Media Releases

No place for the private sector in public hospitals

The New Zealand Nurses Organisation (NZNO) urges Canterbury District Health Board (CDHB) not to review the research and decline the option offered by Minister of Health Tony Ryall to rebuild Christchurch and Burwood hospitals using public-private partnerships (PPPs).

NZNO CEO Geoff Annals says, “The Government’s support of PPPs shows that they are more interested in lining the pockets of big business than making the best decisions for New Zealanders and the health system.”

“Evidence shows that there is almost never any benefit to the tax-payer of PPPs. There is evidence that the very best outcomes for our society are only achieved when services are provided by the state,” Annals says.

“A privately built hospital has no advantage over a state built facility. The risk of failure is high; private companies bid low to get the contracts and are often not accountable for going over budget, with Government having to mop up the mess.”

“When the private sector builds and owns facilities, they are free to control leases, maintenance and other financial arrangements. When costs are high there is less money available for wages.”

“The NZNO does not want to see wages fall or health care fail in New Zealand. PPPs have no place in the public sector, Annals says.

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