Financial Times FT.com

NHS needs to take £1bn out of costs after overspend

By Nicholas Timmins,Public Policy Editor

Published: June 8 2006 03:00 | Last updated: June 8 2006 03:00

The National Health Service in England will have to take more than £1bn out of its costs this year after its overspend last year doubled to £536m.

In the case of a small number of hospitals that have overspent by tens of millions of pounds, that "could be detrimental to patient care", the National Audit Office warned yesterday. It added that some have such large cumulative deficits that there is a question mark over whether they can remain "going concerns".

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