French Health Spending Deficit Down

In France, the latest estimates by social security specialists indicatea deficit this year of some 35 billion French francs ($6.05 billion) compared with 54 billion francs in 1996, a distinct improvement on earlier government forecasts. Income is expected to improve as the active workforce grows 3.3%, adding an estimated 5 billion francs to contributions.

However, the figures remain wide of the government target of a 1997 surplus of 12 billion francs. 1996 health spending growth was contained at 3.3% to 600 billion francs, or a third of total social security spending, and this year it is forecast at only 1.7%, in the wake of constraints applied to doctors and the hospital sector.

Despite recent strikes and protest action, few observers believe that the health care professions will undermine current efforts at health service reform, while the hospitals face a total evaluation of their activities within the next five years.