Agenda item:
Public Trust Board
Public Trust Board
Date of Meeting:
14 December 2011
Title of Report:
Status:
Board Sponsor:
Author:
Appendices
Finance report
Discussion
Catherine Phillips, Director of Finance
Lisa Thomas, Deputy Director of Finance
None
1.
9 (ii)
Purpose of Report (Including link to objectives)
The purpose of this report is to set out the Trust‟s financial performance for the period
to 30th November 2011, including:
 Income and expenditure;
 Savings plans;
 Capital expenditure;
This report is linked to the Trust‟s priority objective for 2011/12 of improving value for
money and the key standard of delivering financial balance.
2.
Summary of Key Issues for Discussion
This report details the current and forecast performance against each of the Trust‟s
main financial duties and the key risks and assumptions in the delivery of those
financial targets, and includes recommendations where further action is required.
3.
Recommendations (Note, Approve, Discuss etc.)
The Board should note the Trust‟s financial forecasts including the planned surplus
(see section 2). Action: All
The Board should note the Trust‟s income for November 2011 is based on the agreed
contract quantum. The over performance against plan is based on actual activity
information for April to November and an estimate for penalty risks. Action: All
The Board should note that the adverse variances on Pay and Non Pay as at the end
of November are primarily due to unachieved savings (see section 2 and 4). Action
All
Savings plans need to be fully identified and implemented (5). Action –
Divisions/Director of Operations
Author: Sarah Elsey, Interim Head of Financial Management
Document Approved by: Catherine Phillips, Director of Finance
Date: 19 December 2011
Version:1.0
Agenda Item: 9 ii
Page 1 of 14
The Board should note the revised forecast for capital expenditure for which additional
loan funding from the DH has been approved. Action – All
To understand the key risks and the actions being taken to mitigate them. Action –
All.
4.
Care Quality Commission Regulations (which apply)
Care Quality Commission Regulation 13: Financial position
„People can be confident that the provider has the financial resources needed to
provide safe and appropriate services.‟
5. Legal / Regulatory Implications (NHSLA / Value for money conclusion)
Not achieving financial duties will impact on the ability and sustainability to achieve
the Value for money conclusion.
6. NHS Constitution
Not applicable
7. Risk (Threats or opportunities link to risk on register etc.)
As captured in board assurance framework
8.
Resources Implications (Financial / staffing)
Not applicable
9.
Equality and Diversity
Not applicable
10. Communication
Not applicable
11. References to previous reports
Standing item
12. Freedom of Information
Public
Page 2
Author: Sarah Elsey, Interim Head of Financial Management
Document Approved by: Catherine Phillips, Director of Finance
Date: 19 December 2011
Version:1.0
Agenda Item: 9 ii
Page 2 of 14
Financial Performance to 30th November 2011 (Month 8)
Page ref
In Month
Year to Date
Outturn Position
Risks to forecast
£0.1m F
£4.5m A
£6.2mF
YTD (CYE)
Forecast (CYE)
FYE 2011/12
Key risks
£4.9m shortfall
Shortfall £5.8m
Shortfall £4.6m
Income and Expenditure
Main issues in month are unachieved savings, off set through over performance against income
Main issues are shortfall against saving target £7.5m offset with overperformance Income £5m.
There is significant risk against the delivery of the year end target of £6.2m surplus
Risks to achieving Demand Management Capacity reductions and full year CIP plans
4
5
6
6
Cost Improvement Programme
YTD £6.4m achieved against target of £11.3m
£11.6m identified against £17.3m target
£12.7m identified against full £17.3m target
Divisions fail to identify the full savings required
9
9
9
9
Statement of Financial Position ( Formerly the Balance Sheet)
No material movements in month
Year to Date
Full Year forecast
In month movement
Risks
year to date
Risks
£6.7m spend
year to date
FRR2
Cash
Cash above plan however risks remain with I&E position
Need to monitor cash carefully, any shortfall on CIP schemes will leave a cash flow shortfall.
Capital
Currently behind plan but expecting to deliver forecast now additional £6m funding is confirmed
Forecast to achieve capital plan in full £14.6m.
Monitor Risk Ratings
Minimum requirement for authorisation, risk to ratings are liquidity and surplus margin.
