TNAG-0507-FCO40-572-Development-of-medical-and-health-services-in-Hong-Kong-1974 — Page 89

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XCC(74)52

(b) Government-assisted hospitals charges should

be brought into line at the $5 per day level (with adjustments at this stage to subventions where necessary) (paragraphs 49 and 50 of the Report);

and

(c) that charges should be paid by patients in the

acute third class beds of the Tung Wah Group of Hospitals (paragraph 51 of the Report).

The MDAC proposals for the new levels of charges for third class beds in Government hospitals are considered realistic in present circumstances. The full cost of a third class bed, at current prices, is about $100 per day. It would clearly not be realistic to propose the introduction of charges of this order; the present charges do not however even cover the cost of food. This aspect of the MDAC recommendations attracted no adverse criticism in the comments made or in the press. Medical charges are none- theless a sensitive area and it is considered that the increases proposed should be given careful public explanation. Subject to this, the Director of Medical and Health Services recommends that action be taken to implement the increases to the levels proposed by the MDAC. It is proposed that the first stage increase be introduced on 1st September 1974 and the second stage on 1st April 1975. This is endorsed by the MDAC.

Application of revised charges to assisted hospitals participating

in the scheme

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The implementation of these increases by 1st April 1975 will make it possible to give full effect to the integrated arrangements for the use of hospital beds from the same date.

C.S. 166

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To secure the fullest benefits from this scheme it is essential that the hospitals in the Tung Wah Group participate. The Chairman of the Board of Directors has advised the Director of Medical and Health Services of the Group's desire to continue to provide a free hospital service. It would however be anomalous if a significant section of the scheme continued to provide a completely free service.

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Not

Government has a strong interest in this issue. only is it desirable that the regionalisation scheme be soundly established from the outset but is is increasingly anomalous that Government should continue to pay 97% of the recurrent and special

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