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Forum Brief: Health sector Budget response

Gordon Brown has announced a rapid increase in NHS spending, broadly in line with the conclusions of Derek Wanless in his review of future health spending needs.

The chancellor announced there would be a 7.4 per cent average annual real terms growth in UK-wide NHS spending for each of the next five years. This would take spending up to £72.1 billion in 2002/03, £87.2 billion in 2004/5 and then rising to £105.6 billion in 2007/08.

Forum Response: Unison

Dave Prentis, general secretary of Unison, told ePolitix.com: "The chancellor has given the NHS the kiss of life with today's budget statement. We congratulate the government for having the courage of its convictions to do the right thing by our health and public services. Millions of people will benefit from better quality health care.

"We are delighted that the government has listened to Unison and ignored the carping critics who want to see the NHS fade away. And we are delighted that the government has recognised that you won't get world class public services on the cheap.

"Unison will work with the government to ensure that the extra money brings about the world class public services that our communities deserve".

Forum Response: Cancer Research UK

Sir Paul Nurse, interim chief executive of Cancer Research UK, told ePolitix.com: "As the Wanless report highlighted, if we are going to seriously tackle the problem of poor cancer survival rates in this country we must see increased funding for the NHS coupled with improvements in the way this money is managed.

"Gordon Brown's budget is great news for the NHS and great news for patients. However, Cancer Research UK would like to see greater transparency so that funds intended for cancer services are spent on cancer services and not absorbed into NHS administration.

"Tobacco is the root cause of over 120,000 deaths in the UK every year. We are disappointed that the government has decided against a greater-than-inflation rise in tobacco taxes as we know from our own evidence that higher taxes help people quit. Less money would need to be spent on treating tobacco-related diseases, such as cancer, if more was done to encourage people not to smoke in the first place.

"There is little use pumping money into the NHS if we going to fill the cancer and heart wards with smokers who have no price incentive to quit."

Forum Response: Macmillan Cancer Relief

A spokeswoman for Macmillan Cancer Relief told ePolitix.com: "Macmillan's bill for irrecoverable VAT on its building costs is projected to approach £1 million in 2002 - money which could help fund almost 30 nurses. We are very disappointed that the government has not seen fit to stop penalising Macmillan for building better NHS cancer services. These include treatment centres, palliative care units and information centres, all designed to empower and support people living with cancer.

"The criteria applied to charities for direct and indirect taxation should have been simplified. This could be achieved by closer cooperation between HM Customs and Excise and the Inland Revenue. We would also like to have seen TOMS (Tour Operators Margin Scheme) exemption for EU challenge events. Instead, what a contrast between the way small businesses and charities are treated.

"Investment must reach the patient. At the moment, we share the concerns of the House of Commons Science and Technology Select Committee that this is not always happening. It is essential that the Government moves quickly to improve tracking systems, to match resources to results. Ministers must ensure extra investment in cancer services does not disappear within NHS general spending. Macmillan welcomes the proposed Annual Report and appointment of a new independent auditor as a step in the right direction.

"Macmillan is disappointed that the government has not done more to reduce the administrative burden of Gift Aid. Currently any money donated through collection boxes is not claimed for by the charity as the cost outweighs the benefits. Macmillan does welcome the announcement that tax payers can carry back their relief to the previous year and the encouragement for higher rate taxpayers to elect for the charity to receive the extra tax.

"As a cancer charity we welcome any measures which will discourage people from smoking. A third of cancers are smoking-related. Combined with the government's welcome decision to support the Bill to ban tobacco advertising, this six pence increase in duty is a positive step forward and may help to save lives."

Forum Response: Royal College of Nursing

Dr Beverly Malone, general secretary of the Royal College of Nursing, told ePolitix.com: "The RCN welcomes the chancellor's budget announcement reconfirming the government's commitment to the principles of the NHS, as well as substantial investment in the health service over the next five years.

"Sustained investment in the NHS is vital to improving services for patients. As identified in the Wanless report recruiting more and retaining existing staff is central to continuing the NHS reforms.

"We were pleased the chancellor mentioned Agenda for Change, the process of modernising healthcare staff career and pay structures which is critical to improving the health service. To do this, it is absolutely essential that there is a significant year-on-year increase in nurses pay.

"Nurses will particularly welcome increases in the working families tax credit as we know many nurses are forced out of the profession because of childcare costs. However this is only part of the solution as we need the NHS to become more family friendly."

Forum Response: Age Concern

Gordon Lishman, director general of Age Concern England, told ePolitix.com: "Age Concern congratulates the government on its intention to inject big boosts into the funding of health care and social services. But this is only part of the solution to the problem. We want to see the money targeted to prolong health and independence of older people and not just treat illnesses when they become acute."

"We look forward to working with the government to ensure older people have access to a range of good quality support."

Forum Response: Countryside Agency

Richard Wakeford, chief executive of the Countryside Agency, told ePolitix.com "Increased funding for the NHS and other essential services is very welcome - but delivery must take account of the higher costs of service provision in rural areas."

Forum Response: Usdaw

Bill Connor, general secretary of Usdaw, told ePolitix.com: "Many of our members have told us that investment is badly needed to upgrade local hospitals and surgeries. Chancellor Gordon Brown has struck a chord with the electorate who I believe will back his proposals and plans."

Forum Response: The Disabilities Trust

James Rye, external affairs director at The Disabilities Trust, told ePolitix.com: "We are pleased to see that the Chancellor has through personal tax allowances and an increase in the disability allowance added further income to the take home pay of a person with disability currently in employment, although on down side the National Insurance increases will affect disabled people disproportionally as they are among the poorest in our society.

"The chancellor also failed to do anything extra through his Budget to address the real problem which is that not enough people with disability can find meaningful employment, and this is the key not only to giving them a decent income but also means they then pay tax instead of depending entirely on benefits for a living".

Forum Response: Nestor Healthcare

A spokesman for Nestor Healthcare told ePolitix.com: "We have welcomed this budget and think it will cause an extremely positive effect on the NHS. We also endorse the emphasis made by the chancellor on social care."

Published: Wed, 17 Apr 2002 01:00:00 GMT+01