Hospitals’ income increased by €30million in first five months of the year

Public hospitals saw an increase of nearly €30 million in the amount of income they generated from private patients as well as from statutory in-patient and day-case charges in the first five months of the year.

The Department of Health and the Health Service Executive told the Oireachtas Joint Committee on Health and Children yesterday that hospitals realised €224.6 million from private bed charges and statutory inpatient and day case charges from January to May 2014.

The department told Fianna Fáil's health spokesman Billy Kelleher that this compared to €195.9 million generated from private bed and statutory in-patient and day-case charges in the same period in 2013.

Last year the Department of Health put in place controversial increases in private bed fees in public hospitals as well as corresponding reductions in statutory charges. The department said at the time the measures were aimed at generating €30 million in a full year.

However, at the time the health insurance industry argued that the level of increases in private bed charges put in place by the department would generate additional income of more than €100 million, way above the €30 million annual target set by Minister for Health James Reilly.

Higher rates

The Minister said at the time that the higher private bed rates had been set at a level intended to raise an additional €30 million in hospital revenue this year.

The department said last night that the Minister had previously stated he would keep rates under review in respect of this revenue target for 2014 and this remained the case.

It said further information would be required to arrive at a clearer picture. “For example, it’s too early to say if the number of private patients has increased or decreased as numbers of patients using the hospital system varies from quarter to quarter – it isn’t evenly spread through the year.”