The Government has announced that it is increasing the NHS budget by 4% per year, taking total NHS funding from £35 billion in 1997-98 to £110 billion in 2010-11. This extra investment is intended to fund measures set out in Lord Darzi's Our NHS, Our Future interim report.
The latest proposals include a new strategy to reduce health inequalities in life expectancy and infant mortality, and there will be additional resources to tackle child obesity. Up to £100m will be spent on developing a new “Health Innovation Council” to speed up innovation in the NHS. Funding will also be increased for health research, to deliver further reductions in cancer waiting times, and to ensure a named midwife for all pregnant women.
In a bid to combat hospital acquired infections, the Government has allocated a total of £130m for the introduction of MRSA screening for all patients, increased powers for matrons, tougher regulation on infection control and a further £140m by 2010-11 to reduce C. Difficile infections.
Health Secretary Alan Johnson also announced a substantial £170 million expansion of psychological therapies to provide better support for people with mental health problems such as anxiety and depression.