The Scottish Government could intervene in the running of NHS Orkney due to the financial hardships the health authority is facing.
The board of NHS Orkney has been moved to level three of the recently published NHS Scotland Support and Intervention Framework.
This was confirmed today by NHSO chief executive Laura Skaife-Knight.
There are five levels in the support and intervention framework. Stage three will mean the Scottish Government undertaking “significantly enhanced support and scrutiny” of NHS Orkney.
Ms Skaife-Knight said the situation has come about due to the isles health authority’s “deteriorating financial position”.
If the situation doesn’t improve, NHS Orkney could be moved on to the next levels of the government’s framework.
This would mean reporting directly to a Scottish Government assurance board.
Beyond that, the Scottish Government could exercise “Ministerial powers of intervention.”
During an NHS Orkney board meeting near the end of October, members said there would be difficult decisions ahead.
NHS Orkney reached its projected year-end overspend within six months
This was in light of the health body having passed its projected year-end overspend of £3.1million within the first six months of this financial year.
Reacting to the news Ms Skaife-Knight said: “We have this week received confirmation from the Scottish Government that we have been moved to the first stage of formal escalation due to our deteriorating financial performance, which we have updated our local community on in recent months.
“The board has been moved to level three of the recently published NHS Scotland Support and Intervention Framework, which is the first stage of formal escalation as a result of the deviation from our agreed financial plan for the year.
“This is not where we would wish to be, however, we see escalation as a much-needed intervention and an opportunity to ensure we see the improvements that are necessary so that our financial position can be recovered and so that we move to more sustainable solutions and ways of working.
She added: “We will fully embrace this process. We will welcome the additional national support NHS Orkney will receive.
“The details of this remain under discussion and are being worked through.”
Of Scotland’s 14 territorial health boards, six currently sit at stage three or higher.
These are:
- NHS Ayrshire and Arran
- NHS Borders
- NHS Forth Valley
- NHS Highland
- NHS Orkney
- NHS Tayside
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