NHS TAYSIDE plans to make more than £15 million by selling off assets to balance its books — including land at Ninewells Hospital.
In a report, bosses at the health board revealed a five-year strategy to dispose of assets to the tune of an anticipated £15.4m.
It comes after it was revealed NHS Tayside needs to cut £175m from its budget.
Opinion: Sell-off just a drop in ocean
NHS Tayside’s budget problems have been well-documented recently, so this latest development may come as little surprise.
It is understandable that the health board is looking to sell off surplus properties in a bid to raise funds (see page 9).
Older buildings, which may have fallen out of use, are currently doing little more than running up repair bills which force the NHS to spend money on the upkeep.
And of course, in some cases, these properties may no longer be suitable for the needs of 21st Century healthcare.
The health and wellbeing of Taysiders must take priority and providing a modern and effective system for care in our area must be the goal for the NHS.
If the sale of these properties raises the expected £15.4m then the funds may well be a welcome boost for NHS Tayside.
However, with more than £175m worth of savings needed in the next five years, this is just a drop in the ocean. But every little helps.
The disposal receipts are expected to raise £4.5m in 2016/17 and also in 2017/18. That figure is hoped to increase to £5.4m in 2018/19.
A further £1m in revenue is anticipated for the year 2019/20.
The report read: “The board maintains a rolling five-year asset disposal strategy, which is designed to bring the portfolio of assets to a profile in keeping with the activities of the board.
“This is done by targeting assets such as tenanted residential properties, surplus land and buildings no longer fit for purpose.”
There are 24 properties and sites that are held for sale on NHS Tayside’s books.
In this financial year, discussions are ongoing with a potential buyer for surplus land at Ninewells Hospital.
A further 12 properties are hoped to be sold during 2016/17, including Little Cairnie Hospital, Arbroath, for £250,000 and Panmure House, near Carnoustie, for £200,000.
In 2017/18, Murray Royal Hospital will be retailed in two separate plots.
An NHS Tayside spokeswoman said: “Over the past year, NHS Tayside clinicians have developed clinical services strategies based on the best clinical evidence to deliver high-quality, safe and effective patient care.
“The strategies point to a significant shift to services away from hospital to provision in the community and people’s own homes.
“NHS Tayside has an extensive property footprint with many old buildings that no longer provide a suitable environment in which to care for our patients.
“By reducing the property footprint in Tayside and the associated backlog maintenance costs, we can release funds to be invested into frontline clinical and care services.
“The majority of properties on the asset disposal list have been declared surplus to requirements and many are empty. For those properties that still have services or staff within them, arrangements are in place to relocate to a more suitable, fit-for-purpose environment.”