This article is from the source 'independent' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.independent.co.uk/news/uk/politics/nhs-national-insurance-health-a7451976.html
The article has changed 2 times. There is an RSS feed of changes available.
Previous version
1
Next version
Version 0 | Version 1 |
---|---|
Fund NHS entirely with National Insurance, Labour MP Frank Field suggests | Fund NHS entirely with National Insurance, Labour MP Frank Field suggests |
(about 2 hours later) | |
NHS spending should be entirely funded by National Insurance in order to safeguard the future of the health service, a senior Labour MP has suggested. | NHS spending should be entirely funded by National Insurance in order to safeguard the future of the health service, a senior Labour MP has suggested. |
Frank Field said in a submission to a parliamentary inquiry into health service funding that the NHS currently found itself on “extremely shaky foundations”. | Frank Field said in a submission to a parliamentary inquiry into health service funding that the NHS currently found itself on “extremely shaky foundations”. |
An immediate 1p increase in National Insurance and further reforms to the tax would help close a £67.7bn funding gap over the next five years, the former Labour minister said. | |
He called for the Government to raise National Insurance to a level that would entirely fund the health service and social care – but to cut general income tax in by a “commensurate” amount. | He called for the Government to raise National Insurance to a level that would entirely fund the health service and social care – but to cut general income tax in by a “commensurate” amount. |
This would effectively turn National Insurance into a hypothecated NHS tax. | This would effectively turn National Insurance into a hypothecated NHS tax. |
The former minister also called for the tax to be made more progressive with a higher tax free threshold for lower earners – equal to the income tax threshold. | The former minister also called for the tax to be made more progressive with a higher tax free threshold for lower earners – equal to the income tax threshold. |
Mr Field said: “The NHS now has a unique place in the public’s affection. They not only wish to support the vision they have for the NHS with adequate financial contributions, but that they are up for a change in funding which will deliver them a better health and social care package when they need it. | Mr Field said: “The NHS now has a unique place in the public’s affection. They not only wish to support the vision they have for the NHS with adequate financial contributions, but that they are up for a change in funding which will deliver them a better health and social care package when they need it. |
“Having a greater sense of control over the money, and the vision of the Mutual members, I believe to be crucial to the next stage in the life of the one institution of the Attlee Government which still commands the affection of voters. | “Having a greater sense of control over the money, and the vision of the Mutual members, I believe to be crucial to the next stage in the life of the one institution of the Attlee Government which still commands the affection of voters. |
“This common affection for the NHS carries a huge advantage, at a time of major fracture in our society. Here is the one organisation to which people feel its binding qualities. Taking in the funding of social care marks also a clear development in a service to which the public is committed. | “This common affection for the NHS carries a huge advantage, at a time of major fracture in our society. Here is the one organisation to which people feel its binding qualities. Taking in the funding of social care marks also a clear development in a service to which the public is committed. |
“The reforms will not be the last word on an evolving National Health and Social Care Service. But I believe they offer the best prospect of funding open to such a Service, and one which will raise the spirits of the electorate at this time.” | “The reforms will not be the last word on an evolving National Health and Social Care Service. But I believe they offer the best prospect of funding open to such a Service, and one which will raise the spirits of the electorate at this time.” |
Mr Field proposed similar reforms in a think-tank pamphlet published by Policy Network last year. | Mr Field proposed similar reforms in a think-tank pamphlet published by Policy Network last year. |
The NHS is facing a major funding shortfall with nearly half of hospital authorities are cutting bed numbers and a third of A&Es are set to close to cope with rising hospital deficits. | The NHS is facing a major funding shortfall with nearly half of hospital authorities are cutting bed numbers and a third of A&Es are set to close to cope with rising hospital deficits. |
In 2015, the NHS recorded its largest deficit ever of £2.4bn. Over the summer the Health Committee found Health Secretary Jeremy Hunt had broken funding pledges and claimed he was “misleading the public” over reforms. | |
Two-thirds of NHS trusts are now reporting deficits, according to a National Audit Office report released last week. That report found that provider trusts’ overall deficit grew by 185 per cent to £2.45bn, up from £859m on the previous year. |
Previous version
1
Next version