Sir,
We read this article with interest. This
study compares the clinical and financial implications of two approaches
to bilateral hip resurfacing. Funding of secondary care in the National
Health Service (NHS) is described. Hospital trusts are reimbursed for
each patient at nationally agreed tariffs.1 These costs are met by
Primary Care Trusts (PCT). Using 2006 tariffs, a trust was reimbursed
£6338 for a one-stage procedure and £9380 (combined tariff for both sides) for a two-stage procedure.2 Total reimbursement for each patient was calculated
to analyse financial benefit to the trust. They conclude that a one-stage procedure has cost benefits over a two-stage procedure.
However, these ‘reimbursement’ costs merely represent the costs
recovered from the PCT and do not correspond to the actual cost to the
trust of performing these operations. In addition, a market force factor
(MFF) is applied to the tariff.1 At the authors’ unit this factor is
1.126, increasing the tariff to £7137 for a one-stage procedure. List
price for a resurfacing implant is £2500.1 Cost per day for a hospital
bed is estimated at £200.3 A one-stage procedure (mean length of stay is 11 days) would therefore cost the hospital £7200. Surgeon fees, cement,
theatre resources and rehabilitation will add additional costs. As
reimbursement is lower than the actual costs, the hospital would suffer a
loss. For a two-stage procedure, with reimbursement at £10562 (including
MFF), the costs (including a longer stay) would be covered. The reduction
of costs described in performing a one-stage procedure is actually of
financial benefit to the PCT, at the expense of the trust.
It is helpful to have this data available for resurfacing patients,
and surgeons may be willing to accept the higher systemic risks of one-stage procedures. However, surgeons should not be under the illusion that
they are saving their trusts money by performing one-stage surgery. They
are simply adding to the financial burden.
S.S. Jameson,
Orthopaedic Registrar,
M.R. Reed,
NHS Greater Glasgow and Clyde,
Glasgow, UK.
1. Jameson S, Reed MR. Payment by results and coding practice in the
National Health Service: the importance for orthopaedic surgeons. J Bone
Joint Surg [Br] 2007;89-B:1427-30.
2. Department of Health (DoH). National tariff
2006/07. Payment by Results. http://www.dh.gov.uk/en/Publicationsandstatistics/Publications/PublicationsPolicyAndGuidance/DH_4127649 (last accessed 15/01/08).
3. Department of Health (DoH). Reduce wasted bed days, improve
patient care and save money.
http://www.dh.gov.uk/en/Publicationsandstatistics/Pressreleases/DH_4132360
(last accessed 11/01/08).