Action urged on Leicester hospitals' Compensation Bill
A medical indemnity body is calling on Liz Kendall MP to take action to prevent increases in multi-million pound compensation awards affecting Leicester NHS hospitals.
In 2014, more than £15 million was paid out on behalf of University hospitals of Leicester NHS trust to compensate patients and to pay legal fees in clinical negligence claims and the total figure since March 2008 is over £80 million*.
The multi-million pound litigation bill was met by the NHS Litigation Authority (NHSLA) which makes compensation payments on behalf of NHS Trusts, but the Medical Defence Union (MDU), the UK's leading indemnifier of doctors, says the increasing costs of awards to the NHS can no longer be tolerated.
Dr Michael Devlin, MDU Head of professional standards and liaison, said:
"Since 2008, over £80 million has been paid to compensate patients and to pay legal fees as a result of negligence in Leicester hospitals. This is money that cannot be used for care of other patients at a time when the NHS is facing unprecedented demand.
"We are facing a nationwide problem with the cost of clinical negligence claims. Claims inflation has been rising at a constant 10% for the last few years and compensation awards are doubling in value every seven years. Patients who have been negligently harmed need to be properly compensated so they know their health and social care needs will be met, but the NHS cannot continue to pay claims at this increasing rate.
"This is not a sustainable situation for the NHS or for taxpayers, who are footing these bills. We have written to Ms Kendall to highlight this pressing issue and to ask her to make legal reform an election pledge on behalf of her constituents."
Compensation awards can run to many millions of pounds because defendant bodies like the NHSLA and the MDU are prevented from compensating on the basis that care will be provided by the NHS and local authorities. For example, in one NHS case, a child who suffered severe brain damage as a result of negligence has been awarded compensation that could amount to £24 million over her lifetime.
Dr Devlin continued:
"The main political parties have made the NHS a key issue in the run up to the election. The size of compensation awards made on behalf of University hospitals of Leicester NHS trust makes a compelling case for action. With support from Ms Kendall and other MPs, we would like to see the problem of spiralling damages awards being raised as part of the debate about how money can be retained in the NHS for the benefit of all patients."