Key: A = adverse variance; F = favourable variance
Author: Sarah Elsey, Interim Head of Financial Management
Document Approved by: Catherine Phillips, Director of Finance
Date: 19 December 2011
Version:1.0
Agenda Item: 9 ii
Page 3 of 14
10
11
12
13
Financial Performance to 30th November 2011 (Month 8)
1.
position. The Trust has been working hard to ensure that since
Millennium has been implemented, activity and therefore income
is appropriately recorded, the improvement reflects a catch up of
activity, now appropriately recorded from August to October.
Statement of Comprehensive Income– In month position
for November 2011 (formerly I&E Statement)
Table 1
Statement of Comprehensive Income
Trust Position
30 November 2011
Budget
£'000
In-Month Position
Actual
£'000
Last Month
Actual
£'000
Variance
£'000
SLA Performance Income
Other Income
(14,617)
(3,054)
(15,912)
(3,159)
(1,296)
(105)
(14,586)
(2,805)
Income Total
(17,670)
(19,071)
(1,401)
(17,391)
Pay
Non Pay
10,925
4,565
11,634
5,106
709
541
11,468
5,109
Expenditure Total
15,490
16,740
1,250
16,577
Operating (Surplus)/Deficit
(2,181)
(2,331)
(151)
(814)
Depreciation
Dividend Payment & Interest
665
463
665
466
(0)
3
663
483
Finance Charges
1,128
1,131
2
1,146
(Surplus)/Deficit
(1,052)
(1,201)
(148)
332
0
0
Margin
0
1.1. The financial plan for November was to deliver a surplus of
£1.1m. The Trust actually reported a surplus of £1.2m (£0.1m
favourable against Plan).
1.2. The in- month variance is illustrated in the bridging diagram
opposite; in month variance has improved significantly from
previous months, this reflects the improvement in the income
Trust Board – November 2011
Finance & Performance Report
1.3. The November position is a continuation of previous month‟s
trends of unachieved savings combined with budget pressures of
nursing pay (escalation costs) and medical and surgical
equipment is causing significant concern to achieving the year
end surplus target.
1.4. The SLA performance income is based on the actual activity
for November which includes an estimate for un-coded spells
and an assessment of risk of penalties and fines.
-4–
2.
Statement of Comprehensive Income– Year to date position
for 30th November 2011 (formerly I&E Statement)
Table 2
Statement of Comprehensive Income
30 November 2011
Year to
date
Budget
£'000
Year to
date
Actual
£'000
Year to
date
Variance
£'000
2.4. Non pay spend for November has decreased by only £3k in
Last
Year
Actual
£'000
month compared to October.
SLA Performance Income
Other Income
(116,678)
(21,992)
(121,754)
(21,762)
(5,076)
230
(123,792)
(22,144)
Income Total
(138,670)
(143,516)
(4,846)
(145,936)
88,030
35,678
92,655
40,368
4,625
4,690
90,263
39,431
Expenditure Total
123,709
133,023
9,315
129,694
Operating (Surplus)/Deficit
(14,961)
(10,493)
4,468
(16,242)
Depreciation
Dividend Payment & Interest
5,319
3,706
5,313
3,729
(7)
23
5,099
3,619
Finance Charges
9,025
9,042
16
8,718
(5,936)
(1,452)
4,484
(7,524)
0
0
Pay
Non Pay
(Surplus)/Deficit
Margin
2.3. Excluding the savings targets, pressures remain on the nursing
budget which is now showing an adverse variance of £1.5m (5%
over plan) of which £570k is agency spend.
0
2.1. Our year to date position is a £1.4m surplus, but shows an
adverse variance of £4.5m, against a surplus plan of £5.9m.
2.2. Slippage against savings targets accounts for £7.5m of the total
£9.3m (81%) adverse variance in expenditure, this includes the
PCT QIPP target. Therefore the shortfall of disinvestment
savings has been in part offset through income over performance
of £5m year to date.
Trust Board – November 2011
Finance & Performance Report
-5–
3.
Total Trust Detailed Analysis
.
