Stanhope warms to Rudd on health

The ACT Government was ''inclined'' to accept Prime Minister Kevin Rudd's controversial plan to overhaul the health system but still wanted to thrash out some details.

The ACT was also ''absolutely'' interested in establishing one body to run Canberra, Queanbeyan, Yass and Cooma hospitals, ACT Chief Minister Jon Stanhope said late yesterday after talks with the Prime Minister and Federal Health Minister Nicola Roxon.

Mr Stanhope and Deputy Chief Minister Katy Gallagher who holds the treasury and health portfolios started the meeting with a discussion about the shortage of GPs in Canberra.

''The Prime Minister was very constructive, very understanding, very sensitive to some of the historical and special issues that we face here in the ACT,'' Mr Stanhope told The Canberra Times after he emerged from talks at Parliament House.

The leaders went through issues that must be addressed to secure the ACT's support for the Common-wealth's bid to become the main funder of primary health care and public hospitals. Local Hospital Networks would run small clusters of hospitals under the plan to be considered at the Council of Australian Governments' meeting next month.

Mr Rudd has vowed to hold a referendum if states and territories reject the reforms described as the biggest changes in the health system since the introduction of Medicare about 30 years ago.

Mr Stanhope said the ACT had three major issues. It must be recognised that NSW residents generated about 25 per cent of the demand for services in ACT public hospitals. Historically, the ACT Government has also made ''very high'' levels of investment in health infrastructure and the workforce.

There were only two public hospitals and one was privately owned, with Calvary Hospital shouldering about 30 per cent of the workload.

Mr Stanhope came away from the meeting, believing Mr Rudd's plan would produce ''enormous advantages'' for people living in the ACT region.

For more on this story, see the print edition of today's Canberra Times.

Source: The Canberra Times