asked Minister for Health if he proposes implementing a 10 per cent cut in health services funding in 1989; the dates of meetings held this year of the Consultants' Common Contract Review Group; and if he will report on progress to date.

56.

asked the Minister for Health if he will make a statement on negotiations with the Irish Medical Organisation on the review of the common contract; and if he will make a further statement on the recent Southern Health Board report which indicates the very high level of private practice in the Southern Health Board hospitals.

I propose to take Questions Nos. 35 and 56 together. Discussions between my Department and the Department of Finance have only recently commenced in relation to the 1989 Estimate. It will be some time before these discussions and similar discussions with other Departments are concluded. At that point the Government will consider the allocation of resources for 1989.

Meetings to discuss the review of the common contract for consultant medical staff have been held this year on 15 January, 19 February, 25 March and 3 June 1988. As I have explained on previous occasions, because of the importance being attached to the talks it has been agreed that details of the proceedings would remain confidential.

Deputies will, however, be aware of the joint statement issued following my meeting with representatives of the Irish Medical Organisation on Friday, 3 June last. The statement read as follows:

At a meeting today between Dr. Rory O'Hanlon, T.D., Minister for Health and representatives of management and the Irish Medical Organisation, the progress of discussions on the common contract was considered. It was agreed that it is essential for the efficient operation of hospital services that agreement should be reached between individual consultants and hospital management as to the way in which consultants discharge their contractual commitment including activities such as out-patient clinics and theatre lists. It was decided that individual hospital managements and individual consultants would immediately proceed to agree this scheduling, including the scheduling of specific activities involving other hospital resources where this is not already in place. It was agreed that the review of the terms of the common contract would continue at future meetings, the first of which will be held shortly.

This agreement represents a considerable advance and is an indication of the serious commitment with which both management and the Irish Medical Organisation approached these negotiations.

The agenda for the negotiations on the review of the common contract is a wide ranging one and includes provision for discussing the appropriate mix of patients as between those being treated publicly and those receiving private treatment. The report on private practice in the Southern Health Board will be considered in that context. Given the confidential nature of the discussions I do not propose to comment further at this stage.