Hospital chiefs in west Hertfordshire predicting £1.5m overspend due to water works

Chief financial officer Don Richards pointed to the ‘unforeseen cost pressure’ relating to Legionella works
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Hospital chiefs in west Herts are predicting a £1.5m overspend as a result of ‘unforeseen’ spending on Legionella works at Watford General.

In a report to the of the West Herts Hospitals Trust board, chief financial officer Don Richards said they had been committed to deliver a break-even position.

But he pointed to the ‘unforeseen cost pressure’ relating to Legionella works.

Hospital chiefs in west Herts are predicting a £1.5m overspend as a result of ‘unforeseen’ spending on Legionella worksHospital chiefs in west Herts are predicting a £1.5m overspend as a result of ‘unforeseen’ spending on Legionella works
Hospital chiefs in west Herts are predicting a £1.5m overspend as a result of ‘unforeseen’ spending on Legionella works

And he said that this was driving the forecast deficit position – expected to be £1.5m by the end of the 2021/22 financial year.

He also reported that discussions were ongoing with the Hertfordshire and West Essex Integrated Care System to see if additional funding could be made available.

“Despite a commitment to deliver a break-even position, an unforeseen cost pressure relating to Legionella works is driving the forecast deficit position,” says the report to the board.

“Discussions are ongoing within the ICS to see if there are any additional funding streams available to the organisation to help mitigate this cost pressure.”

Following the meeting – which was held virtually on Thursday, October 7, – the Trust’s director of environment Paddy Hennessy confirmed that some issues had been identified and that the Trust planned to invest in the ‘upgrade’ work required.

“We have identified issues with the temperature control and condition of the pipework in some buildings across our estate,” said a statement from Mr Hennessy.

“As part of our water hygiene controls, we routinely monitor hot and cold water temperatures and carry out water sampling to ensure patient safety.

“We are significantly investing to carry out the necessary upgrade work.”

At the same meeting, the Trust board agreed a business case for ‘enabling’ works at the Watford General site – ahead of future development.

The £19.4m package of proposed ‘enabling’ works includes the relocation of pathology, the relocation of surge units and the relocation of the VIE (oxygen) plant.

And, according to a report presented to the Trust board, it would be ‘essential’ to provide a cleared site for construction of new hospital buildings.

All short-listed options for the future development of the hospital – aside from ‘business as usual’ and ‘do minimum’ – would require major new building on the site, immediately south of the current Watford General.

The Trust does not have funding for the ‘enabling’ works. But following the board’s approval of the business case, the Trust would need to seek funding from NHSE&I or the New Hospital Programme.

According to the report, as part of the proposed work a new ‘modular build’ would be in place for pathology and the mortuary.

There would be provision of an additional 64 beds in the Shrodells building to allow for the demolition of the Granger building.

And a new VIE (oxygen) plant would be constructed – allowing for the demolition of the current facility, which sits next to the existing pathology unit.

The changes, says the report, would result in annual savings of £1.4m from 2023/4.

According to the report the Trust is now ‘unlikely’ to submit its ‘final business case’ for the ‘acute redevelopment programme’ until 2024 – although the report acknowledges it could be brought forward.

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