1.2.3 Funding allocations and financial flows

Question 1

What is the NHS mainly funded from?

Answer 1

General taxation and National Insurance contributions.

Question 2

What increased in 2001 intended to boost funding and increase the proportion paid for by this?

Answer 2

An increase in National Insurance rates intended to boost NHS funding and increase the proportion paid for by NI.

Question 3

What still accounts for around 80% of NHS funding?

Answer 3

General Taxation.

Question 4

Who sets the level of NHS funding in a given year and through which process.

Answer 4

The level of NHS funding in a given year is set by central government through the Spending Review process.

Question 5

Which process estimates how much income the NHS will receive from sources such as user charges, National Insurance and general taxation?

Answer 5

The Spending Review Process.

Question 6

What happens if National Insurance or patient charges raise less funding for the NHS than originally estimated?

Answer 6

Funds from general taxation are used to ensure the NHS receives the level of funding it was originally allocated.

Question 7

Who allocates money to the DHSC and who does the DHSC allocate money to?

Answer 7

The Treasury allocates money to the DHSC which allocates money to NHS England.

Question 8

What does the DHSC retain a proportion of the budget for?

Answer 8

Its running costs and the funding bodies such as PHE.

Question 9

In November 2015 what did the Government announce fir the NHS?

Answer 9

A five year funding settlement for the NHS.

Question 10

Within the five year funding settlement for the NHS What will annual funding rise in real terms by in 2016/17 and 2020/21?

Answer 10

£3.8bn in 2016/17 and £8.4bn in 2020/21

Question 11

What are responsible for approximately 2/3 of the total NHS England Budget?

Answer 11

CCGs.

Question 12

Within England, what has the estimated total NHS spending on medicines in England grown from and to? What is this an average growth of per year?

Answer 12

Grown from £13 billion in 2010/11 to £17.4 billion in 2016/17 which is an average growth of around 5% a year.

Question 13

What retains the budget for payment for specialised services?

Answer 13

NHS England (PQ)

Question 14

How much commissioning budget does NHS England receive from the DHSC? (2019/20)

Answer 14

£121.0 billion.

Question 15

How much budget allocation do CCGs receive from NHS England for commissioning healthcare service from provider organisations?

Answer 15

£79.9 billion

Question 16

How much budget allocation is retained by NHS England for commissioning of Primary Care services, specialised commissioning and public health services?

Answer 16

£41.1 billion

Question 17

What is the payment system in England under which commissioners pay healthcare providers for each patient seen or treated, taking into account the complexity of the patients healthcare needs?

Answer 17

Payment by Results (PbR)

Question 18

What is the unit of healthcare called for which a payment is made and can take a number of form covering different time periods from an outpatient attendance or a stay in hospital , to a year of care for a longer term condition?

Answer 18

Currencies.

Question 19

What are the set prices paid for each currency called?

Answer 19

Tariffs.

Question 20

What does PbR currently cover the majority of?

Answer 20

The majority of acute healthcare in hospitals.

Question 21

What is used for admitted patient care, outpatient attendances, accident and emergency and some outpatient procedures?

Answer 21

National Tariffs

Question 22

Approximately what percentage of NHS funding comes from taxation and National Insurance payments?

Answer 22

98%