UPDATE: Skelton says NHI needs startup of $15M to $25M
He was responding to questions on Thursday April 17, 2014 during the Sixth Sitting of the Third Session of the Second House of Assembly.
“Could the Minister tell me how much he anticipates having at start up [of the NHI]?” asked Member for the Third District Hon Julian Fraser RA, directing the question to Hon Skelton.
“Madam Speaker the startup numbers are ranging right now from $15 million to $25 million,” responded Hon Skelton.
“Madam Speaker could the Minister for Health and Social Development please tell this Honourable House what is the annual cost of national health care and whether contributions to the National Health Insurance plan will be adequate to fund it?” asked Hon Fraser.
“Madam Speaker the NHI financial model report done by the… University of the West Indies (done in 2012) showed that the national health care expenditure totaled $58.5 million from the latest available data of 2009,” said Hon Skelton.
Hon Skelton elaborated that this figure represented Government’s expenditure for Peebles Hospital and the community health clinics, along with private health care expenditure on island and overseas. But he said it excludes Ministry of Health and Social Security expenditure.
The Minister said too that based on projections contained in the financial model for the NHI, total annual expenditure is expected to be $17 million in the first year with the new Peebles Hospital in operation. He said that Government’s direct contribution into the NHI financial model totaled $39 million.
He said that NHI revenue generation will be in the order of $74 million and that will be more than enough to cover cost of health care expenditure.
However, Hon Fraser was doubtful that the NHI would have any wiggle room to engage in any kind of investment. “The Minister talks about investments as if this fund will have excesses to invest, which I doubt very much. Could he elaborate on that?” asked Hon Fraser.
In response, Hon Skelton said that the economic study done on NHI shows that there will be reserves which will generate some level of returns.
See previous story published on April 8, 2014
'Don’t finance NHI with Social Security Fund' – Hon Fraser warns
Dep. Premier says everyone must pay their fair share for programme to work
ROAD TOWN, Tortola, VI – Representative for the Third District Honourable Julian Fraser RA called on Government to come clean on their plans for the introduction of National Health Insurance and warned against what he believed are Government’s plans to tap into the Social Security fund to make it happen.
He was speaking today, April 8, 2014 at the continuation of the Fifth Sitting of the Third Session of the Second House of Assembly.
“The Minister owes it to the people to explain how this programme is expected to function,” said Hon Fraser, during his contribution to the debate on the Social Security Amendment Bill, the legislation which will pave the way for the introduction of National Health Insurance (NHI).
“How will it be funded?” he asked. “Was this question asked? Can the economy of the Territory bear that cost? Can small businesses sustain it?” asked Hon Fraser.
“I am sure every one of you (referring to the Government Members) have heard the questions that I am hearing. You might be in a position to ignore them. I am not. Don’t shoot the messenger,” said Hon Fraser.
He pointed out that the House of Assembly’s Members cannot sit in the House and make decisions that affect the people of the Territory without consulting them. “Are you telling me that you will take my money and I don’t have a say?” he asked.
“My calculations for NHI is somewhere [in the region] of $52 million per year to be deducted [from citizens],” he said. “Government needs to come clean and tell us what the plan is,” Hon Fraser stated.
He is of the view that the NHI should be a statutory body separate and apart from Social Security and the Health Care Authority and standing on its own. He also wondered whether Government will use the Social Security fund.
Deputy Premier and Minister for Natural Resources and Labour Dr the Hon Kedrick D. Pickering defended the proposed legislation and the Government’s plans to bring the NHI to reality. He defended also the Government’s position on consultations, saying that while these were not perfect, they were held.
Dr the Hon Pickering said 65 percent of persons in the Territory are not insured and said that NHI is not only important but an imperative at this time.
He made the point that improved health care in the Territory must be funded and Government cannot do that in the way it is going right now.
“The essence of this debate, Madam Speaker, there [are] always issues with respect to details,” he said. “But there is a reason why they say the devil is in the details,” he said. “But the most important issue surrounding [NHI] and advancing health in this country is that the Government cannot finance healthcare the way it is going right now,” he said.
“The Member for the Third District raised the question: can we afford to? [But I ask] can we afford not to?” he asked.
“You talk about the next generation. The next generation will kick us in our butt if we don’t make the right decisions now,” said Dr the Hon Pickering. “Yes we have details to work through. Yes there are questions to answer. No country Madam speaker is going to meet its full potential unless every citizen pays their fair share,” he said. “If you’re not paying Social Security or Employment Tax you’re robbing the rest of your brothers and sisters,” he said.
By post time, the House of Assembly had adjourned for lunch. The debate on the Bill will continue upon the resumption of the House.
.png)
.png)
.png)
Follow Us On
31 Responses to “UPDATE: Skelton says NHI needs startup of $15M to $25M”
Department.
In the Social Security Agency, clients are taken into private rooms to
That's a 10 MILLION dollar difference ! no small number. Can't we have a more accurate accounting of our tax payers money?