1. HEA PTP: M207 Health Economics 1 Health Care Reform and the NHS UK health care expenditure (HCE) How NHS compares with other countries Health care reform Past, and current, reforms in the UK The future?

2. HEA PTP: M207 Health Economics 2 Health Care Industry Annual sales of approximately £60bn - more than defence, education or local govt. Equivalent to approximately 7% GDP or £1,000 per capita Employs approximately 800,000 people - of whom around 60% (500,000) are nurses

3. HEA PTP: M207 Health Economics 3 Three issues in interpreting HCE Health care expenditure is influenced by: Changes in national income (GDP) Population growth & demographic profile Inflation

4. HEA PTP: M207 Health Economics 4 Why might HCE increase? Aging population? Spread of private health insurance? Advances in technology? Increased income?

5. HEA PTP: M207 Health Economics 5 Why does HCE GDP? Need Tastes and preferences Efficiency

6. HEA PTP: M207 Health Economics 6 What HCE ignores Distribution - equity Outcomes/quality of care/benefits Mix of services Technical efficiency

7. HEA PTP: M207 Health Economics 7 Summary UK historically low HCE w.r.t OECD Levels of health broadly comparable Relatively equitable, although threatened Problems? Waiting lists/time, geog. variations

8. HEA PTP: M207 Health Economics 8 Health Care Reform Would you tell me, please, which way I should go from here? Alice asked the Cheshire Cat. That depends a good deal on where you want to get to, said the Cat. Lewis Caroll, Alice in Wonderland