PM Transcripts

63/ 018
FOR PRESS P. M. No, 23,/ j 3
HOSPITAL SUBSIDY PAYMENTS
Statement by the Prime Minister, tte Rt HHon, B. G. Menzies
The following is the text of a telegram sent
today to the Premier of New South Wales, Mr. Heffron, in reply to
his telegram to me arising from a statement by the Conmmonwealth
Minister for Health, Senator Wade, on Sunday night, My telegram
reads " I refer to your telegram of 25th February
regarding the statement made by Seantor Wade on the reduction
from 1st February this year in the rate of subsidy payments
to public hospitals in New South Wales. I have had the
advantage of discussions with Senator Wade, before his
statement and since, about the material at his disposal
concernin:, some of the largest public hospitals in your
State0 Tam satisfied that the Government of New South
Wales has reduced the rate of hospital subsidy payments
not only by the amount formerly paid by the Commonwealth
to the State Treasury, but also by the additional 24/-
per day now being paid by the Commonwealth direct to
public hospitals in respect of uninsured pensioners in
public wards, Indeed it would appear that this action was
foreshadowed by your Minister for Health, Mr. Sheahan, in
a statement for public information which he addressed on
8th January this year to hospital boards. May I draw
your attention to the following quotation from this
statement Tne increased benefit payment in
respect of P. M, S. pensioners and the payment
direct to hospitals by the Commonwealth of
benefits previously paid through the State as
part of maintenance subsidy will necessitate
a material don-ward adjustment of the subsidy
paid by the Hospitals Commission to each
hospital.'
I therefore fail to see how there has been any misrepresentation
of the facts by the Commonwealth.
It is of course for your Government to decide
the size of the subsidies it pays to public hospitals in
New South Wales, but I and my Ministerial colleagues wish
it to be abundantly clear that the decision to reduce the
rate of hospital subsidy payments in your State by the
additional 24/-per day now being paid by the Commonwealth
direct to public hospitals in respect of uninsured
pensioners as well as by the amount formerly paid by the
Commonwealth to the State Treasury, is entirely the
responsibility of your Government and that the Commonwealth
is in no way to blame for any financial difficulties
being experienced by New South Wales hospitals."
CANBERRA, 28th February, 1963.