1 Oct 2020

Health Minister warns Canterbury DHB over deficit at meeting

From Checkpoint, 5:24 pm on 1 October 2020

The Health Minister has told the indebted Canterbury DHB it's in an unsustainable position and needs to get back on a stable financial footing when he met face to face with officials and staff today.

The DHB's deficit is around $180 million and seven of it's 11-strong management team including the chief executive resigned within weeks of each other earlier this year, amid allegations of a toxic and adversial relationship with the board and Crown-appointed monitor, and an unrealistic push for savings.

Ministerial briefing documents released under the OIA show Treasury firmly believes the DHB's debt is "disproportionately" due to poor management and governance issues, with just some the result of underfunding over a decade.

It claims there are cultural challenges within the DHB and labels the narrative around a new acute services building being at the centre of its money troubles a big distractions - in complete contrast to concerns raised by some staff.

Lisa Owen asked Minister Chris Hipkins who he believes, given the conflict in opinion between Treasury and coal-face hospital staff over the causes of the massive debt.