HSE paid out almost €80m in legal fees over past 3 years

THE HEALTH Service Executive (HSE) has paid out nearly €80 million in legal fees over the past three years or so, new figures…

THE HEALTH Service Executive (HSE) has paid out nearly €80 million in legal fees over the past three years or so, new figures reveal.

In a report given to the Fine Gael health spokesman, Dr James Reilly, in reply to a parliamentary question, the HSE said that its bill for legal fees last year alone was €30.3 million.

It said it had paid out €7.3 million in the first four months of this year. The HSE also spent about €20 million on legal fees in both 2005 and 2006.

The HSE said the bulk of its legal costs were incurred in relation to its childcare services.

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"For example, the HSE is legally obliged to go to the High Court whenever a court order is needed to take a child into care. Overall, the HSE has issued guidance to its managers with regard to legal expenditure to ensure that this is incurred on a value-for-money basis and only where necessary," it said.

Last week the HSE faced controversy when it emerged that it had paid out €300 million on staff travel and mileage costs over the past three years

The figures show that the HSE's bill for travel and mileage was more than €93 million last year, with a further €30 million spent in the first four months of this year.

Fine Gael health spokesman Dr James Reilly, who also obtained the details in reply to a written parliamentary question, yesterday strongly criticised the level of spending on transport in the HSE and said the "staggering" amounts involved should have been put to better use.

However, the HSE said it had already clamped down on travel and subsistence except where necessary to deliver clinical services.

It emerged last week that the HSE is seeking to generate €250 million in cost-containment measures by the end of the year. HSE management told trade unions last week that it would be looking to make these savings in non-frontline areas.

The areas earmarked for savings include training; capital funding for technology services; population health; travel and subsistence; employment control; laboratory services, telephony costs and unpaid leave.

The HSE did not give details of the precise nature of the cost-containment measures, but said it would engage closely with trade unions on the issue in the coming weeks.

A HSE spokesman said it was extremely eager to avoid the measures impacting on frontline services, but that it would not be able to do this unless it had the unions' co-operation.

The HSE told the trade unions that it had overrun its official budget by €147 million in the first six months and was projecting a deficit of €300 million for the full year.

It said its community services - largely demand-led drug schemes - were €157 million in the red, while the hospital sector was €45 million over budget.

Martin Wall

Martin Wall

Martin Wall is the Public Policy Correspondent of The Irish Times.