A new formula for allocating funding for NHS boards will be introduced from 2009/10, Cabinet Secretary for Health and Wellbeing Nicola Sturgeon announced today.
Sturgeon said the adjustments to funding for the 14 territorial health boards will be phased in over a number of years and no board will receive a cut in funding.
The announcement follows the NHS Scotland Resource Allocation Committee (NRAC), which was charged with reviewing NHS health board funding, submitted its final report to the Scottish Government.
Sturgeon said: "Having studied the proposals from NRAC in detail, I have decided to accept all their recommended changes to the Arbuthnott Formula.
"I place high importance on the need to avoid turbulence in NHS board funding and can confirm that no board will receive less funding than it does at present and any changes will be phased in over a number of years, as has been the practice under both the previous SHARE and Arbuthnott formulae.
"I am grateful for the valuable contribution NRAC has made in assessing resource allocation across Scotland. They have done this in a fair, objective and transparent manner, with the full engagement of stakeholders.
"I am also grateful for input and comments from the Health and Sport Committee and health boards. This will help shape the future development of the formula under the new review group."
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