NHS Finance

07.02.12

Negligence claims cost NHS £15.7bn

The NHS is facing a bill of £15.7bn due to a rising number of clinical negligence claims, according to a report by the Public Accounts Committee. This cost has increased by over 10% in a year. This year there were over 8,500 claims – an increase of 30% from 2009/10.

This rise is mainly the result of errors which leave babies brain damaged, but the compensation culture of ‘no win, no fee’ has also contributed to the increase. The committee has criticised the Government for failing to keep up to date with these trends and respond appropriately to cut costs.

The report, Whole of Government Accounts (WGA) for 2009/10 states: “We were surprised to find that Treasury did not have a grip on trends in some key areas of risk or plans for managing them.”

The calculation for the total negligence bill is based on the number of claims the NHS believes it will be unable to defend, the severity of the errors, and the estimated cost to pay the victim. This means the figure is only an estimate, and could change.

A spokesman for the Department of Health said: “The vast majority of the millions of people treated by the NHS every year experience good quality, safe and effective care.

“However, if patients do not receive the treatment they should, and mistakes are made, it is right that they are entitled to compensation and the NHS Litigation Authority plays a vital role in ensuring claims are settled as swiftly as possible.

“The Government’s ambitious proposals for reforming the civil litigation system will support the NHS in dealing with costly litigation cases.

“We want to strike the right balance between access to compensation claims and ensuring costs are proportionate, sustainable and affordable.”

Image c. Joe Logon

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