Senior doctors say clinicians must be involved in any decisions made about changes to services at Wellington Hospital.
Capital and Coast District Health Board, which is facing a $60 million budget blow-out this year, is cutting $17 million from hospital spending and a further $10 million from community services.
The savings are part of a financial recovery plan agreed with the Ministry of Health.
Some community providers have been told their contracts will be axed from 1 July.
The DHB's director of planning and funding, Sandra Williams, says some services will be cut and some contracts not renewed. However, frontline services will not be cut.
But the chairman of the Association of Salaried Medical Specialists, Jeff Brown, says while health boards are under pressure to cut costs, it is hard to see how such massive savings could be achieved without harming services.
Dr Brown says health professionals must be included in any discussions about structural changes.
Primary health boss calls for national approach
The head of Wellington region's largest primary health organisation says a national approach is needed to deal with budget blow-outs at big district health boards.
Compass Health chief executive Cathy O'Malley, says the organisation's funding will be cut by $3 million, which will inevitably affect services.
She says health baord budget deficits cannot be managed at a local level and the funding formulas need to be looked at.
Ms O'Malley says Compass is exploring different funding options to keep some services going when the cuts come into effect.
Of the organisation's $46 million worth of contracts, $33 million is fixed by Government policy.
Mental health services
A lobby group campaigning against cuts in the health sector says it is horrified at the DHB's plans.
A spokesperson for Health Cuts Hurt, Heather Carter, says she is particularly concerned at the cuts to mental health services, which are already struggling to cope with demand.
Ms Carter says rather than spending millions of dollars on the 2011 Rugby World Cup and other high-profile events, the Government should be focusing on what people need.