The detailed analysis provides a breakdown of performance by both income and
expenditure types
Income
Table 3
SLA Performance
PCT
Banes PCT
Bristol PCT
Gloucestershire PCT
Non Contract Activity
Other South West PCT's
SW Specialised Commissioning
Wiltshire PCT
Income Total
Table 4
Income performance
30th November 2011
A&E
Elective
Non-Elective
Outpatients
Other
Income Total
Annual
Plan
£'000
YTD
Plan
£'000
YTD
Actual
£'000
YTD
Variance
£'000
(69,960)
(809)
(240)
(1,819)
(27,517)
(4,458)
(70,784)
(46,463)
(520)
(169)
(1,243)
(18,321)
(3,041)
(46,922)
(49,064)
(489)
(199)
635
(19,548)
(3,053)
(50,037)
(2,602)
32
(30)
1,878
(1,226)
(12)
(3,115)
(175,588)
(116,678)
(121,754)
(5,076)
Annual
Plan
£'000
YTD
Plan
£'000
YTD
Actual
£'000
YTD
Variance
£'000
(6,522)
(33,372)
(60,165)
(32,533)
(42,996)
(4,380)
(22,477)
(39,168)
(21,756)
(28,898)
(4,601)
(21,458)
(43,834)
(23,588)
(28,273)
(222)
1,018
(4,666)
(1,831)
625
(175,588)
(116,678)
(121,754)
(5,076)
3.1. The tables opposite highlight the main areas of overperformance against contracts.
Within the Trusts main
commissioners, over performance is being driven, in the main,
by the need to deliver the 18 week target and slippage of PCT
QIPP targets. The over performing trend has increased in month
as data quality issues associated with the implementation of
millennium have been retrospectively corrected. The income
position is based on the first draft of performance information for
April to November.
3.2. Work remains on-going for both the Trust and the PCT‟s to
recognise a realistic outturn that not only reflects current activity
levels but can also be used to inform recurrent activity levels in
the future and be used to enable effective capacity planning
3.3. Non-delivery of key national targets for both performance and
quality remains a significant contract income risk. The most
significant potential risks being: fining for non-achievement of 18week referral to treat targets; non-delivery of CQUIN and income
loss due to data quality and recording issues. Robust risk
monitoring remains in place to enable early warning of
performance and quality issues and corrective action to be
implemented where required.
Pay
3.4. The table below identifies the number of staff employed (using a
“worked” WTE measure) for October. The Trust plan in
September was 3,210 WTE versus an actual headcount of 3369
Trust Board – November 2011
Finance & Performance Report
-6–
WTE (actual includes agency) i.e. an adverse variance of 159
WTE. An estimate for reduction of WTE has been included to
match the unidentified savings target; this is based on the Trust‟s
average salary cost.
Table 6
Pay Summary
Table 5
WTE Summary
by Staff Group
3.7. Of the £1.5m nursing overspend; £1.2m (80%) relates to
supporting the continued additional escalation beds being open.
To be able to fully achieve the capacity savings associated with
reductions in length of stay these beds must be closed.
Plan
WTE
Actual
WTE
Admin and Clerical
Allied Health Professionals
Consultants
Other Medical Staff
Nursing
Other
Management
Support Staff
Unallocated Savings
631
575
168
290
1302
2
97
354
-209
597
542
165
280
1310
0
96
348
Total WTE
3210
3339
Locum
/Agency
WTE
by Staff Group
Variance
WTE
7
2
5
8
7
30
-27
-30
2
-2
16
-2
-1
-6
209
Admin and Clerical
Allied Health Professionals
Consultants
Other Medical Staff
Nursing
Other
Management
Support Staff
Unallocated
Unidentified Savings
Total Pay Costs
159
3.5. Pay expenditure is above budgeted levels (the plan includes
all savings targets). Excluding the year to date pay savings
target of £4.1m the current overspend against plan is £0.5m.
3.6. This includes
 Nursing £1.5m above plan (£0.6m relates to agency
spend)
 Medical staffing costs are £0.2m above plan. Waiting lists
payments are £0.5m year to date.
 Admin and senior manager posts underspent against
plan £0.3m
 Scientific & Technical staff and PAMs underspent against
plan £0.5m
Trust Board – November 2011
Finance & Performance Report
-7–
Annual
YTD
YTD
Plan
£000's
Plan
£000's
Actual
£000's
YTD
Locum
/Agency
£000's
Total
Variance
£000's
14,973
20,902
23,885
18,340
45,429
54
6,054
7,707
429
-6,270
10,434
13,898
15,859
12,267
30,193
36
4,072
5,126
287
-4,141
10,083
13,235
15,620
11,946
31,139
36
3,747
5,024
2
326
152
313
477
552
131,503
88,030
90,832
1,823
2
-24
-512
73
157
1,498
0
-325
-100
-284
4,141
4,624
Table 7
Non Pay Category
3.8. Agency spend must be the first target for reduction, the
current rate is £0.2m in the month.
