West Gippsland Hospital is set to abandon more than 100 elective surgery operations over the next four months after a $1 million was cut from its National Funding Pool allocation.
West Gippsland Hospital CEO, Dan Weeks, delivered the grim news to those on the waiting list after the hospital was advised of the $1 million funding cut late last week.
Mr Weeks describes the significant reduction in funding as “a large blow to the West Gippsland Healthcare Group and the community.”
Mr Weeks also voices his concern over how the West Gippsland Hospital will be able to recover from such a drastic loss in funding.
“We had almost come three quarters of the way through this financial year and the West Gippsland Healthcare Group does not have the luxury of simply absorbing the loss.”
Last year, the West Gippsland Healthcare Group experienced a $3 million expenses blowout and an operating deficit over the financial year that amounted to $1.2 million.
In August, WGHG announced a three-year plan to restore financial security.
State Health Minister Jill Hennessy said the hit to the hospital’s bottom line came from a change in the way the Federal Government calculates health activity funding.