Our finances

Andrew Hopkins, Director of Finance
Andrew Hopkins, Director of Finance

The Trust had originally planned to achieve the following during 2017/18:

  1. The generation of £2m adjusted surplus (this is the Trust’s surplus adjusted for items that are outside the Trust’s control);
  2. The delivery of an ambitious £6.2m efficiency programme (equivalent to 4.8% of income); and
  3. The delivery of a £4.1m programme if capital investment

The 2017/18 financial plan assumed the Trust would continue to provide Suffolk community services, which represented around 17% of the Trust’s total income.  However, the service was transferred to another provider from 1 October 2018.  The loss of such a significant service led the Trust to revise its financial forecast for the year to a £2m deficit supported by a revised plan to deliver a £3m efficiency programme. 

The adjusted deficit actually delivered in 2017/18 was £1.4m, which was £0.6m better than the revised forecast. The improvement was primarily driven by £0.4m of additional income received from NHS England following a redistribution of sustainability and transformation funding incentive scheme.

Ongoing efficiency savings of £1.9m were achieved during the year through the Trust’s Cost Improvement Programme. Much of the saving was achieved through the continued redesign and modernisation of clinical services, as well as non-clinical savings from estates rationalisation and procurement initiatives. 30 different projects generated recurrent savings during the year. Other savings were achieved by delivering one-off savings during the year.

As in previous years, the sustainable delivery of savings continues to present a challenge to the Trust. Working in collaboration with other providers and commissioners through the Sustainability and Transformation Partnership is the key to securing the future for community services and will continue to be a major component of the long term financial strategy.

During the year the Trust invested £4.1m in capital schemes. A key area to support the efficient delivery of patient care was the maintenance programme for the Trust’s estate. The Trust also invested £0.3m in new replacement clinical equipment to support quality patient care, and £1.2m in Information Technology which includes further investment in mobile working to maximise the time staff spend with patients.

The Trust remains committed to prompt payment of suppliers by aiming to comply with the Confederation of British Industry (CBI) Better Payments Practice Code and are a signatory to the government’s Prompt Payments Code. The code requires us to aim to pay all valid invoices by the due date or within 30 days of receipt of a valid invoice, whichever is later.

2017/18 saw a deterioration on the previous year’s performance, with 81% of non-NHS trade payable invoices being paid within 30 days (85% in 2016/17). 65% of NHS payable invoices were paid within 30 days (77% in 2016/17). The reduction in performance follows the Trust’s continued robust review of all payment requests, which has resulted in an increase in queries and a subsequent decline in performance. This is largely a timing issue whilst the Trust waits to receive adequate information to ensure payments are appropriate.

Over the coming year the Trust will continue to work collaboratively in support of the local transformation programme in order to secure the future of community services and ongoing financial sustainability.

The longer term strategic approach will continue in parallel with the Trust’s internal plans to continue to explore opportunities for improvements and developments in our services alongside delivering financial efficiencies, mitigating cost pressures, strengthening core business and developing new service opportunities.

Annual Report

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Full details of our finances can be found in our Annual Report and Annual Accounts.

Expenditure over £25,000

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The HM Treasury require all NHS organisations to publish their expenditure over £25,000 on a monthly basis.

Agency Expenditure

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In support of the government’s Transparency Agenda, the Trust will publish quarterly reports detailing agencies used and staff groups they relate to...

Facility Time Publication

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As part of the Trade Union (Facility Time Publication Requirements) Regulations 2017 we are required to publish information in respect of employees who were relevant Trade Union officials during the period 1st April 2017 to 31st March 2018.

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