Non Pay
3.9. The Non Pay table overleaf shows the Trust‟s position to date,
which is £4.7m adverse to plan. Of this £1.9m relates to the
shortfall against the Savings target.
YTD
Plan
£(000's)
YTD
Actual
£(000's)
YTD
Variance
£(000's)
Clinical Supplies & Services
Consultancy Services
Depreciation & Impairments
Establishment Expenditure
General Supplies & Services
Miscellaneous
Premises & Fixed Plant
34,304
725
8,219
3,049
2,994
6,335
11,796
22,500
472
5,479
2,034
2,251
4,083
7,884
25,747
444
5,479
1,970
3,744
3,874
8,151
3,246
-28
0
-64
1,493
-209
268
Total Non Pay Costs
67,423
44,704
49,410
4,706
3.10. Excluding savings and QIPP the Trust is overspent against
plan by £1.5m year to date. The main overspend includes Drugs
£0.2m, Medical and surgical supplies £1m, Premises costs
£0.2m.
3.11. Pathology remains a cost pressure £0.3m year to date; this
pressure comprises of blood, HPA contract and pathology
reagent contracts.
3.12. In the Medicine division Cardiology and Gastroenterology are
overspent as a result of increased activity £0.3m.Radiology is
overspent £0.3m including external services for MRI.
3.13. Non pay controls have been implemented to ensure division
are limiting expenditure within control totals. The YTD position
on Non pay is currently £0.5m higher than the same period last
year.
Trust Board – November 2011
Finance & Performance Report
Annual
Plan
£(000's)
-8–
4.
Cost Improvement Plans (CIPs)
4.1. The Trust total savings target for 2011/12 is £17.3m.
4.2. This is a combination of internal efficiencies related to 2011/12
(£8.3m) and capacity reductions associated with Demand
Management schemes (£5m). In addition the Trust had £4m
unidentified CIP brought forward from 2010/11.
Savings delivery 2011/12
B/F savings 2010/11
Trust efficiency requirement
PCT QIPP savings (delivered through income)
Annual
Target
£'000
Identified
£'000
Gap
£'000
FYE
Identified
£'000
FYE
Gap
£'000
4,010
8,300
5,000
2,422
4,142
5,000
1,588
4,158
0
2,377
5,369
5,000
1,633
2,931
0
17,310
11,564
5,746
12,746
4,564
4.4. The year to date performance is outlined in table below, £11.3m
savings were profiled for delivery in the first eight months of
2011/12, of which £6.4m were achieved, this includes £2.9m of
income over performance offsetting the PCT QIPP non delivery
(56%).
4.5. Action plans are currently being developed in conjunction with a
review of divisional performance against forecast to close the
current gap; including mitigating schemes for non-recurrent
savings.
Table 9
Savings delivery YTD
Trust savings
PCT QIPP
YTD
Target
£'000
YTD
Actual
£'000
YTD
Variance
£'000
8,341
2,917
3,450
2,917
4,891
0
11,258
6,367
4,891
5.5. It is unlikely the Trust will close the full £5.7m in year savings
gap this year; the focus is to ensure that the full year gap of £4.6m is
closed to ensure the Trust is in the best position next financial year.
Schemes which have slipped in year are currently being reviewed to
ensure maximum impact of savings for 2011/12. Any shortfall against
savings is being mitigated in part through income over performance
from SLA contracts in 2011/12.
4.3. The current shortfall against the savings target of £5.8m is being
offset through non recurrent measures and the over performance
against SLA income. At this stage this income has been
assumed to be recurrent, this may be challenged by the PCT
during the 2012/13 contracting round.
Trust Board – November 2011
Finance & Performance Report
-9–
5.
