Financial management in the NHS is a report prepared jointly by the Audit Commission and the National Audit Office. Through this joint perspective, the report outlines the financial issues facing individual NHS organisations now and in the future, together with an overview of the effects of these issues at a national level and the consequences for the national health economy.
The report incorporates the findings from:
- The National Audit Office from their audit work on the NHS summarised accounts, the Department of Health's resource account, other statutory health organisations with a national remit, and their value-for-money reports into the health sector.
- The Audit Commission's appointed auditors' work on the 2003-04 accounts of individual NHS organisations.
This report also:
- Outlines the results of the audits of individual NHS organisations and summarises the financial management issues faced by the NHS in 2003-04.
- Summarises the aggregate financial performance of the NHS in 2003-04 and the financial performance of individual NHS organisations.
- Considers four key financial management and reporting themes.
- Sets out the main financial management issues faced by NHS bodies in 2004-05 and beyond.
Many NHS bodies need to improve their financial systems and financial management skills to meet the challenges of faster closing and improve their forecasting even under the existing financial regime.
The National Audit Office and the Audit Commission are committed to working with the Department, Monitor (the Independent Regulator for Foundation Trusts), and NHS bodies to support the NHS in the considerable task of improving its financial management arrangements.