Turning Wales' five health authorities into 22 local boards will cost up to �15.5m - despite earlier government assurances the plan would be "cost-neutral".

Health Minister Jane Hutt announced in November she would restructure regional NHS management to match local authority boundaries and streamline operations in a drive to improve healthcare.

Part of a 10-year modernisation strategy, the move was widely criticised by opposition AMs, despite the minister's assurances of cost-neutrality.

But Ms Hutt's monthly report will tell the Welsh Assembly's health committee Wednesday the shake-up will cost between �12.5m and �15.5m.

Jane Hutt, 2001: 'Plans are cost-neutral'

Currently, Wales' health authorities filter money through to their 16 NHS trusts.

The plans will see the boards scrapped in April 2003 in favour of more compact authorities along local authority lines to encourage communication between health managers and their county councils.

They will be underpinned by a new, all-Wales National Public Health Service.

The minister had taken consultation from 345 parties in arriving at the policy proposal.

Proposal criticised

Members of the assembly voted through Ms Hutt's idea in November, despite fierce criticism from many AMs, some health professionals and unions about its complexity, beauracracy and cost.

Public sector union Unison said it believed 400 jobs could be lost as a result.

Jane Hutt's plans will cost �73.6m in total

Her plans were labelled "unworkable" before House of Commons MPs by two former Labour Welsh Office ministers who had health responsibiilty before the assembly's inception in 1999.

It was thought the Labour leadership brokered a deal with coalition partners the Liberal Democrats in order to secure a chamber-wide thumbs-up.

And, in an assembly plenary session on 27 November, Ms Hutt told AMs: "I have already told you that these plans are cost-neutral and that we will have a management cap."

Hospital building

The minister even stumped up �41m to wipe out health authorities' debts before the changeover.

But when health committee AMs hear of the multi-million poundnew costings on Wednesday, some are likely to stoke up the original furore over the restructure plans.

The Conservatives have already called for an independent inquiry into the matter.

Ms Hutt's monthly report also claims annual costs for running the new local health boards and the all-Wales service will be no more than the existing systems' �73.6m bill.

That means the boards will have �46m at their disposal while the National Public Health Service - at Cardiff's Velindre Hospital - will have �13.9m after the set-up costs.

Conservative health spokesman David Melding said: "This is dverting money away from patients. Perhaps the Minister could explain why she is restructuring the Health Service at considerable cost instead of building a new hospital, for example."