Statement of Financial Position (Formerly Balance Sheet)
As per
2010/11
Statement of Financial Position as at
30th November 2011
£'000
154,245
789
82
1,626
156,741
3,182
9,331
82
2,000
14,595
(12,483)
0
(7,200)
(231)
(1,049)
(20,963)
(6,367)
(345)
(6,500)
(2,066)
0
(8,911)
141,463
(135,545)
39,237
0
(38,957)
(6,198)
(141,463)
Non-Current Assets
Property, Plant and Equipment
Intangible Assets
Other Financial Assets
Trade and Other Receivables
Total Non-Current Assets
Current Assets
Inventories
Trade and Other Receivables
Other Financial Assets
Cash and Cash Equivalents
Total Current Assets
Current Liabilities
Trade and Other Payables
Other Liabilities
DH Working Capital Loan
Borrowings
Provisions for Liabilities and Charges
Total Current Liabilities
Net Current Assets/(Liabilities)
Non-Current Liabilities
Borrowings
DH Working Capital Loan
Provisions for Liabilities and Charges
Other Liabilities
Total Non-Current Liabilities
Total Assets Employed
Finance by taxpayers' equity
Public Dividend Capital
Prior Year Retained Earnings
Current Year Retained Earnings
Revaluation Reserve
Donated Asset Reserve
Total Taxpayers' Equity
Trust Board – November 2011
Finance & Performance Report
Last Month
balance
Actual to
date
£'000
£'000
Movement
YTD
In Month
£'000
£'000
155,992
839
82
1,507
158,420
156,766
839
82
1,506
159,193
2,521
50
0
(120)
2,451
774
0
0
(1)
773
2,819
10,478
82
5,877
19,256
3,019
12,354
82
5,001
20,456
(163)
3,023
(0)
3,001
5,861
200
1,876
0
(876)
1,200
(17,544)
0
(6,772)
(132)
(1,373)
(25,821)
(6,564)
(18,201)
0
(6,772)
(123)
(1,347)
(26,443)
(5,987)
(5,718)
0
428
108
(299)
(5,481)
380
(657)
0
0
9
26
(623)
577
(345)
(6,500)
(2,066)
(345)
(6,500)
(2,066)
(8,911)
142,944
(8,911)
144,295
0
0
0
0
0
2,832
0
0
0
0
0
1,350
(135,545)
39,237
(251)
(38,957)
(7,428)
(142,944)
(135,545)
39,235
(1,452)
(38,957)
(7,575)
(144,294)
0
(2)
(1,452)
0
(1,377)
(2,831)
0
(2)
(1,201)
0
(147)
(1,350)
5.1. Non-Current Assets have increased year to date by £2.5m,
as a result of capital expenditure on CHP project, Millennium
IM&T project, offsetting the depreciation charge.
5.2. Current Assets: year to date have increased by £5.9m,
debtors have increased by £3m, mainly related to NHS income
for contract over performance. The Trust is having on-going
discussion with our main commissioners to resolve outstanding
queries and issues around contracts.
5.3. Current Liabilities: year to date have increased by £5.5m
mainly because invoices accrued, this reflects the difference
between timing of receipt of invoices and payment.
5.4. Capital and Reserves: Within reserves, retained earnings
have changed in line with the surplus earned for the year-todate. The Donated Asset reserve has increased by £1.4m which
reflects new assets donated to the Trust to fund the NICU
development and a transfer to income to reflect depreciation
charges on previously donated assets.
- 10 –
6.
Cash
Statement of cash flows
YTD Plan
£'000
Operating surplus/(deficit)
YTD
Actual
£'000
YTD
Variance
£'000
14,961
10,493
0
202
Movements in:
Inventories
Receivables
Payables
Provisions
(4,468)
0
202
(1,643)
(2,903)
(1,260)
2,806
5,169
2,363
299
518
(219)
Reversal of accrued finance costs
0
Cashflow from operations
15,905
13,260
(2,645)
Capital expenditure
(9,525)
(6,674)
2,851
Asset disposals
Cashflow before financing
Net interest paid
Dividend paid
Repayment of borrowings
0
6,380
0
0
6,586
206
(144)
(144)
(2,349)
(2,636)
(287)
(936)
(806)
PDC Received
0
130
0
Net in/(out)flow
3,095
3,001
Opening cash balance
2,000
2,000
0
Closing cash balance
5,095
5,001
(94)
Trust Board – November 2011
Finance & Performance Report
6.1. The current cash balance is £5.0m slightly below the planned
balance of £5.1m. The cash position has deteriorated in month
due to on-going issues around income for over performance in
the month due, however, this is expected to improve over the
next month.
(94)
6.2. At this stage of the financial year we remain confident that the
cash forecast will be achieved at year end; however given the
risk to the I&E forecast outlined in section 3, the requirement to
pay back the loan, and the options regarding capital outlined
below, the cash position will need careful monitoring to ensure
we can meet our cash commitments.
- 11 –
7.
