Jersey’s Government is disputing a spate of increased healthcare charges from UK hospitals after they contributed to a £1.5m overspend on specialist care services in the first four months of the year.
The unexpected cost spike – which was discussed at the most recent meeting of the Health Advisory Board – is largely due to a 10% rise in demand for off-island specialist treatment, along with price increases from several major UK hospitals.
The Government of Jersey is now disputing Oxford University Hospital’s price hike, claiming that it may breach the reciprocal health agreement between the island and the UK, which requires that Jersey patients be billed at standard NHS rates.
There is the “possibility of a refund”, according to the minutes of the board meeting.
According to the response to a request made under the Freedom of Information Law, the Government spent almost £2.7m on sending local cardiac patients to the Oxford John Radcliffe Hospital and Oxford University Hospitals in 2023.
The Health Department’s expenditure on local cardiology services in the same year was just under £1.4m, including staff and operational costs.
This month’s Health Advisory Board meeting minutes also revealed that Cambridge University Hospital applied a retrospective rate increase, but this was permitted under the contract terms.
The Health Department also reported a £300,000 overspend relating to patient travel costs due to increased referral numbers and price inflation.
Schemes to manage demand for off-island referrals are now being put in place, according to the minutes.
These measures are expected to require policy changes and Ministerial approval before they can be introduced.
Separately, the Health Department is investigating a £700,000 overspend in mental health services.
This costs relate to patients on UK placements incurring significant additional observation
costs last year.
“These are being scrutinised and challenged with a resolution expected by next month,” the minutes said.
