The King's Fund responds to NAO report on NHS financial management and sustainability

Commenting on the National Audit Office's new report on the financial management and sustainability of the NHS in England, Siva Anandaciva, Chief Analyst of The King's Fund, said: 

‘This report comprehensively shows the desperate state of NHS finances that the new government has inherited. It should act as a warning to politicians of the tough decisions yet to come. 

‘Deep financial deficits have now spread widely across the NHS and are having a substantial impact on patients. Some NHS trusts have been forced to reduce staffing or delay transformation plans that could give patients faster access and higher quality of care when they need it.  

‘For too long, financial planning in the NHS has been plagued by a lack of candour and transparency. Many local NHS organisations feel pressure to submit financial plans based on hope rather than reality.  

‘In his new role, the Secretary of State for Health and Social Care has talked about the need for honesty. The government can now decide if it wants NHS organisations to keep submitting overly optimistic financial plans, or the financial plans NHS leaders really believe they can achieve.'