Capital
Annual Budget 2011/12
Capital Report as at 30
November 2011
Capital theme
Trust YTD position
Outstanding
Spend Commitments
under/(over)
£'000
£'000
£'000
Total
Donated
Trust
£'000
£'000
£'000
Depreciation (Purchased Assets)
Loan Repayment
Additional DH capital
Charitable funds
7,000
(1,000)
6,000
2,600
0
0
0
2,600
7,000
(1,000)
6,000
0
Total source of Funding
14,600
2,600
12,000
6,674
1,538
3,788
Estates Five year programme
IM&T
Medical equipment
Leased Assets
Strategic capital schemes
Planned (deferral)/underspend
764
1,134
1,124
53
10,780
745
0
0
505
0
2,095
0
764
1,134
619
53
8,685
745
533
540
225
52
5,324
0
177
13
1
0
1,347
0
54
581
393
1
2,014
745
Total Capital Plan 2011/12
14,600
2,600
12,000
6,674
1,538
3,788
Source of Funding
Trust Board – November 2011
Finance & Performance Report
7.1. The capital plan has been through a reprioritisation process to
identify where capital funds should be allocated post changes to
funding in year this year‟s Capital Resource Limit (CRL) has
been revised to £12m, which consists of a depreciation reserve
of £7m, plus an additional £6m DH loan funding and net of
historic loan repayment of £1m. The Trust also anticipates £2.6m
of its capital programme to be funded from charitable funds.
7.2. The year to date capital spend is £6.7m and it is anticipated
that the CRL will be spent in full.
7.3. The main schemes that have progressed to date are the

CHP energy scheme £3.0m year to date

£0.5m on the IM&T programme incorporating the
Millennium upgrade

£0.9m on the Victoria Ward upgrade scheme

£0.5m on Pathology laboratories
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8.
Financial Risk ratings
Financial risk ratings
Criteria
Underlying Performance
Achievement of Plan
Financial Efficiency
Financial Efficiency
Financial Efficiency
Overriding rules
Overall rating
Scoring Criteria
Metric
Weight
5
4
3
2
1
YTD
Plan rating
2011/12
EBITDA Margin %
25%
11%
9%
5%
1%
<1%
5
7%
3
EBITDA achieved %
10%
100%
85%
70%
50%
<50%
4
68%
3
Return on assets %
20%
6%
5%
3%
-2%
<-2%
5
3%
3
I&E surplus margin
20%
6%
5%
3%
-2%
<-2%
5
0.8%
3
Liquid days ratio
25%
35
25
15
10
<10
2
4
1
Overriding rules
Overall Rating
YTD
Score
2011/12
YTD
Risk
2011/12
FRR= 2
if two financial criteria scored 2
3
2
8.1. The current monitor risk rating shows we would achieve a 2 as
at the end of November. This is the below the minimum risk
rating level for the Trust to be authorised as a Foundation Trust.
8.2. The Trust has a level 2 in two areas and liquidity is 4 days
which is level 1 (excluding the assumed working capital facility of
£15m available as FT). The Trust is not delivering a large
enough surplus, year to date to achieve above of 2. This is in
part driven by the lower than plan I&E surplus.
8.3. To improve this ratio for the rest of the year the Trust will need
to significantly improve its income and expenditure surplus, and
achieve further cost improvement plans.
8.4. The risk remains if the Trust does not deliver a year end
£6.2m surplus position both it‟s I&E risk ratings and cash rating
mean the Trust cannot precede to Foundation Trust
authorisation.
8.5. In addition to Monitors ratings the Trust plans to achieve the
key statutory duties for a Trust namely, breakeven duty, capital
absorption rate and better practice payment practice code.
Trust Board – November 2011
Finance & Performance Report
- 13 –
9.
Key and Abbreviations
Throughout the report:
Income, surpluses and favourable variances are expressed as
negative values, denoted by figures in brackets e.g. (25). Figures
expressed in £k means £1000s; so, £25k = £25,000. Expenditure
and adverse variances are expressed as positive values.
In simple, brackets equal good, no brackets equal bad.
Capex
Capital Expenditure
CIP
Cost Improvement Programme (see CIP below)
CNST
Clinical Negligence Scheme for NHS Trusts
(Insurance policy)
EBITDA
Earnings before Interest, Tax, Depreciation and
Amortisation
Financing
Capital Charges and Depreciation
FRP
Financial Recovery Plan
I&E
Income and Expenditure Account
NESC
Non Medical Education Funding
PGMC
Post Graduate Medical Centre
CIP
Cost Improvement Plan (savings target)
WTE
Whole time equivalent (measure for headcount)
YTD
Year to Date
BPPC
Better Practice Payment Code
Trust Board – November 2011
Finance & Performance Report
- 14 –