the expected annual increase in GDP of 2.3%. It amounts to an additional £65 bn needed by 2030/31.
“NHS funding will therefore need to grow slightly faster than GDP. We are calling for the next government to establish a public and political consensus on the longer-term funding levels necessary for the NHS. The next government needs to act immediately in order to secure the future of the health service in years to come.”
Above the additional £8 bn that NHS England has identified is needed in its recent Five Year Forward View, the Health Foundation is arguing that the incoming government needs to: establish and resource a ‘transformation fund’ to provide the financial assistance necessary to underpin change; and to commit further annual funding for the NHS above what has already been identified.
