PARLIAMENTARY WRITTEN QUESTION
NHS: Finance (1 December 2014)

National Health Service trusts and foundation trusts do not receive budgets directly from the Department of Health. They receive income from NHS England and clinical commissioning groups, for the provision of services.

The income for NHS trusts and foundation trusts from 2010-11 to 2013-14 as per the Department of Health Annual Report and Accounts is shown in the table below.

Notes:

1. The figures are gross and do not eliminate inter-company trading between NHS trusts and foundation trusts.

2. The income shown in the table includes both income from patient care activities and other non-trading income such as income for education, training and research.

3. The 9% real income growth for providers in 2011-12 is misleading as it reflects the transfer of the provider arm of primary care trusts to trusts and foundation trusts. The actual level of transfer is uncertain and so it is difficult to estimate a precise figure for expenditure growth to providers on a like basis in 2011-12.

Current expectations are that NHS providers will receive real terms increases in their income levels in 2014-15 and 2015-16, in line with the agreed increase in the total Departmental spending in these two years, as per this Government’s commitment to increase total NHS spending in real terms in every year of the 2010-11 spending review.

However, the actual growth levels will not be fully understood until the final accounts have been completed for both years, as this will depend upon the level of activity providers have delivered in the financial year.