NHS Grampian given £67m Scottish government loan

Getty Images The exterior of four-storey Aberdeen Royal InfirmaryGetty Images
NHS Grampian faces making cuts at its hospitals, which include Aberdeen Royal Infirmary

NHS Grampian is being given a Scottish government loan of more than £67m to tackle its overspend.

The funds come on top of an existing government loan for 2023/24, and will bring the total amount loaned to the health board to £92.2m.

In a statement NHS Grampian said there were "many factors" contributing to its financial position.

These included increased staff costs, increased running costs, the growing cost of providing healthcare, and a rise in the number of over-65s and those aged under 17.

The board said the overspend came despite "significant economies and efficiencies" that resulted in £46.2m of savings being delivered to February 2025.

It is understood the health board will receive increased investment of £170.4m from 2024-25, including additional funding for prior-year pay deals and support for frontline services.

It comes as a review, commissioned by ministers, is taking place on the financial position of the health board.

The review should be finalised by the end of next month and will identify areas in which additional savings can be delivered.

Health Secretary Neil Gray said the Scottish government was providing more than £14.2bn for NHS boards across Scotland in 2024-25 to support services, which he claimed was a real terms increase of almost 3%.

NHS Grampian's chief executive Adam Coldwells warned last September that the health board needed to reduce spending to tackle an "extremely challenging" financial position.

The board said at the time it was facing tens of millions of pounds of ongoing financial pressures.

Then in November it declared a "critical incident" which saw some ambulance patients diverted to hospitals outside its area due to demand at Aberdeen Royal Infirmary (ARI). It was later stood down.