HOSPITAL BENEFIT

Wairarapa Times-Age, 4 June 1943, Page 2

HOSPITAL BENEFIT

UNDER SOCIAL SECURITY. INCREASED TO NINE SHILLINGS. (By Telegraph—Press Association.) WELLINGTON, This Day. f The hospital benefit from the Social Security Fund is to be increased from 6s to 9s a clay, the Minister of Finance, Mr Nash, announced in his Budget speech in the House of Representatives last night. , Since the present hospital benefit of.-/. 6s a day per occupied bed was granted there has been a substantial iri-„ . crease in the cost of maintenance of patients, he said. After analysing the position and considering various alternative proposals, a decision has been reached to increase the hospital benefit from 6s to 9s a day.

The cost to the Social Security Fund is estimated at £600,000 for this financial year, but there will automatically be a reduction in hospital subsidies from the Consolidated Fund of half the amount payable to hospital boards. This has been adjusted by an increase in the amount transferred from the Consolidated Fund to the Social Security Fund. Portion of the increased payment from the Social Security Fund will go to patients of private hospitals, and the net relief in hospital levies on local bodies will be about £250,000.

Levies on local authorities for 193940 determined upon by hospital boards before the introduction of hospital benefits amounted to £1,094.000. For 1942-43 the amount was £1,318,000, an increase over the period of £224,000. The proposed increase to 9s a day should thus generally meet the increase since 1939-40.