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EDITIONS
 Thursday, 18 April, 2002, 21:53 GMT 22:53 UK
NHS rescue package outlined
Tony Blair and Gordon Brown
Blair and Brown: Selling the tax rise to the public
The beleaguered National Health Service is to get thousands more nurses and doctors as a result of the extra �40bn of investment over the next five years.

Health Secretary Alan Milburn said that as well as 35,000 more nurses and 15,000 more doctors, 500 primary care centres and 40 new hospitals would be built for the NHS.

NHS shopping list
15,000 more doctors
35,000 more nurses
500 new primary care centres
40 new hospitals
On Thursday Prime Minister Tony Blair and Chancellor Gordon Brown sought to sell to voters the 1p rise in National Insurance (NI) announced in the Budget and that will be levied to pay for improvements.

But on a hospital visit in central London the two politicians were accused by NHS consultant Peta Longstaff of scoring an "own goal" by raising tax for low-paid doctors and nurses.

That was a point seized upon by Conservative leader Iain Duncan Smith who pointed out that as Europe's biggest employer, the NHS was itself faced with paying vastly increased NI contributions.

Liberal Democrat leader Charles Kennedy meanwhile welcomed the rise in tax but said "for many patients it has come anything up to five years too late".

NHS consultant Peta Longstaff
Dr Longstaff took the chancellor and prime minister to task
Mr Milburn's NHS reform measures included new financial incentives for hospital performance, more managerial freedom for top performing hospitals and trusts and reform of social services care for the elderly.

Shadow health secretary Dr Liam Fox agreed there had to reform but warned the government was not about to be handed a "blank cheque".

The Tories have attacked Labour for breaking their pledge not to raise income tax.

But Mr Brown told Dr Longstaff: "The tax is done in a fair way. I would not have asked for a tax rise unless it was absolutely necessary."

Political gamble

And he insisted that Labour had kept all its promises on tax.

"It is a complete falsehood to suggest that we have not," he said.

Ministers are aware that they are taking a gamble politically and if patients do not see improvements in the NHS then there may well be an electoral price to pay.

Mr Blair was at pains to point out in a speech to doctors that improvements would take time.

Effect of tax increases
Average income (�21,400): Up �3.70 a week
Above average earnings (�32,100): Up �5.75 a week
Below average earnings (�10,700): Up �1.65 a week
Dr Fox dismissed Mr Milburn's statement as "waffle".

But Mr Duncan Smith said that the government had failed to look at alternative ways of delivering healthcare.

"Health services everywhere else in the world spend more on their citizens," he said.

"The key question here is why do they get more out of what they spend."

Meanwhile Mr Kennedy said Labour's admission that tax rises were needed changed the "contours of politics in a more honest and transparent fashion".


Iain Duncan Smith
Iain Duncan Smith: Labour offering no change, no difference
News imagePublic verdict

A pensioner, a doctor and student give BBC News Online their Budget verdicts.


News image
In his Budget, Mr Brown said NHS funding would rise by an average of 7.4% in real terms each year, increasing from �65.4bn this year to �105.6bn in 2007/08.

It means UK health spending will increase from 6.7% of domestic economic output in 1997 to 9.4% by 2007/08, compared with a current European Union average of 8%.

Helping families was another target of the Budget and Home Secretary David Blunkett has given more details of how that money will be spent.

The National Family and Parenting Institute will receive a �2m grant over the next three years to look at the problems facing "dysfunctional families", Mr Blunkett announced.

  WATCH/LISTEN
  ON THIS STORY
  The BBC's Niall Dickson
"They are making big promises"
  Tony Blair, British Prime Minister
"There is a danger of expectations"
  Conservative leader Iain Duncan-Smith
"Waiting lists are still rising"
  The BBC's Vicki Young
"The Tories remain sceptical"
 VOTE RESULTS
The Budget: Has the chancellor got it right?

Yes
News image 43.20% 

No
News image 56.80% 

25637 Votes Cast

Results are indicative and may not reflect public opinion


Key stories

Analysis

QUIZ

BUDGET DIARIES

AUDIO VIDEO

TALKING POINT
See also:

18 Apr 02 | Health
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