H.—22.

The cost of hospital expenditure per head of the population in the United Kingdom is 7Jd., and including special hospitals Is. Id. per head. In Australia the hospital expenditure is 3s. per head, and the charitable-aid expenditure is ss. 3d. per head, or a total of Bs. 3d. per head on the population of the Commonwealth. In New Zealand the expenditure on hospitals is 4s. 6|d. per head and on charitable aid 2s. 3W., or a total of 6s. lOd. per head of the Dominion. In considering these figures it must not be forgotten that £325,199 was also distributed last year in old-age pensions. The sums distributed by private charity organizations cannot be estimated. The expenditure on charitable aid, as given above, simply represents the amount expended during the year by the various Charitable Aid Boards and separate institutions: it does not include grants made by the State to private institutions. Table XIV shows the cost per head of hospital and charitable-aid expenditure in each district on the population of the Dominion, and Table XV the percentage on, the rateable value in each district. Hospitals. The total hospital receipts for the year amounted to £247,045, as against £210,876 for the previous year, or an increase of £36,169. The chief items of increase were as follows:-— 1907-8. 1906-7. Increase. £ £ £ From Government ... ... ... 88,956 68,726 20,230 From local bodies ... ... ... G4,957 56,985 8,002 Bequests ... ... ... ... 3,273 2,329 944 Payments by patients ... ... 30,491 26,577 3,914 Receipts from other sources ... ... 15,096 5,599 9,497 Unfortunately there was a decrease of £1,510 in the amount received as voluntary contributions —viz., £12,127 —as against £13,637 of the previous year. I feel sure that this falling-off is due to the fact that in many districts no special efforts have been made to raise contributions. If properly approached the public is very generous about its local institutions, and I certainly think that if a special Saturday and Sunday were set aside throughout the Dominion for hospital collections, emulation between the various districts would be aroused and a splendid response made. The chief items in the increase of £24,838 in hospital expenditure are, — 1907-8. 1906-7. Increase. £ £ £ Rations, provisions ... ... ... 39,411 37,098 2,313 , Surgerv, dispensary ... ... ... 15,431 15,145 286 Fuel, light ... ... ... ... 13,248 11,616 1,632 Bedding, clothing ... ... ... 4,908 4,266 642 Furniture, crockery ... ... ... 6,649 4,700 1,949 Washing, laundry ... ... ... 1,708 1,639 69 Salaries, wages ... ... ... 63,171 55,653 7,518 Water-supply ... ... ... 1,757 1,543 214 Repairs ... ... ... ... 5,236 4,876 360 Additions to buildings, new buildings ... 39,499 31,508 7,991 Printing, advertising ... ... 2,021 1,861 160 Other expenses, including interest and commission ... ... ... 15,020 13,234 1,786 The only items in which there was a decrease in expenditure were, — 1907-8. 1906-7. Decrease. £ £ £ Wines, ales, <fcc. ... ... ... 1,084 1,174 90 Funerals ... ... ... ... 509 609 100 As regards this substantial increase it must be remembered that 1,639 more patients were treated in hospitals than in the year previous, and the total collective days' staj' was 553,119, against 549,371 ; the individual average days' stay in hospital, however, being 33"57 days, as against 34'71 in the previous year. The total expenditure on new buildings was £39,498 12s. 2d., the largest amounts being spent on the following hospitals, viz. : — „ Waikato ... ... ... ... ... ... ... 7,631 Masterton ... ... ... ... ... ... ... 5,448 Wellington ... ... ... ... ... ... ... 4,569 Palmerston ... ... ... ... ... ... ... 3,311 Nor is it probable that there will be any decrease in this expenditure for some time to come. The expenses of several recent additions to hospitals are not included in this year's accounts, and during the coming year considerable extensions are contemplated at no less than ten hospitals. An examination into the large increase in salaries —£63,171, as against £55,652 in 1906-7— shows that the salaries were increased at forty-four and reduced at five hospitals. At four institutions the salaries remained as they were last year. The chief cause of this increase is undoubtedly due to an extra demand and a difficulty in obtaining registered nurses. In many instances also the salaries of Medical Superintendents have been raised, and extra appointments have been made.

2