e-health needs more funds and a rethink

Beverley Head
Monday, 17 May 2010 14:51

IT Policy - Government Tech Policy

The Government's fooling itself if it thinks that the $466.7 million allocated in last week's Budget will buy it a national e-health record system,  but nor should it pony up billions to pay for a big bang electronic health network as the UK's £30 billion e-health initiative has proved a squib.

Health IT experts say it's time for a rethink on both funding and strategy - and some long overdue clarity about who should drive Australia's e-health initiatives.

Although consulting firm Booz & Co earlier this month found that a comprehensive e-health system could lead to healthcare savings of more than $7.6 billion a year by 2020, the report's co-author and Booz principal, Klaus Boehncke told iTWire today that $466.7 million wasn't enough to buy such a system. That would require an investment of $200-$400 per Australian - as much as $8.6 billion given the current population of almost 21.5 million.

While the Government's hardly racing to e-health, the Opposition could apply additional brakes if elected back into power. Opposition leader Tony Abbott noted in his budget reply speech last week: 'Of course, there should be an electronic health record but hundreds of millions of dollars have already been spent to make this a reality and no more should be spent until it's certain that we're not throwing good money after bad.'

John Backhouse, Information Builders' regional programme director for health care, who was in Australia last week to meet with chief information officers from a range of health authorities and hospitals, agreed with Booz's Boehncke that: 'The funds won't be sufficient for a country wide e-health record; but we have to ask some questions first.

'What is it the government wants to achieve with the e-health record? Are we trying to get an entire health record for the patient or are we creating a care summary record? Which one we are trying to achieve, and what is the usefulness of what it will enable the clinicians to do?'

This lack of clarity about what the Government plans to do in regard to e-health, or who will lead the initiative is frustrating many in the sector. As Boehncke noted:  'One of the issues which is unclear to me is, is this a two year plan, or part of a multi-year programme?'