Payment by results is 'overly complicated' says healthcare finance expert in new report from ACCA
Association of Chartered Certified Accountants
Senior ACCA (the Association of Chartered Certified Accountants) members working in various healthcare sectors around the world explain how healthcare funding operates in their country in a new publication from the global body for professional accountants.
Global perspectives on methods of healthcare funding contains feedback from ACCA finance experts in 17 countries, including England, looking at the advantages and disadvantages of funding systems and the management of healthcare services.
Sarah Hathaway, head of ACCA UK, says: “Globally, health services are facing similar pressures - ageing populations, shortage of doctors and nurses, increases in chronic diseases and technological advances that increase costs. There is also an increasing demand and expectations from patients.
“ACCA’s belief is that accountants have an important part to play in ensuring the efficient use of healthcare resources – whether the funds are from the public purse, or from private insurance. In England, it is clear from this report that payment by results (PbR) has changed the NHS considerably.”
England’s respondent to the report, Michael Schofield, FCCA Chief Financial Officer at Brighton and Hove CCG and High Weald Lewes Havens CCG, explains: “PbR worked very well during the period of funding growth, but it has proved less satisfactory in today’s environment of flat-line funding and year-on-year increases in demand.”
When asked what other countries could learn from the English system, Mr Schofield said: “Most countries are trying to ensure effective spending on health care. The models used tend to stem from the culture of the country and England is justly proud that health care is provided free at the point of access; the NHS is owned by the population, which is both a blessing and a curse.
“Unlike Scotland and Wales, England does not have an integrated health service. A number of countries across the world are considering services integration and I think this is an area where there is potential for joint learning across the globe.”
Sarah Hathaway concludes: “ACCA’s paper shows that there are complexities with healthcare funding, and there are many challenges ahead for the delivery of high quality, cost effective healthcare across the world. While countries may have different systems, they experience some of the same problems. But what is clear from this report is that each can learn from one another.”
Notes:
The report Global perspectives on methods of healthcare funding can be found on ACCA’s website at this link: http://www.accaglobal.com/content/dam/acca/global/PDF-technical/human-capital/tech-tp-gpohc.pdf
