New Zealand / Health

Health NZ's data cuts 'will absolutely affect front-line services'

07:57 am on 11 October 2024

Photo: 123RF

If Te Whatu Ora cuts $100 million more from digital initiatives, it could undermine healthcare delivery for years to come, the Digital Health Association says.

The joint health unions claim Health NZ told them on 2 October that planned cost savings include $100m from data and digital work.

Health NZ has not confirmed or denied this, but it has been cutting down on tech project spending all year, with its payroll problems siphoning scores of millions out of other initiatives.

Association chief executive Ryl Jensen said tech supported clinical services and administration and was essential for cyber-security throughout the heath sector.

"These cuts will absolutely affect front-line services."

This was despite data and digital being central to the Government Policy Statement on Health released by Health Minister Shane Reti, Jensen said in a statement.

It also defied global trends.

New Zealand spent between 2.5 and 3 percent of the total health budget on these technologies compared to international averages of between 5 and 8 percent, and over 10 per cent by countries at the forefront of this transformation, she said. 

"Cuts like this just exacerbate the problem, pushing us further and further behind as a country.

"This could really undermine healthcare delivery in New Zealand for years to come."