My Department received a letter on 28th February from the Irish Voluntary Healthcare Association (IVHA) in relation to financial deficits in voluntary hospitals.
It is important to note the overall context, the additional Health funding provided in Budget 2025 includes an unprecedented increase in funding for the voluntary hospital sector. Funding increased from €3.3 billion in January 2024 to €4.1 billion in January 2025, an increase of 26% year-on-year. This additional permanent funding substantially addresses many of the legacy funding issues arising from pay and non-pay cost pressures which have impacted the sector over the last number of years.
With regard to any remaining issues in relation to the voluntary hospitals’ accumulated deficits built up over the last number of years, the CEO of the HSE has been engaging in meetings with the Boards and management of the individual voluntary hospitals over the past number of months. Arising from these discussions, the CEO has briefed my Department on the issue, and discussions between the HSE, officials in my Department and the Department of Public Expenditure, NDP Delivery and Reform in relation to this issue are ongoing.
Voluntary Hospital Funding 2024 vs 2025