HEALTH and social care services in Dumfries and Galloway continue to face severe financial pressure – with a savings target of £30.7 million set for the current financial year.
At the 3 June meeting of the Dumfries and Galloway Integration Joint Board (IJB), members approved the latest iteration of the 2025/26 financial plan which confirms that more than around half of the potential savings have so far been identified. However, significant further work is needed to meet the total required.
Chief Finance Officer Katy Kerr described the target as ‘ambitious but essential’ and warned that the scale of the challenge will require ‘difficult decisions and transformation’ across both NHS and council-delivered services.
Mrs Kerr said: “We’ve made substantial progress in identifying savings schemes, with over half of the target now scoped. But we are under no illusion about the challenge ahead. The pressures we are dealing with — particularly around pay, prescribing, and care delivery — are systemic and unprecedented.”
Of the £30.7 million savings target for 2025/26, £18.2 million relates to services delegated to NHS Dumfries and Galloway by the IJB, while £12.5 million is to be delivered from adult social care services delegated from Dumfries and Galloway Council.
A range of savings and transformation work is under way, supported by groups including a dedicated Financial Recovery Board and a joint council-NHS planning team. Areas being explored include medicines optimisation, energy efficiency, contract reviews, and new models of care delivery
The Integration Joint Board also noted that no additional financial support will be available from the Scottish Government this year, and that IJB reserves are now almost entirely depleted.
The IJB has directed its NHS and council partners to operate within updated budgets of £428 million and £118 million respectively, with ongoing financial performance monitoring and quarterly reporting in place.
Dumfries and Galloway Integration Joint Board Chair Kim Dams said: “This is a very serious financial position and we must be realistic about the scale of the challenge ahead.
“Our responsibility is to protect vital services while making sure they are financially sustainable. That will require tough decisions, but also real collaboration across our health and care system.”
A further update on the savings programme and associated decisions will be presented to the IJB later this summer.