Operator of Sydney’s Northern Beaches Hospital wants to return it to public health system

The operator of a troubled hospital that faces a parliamentary inquiry after a two-year-old boy died has made a concession to the state government.

The operator of Sydney’s Northern Beaches Hospital (NBH) has confirmed it is willing to discuss returning the hospital to NSW Health following the government’s ban on private-public partnerships.

The hospital faced scrutiny following the death of two-year old Joe Massa, who died after he received care at NBH.

His parents took him to the hospital on September 12 after he began vomiting.

Elouise and Danny Massa said they were forced to wait for two hours to get a bed and Joe was wrongly triaged into a lower priority despite having a high heart rate and severe loss of fluid.

Joe Massa died after a routine visit to Northern Beaches Hospital. Picture: Supplied

He was transferred to Sydney Children’s Hospital in Randwick, where he suffered cardiac arrest about three hours after arriving at the emergency department.

He died as a result of brain damage.

NBH operates under a public-private partnership agreement between Healthscope and the NSW government until 2038.

But last month, Premier Chris Minns announced a ban on all future public-private partnerships at acute hospitals. He has also prevented future governments from entering into partnerships that could limit control over hospital services.

Premier Chris Minns announced a ban on future public-private partnerships at NSW acute hospitals last month. Picture: NewsWire / Nikki Short

Known as Joe’s Law, the ban ensures critical public services like acute hospitals remain in public hands and are safeguarded from privatisation.

Healthscope chief executive Tino La Spina acknowledged that operating NBH as a public-private partnership was no longer compatible with the government’s objectives.

Mr La Spina said returning NBH to NSW Health would be best for patients, staff and the community if that was the government’s preferred objective.

Healthscope chief executive Tino La Spina says Northern Beaches Hospital would be better off in public hands.

“As the state’s appointed operator, we recognise we must work in alignment with the government’s objectives for the health system overall, rather than in conflict with them,” he said.

“The public pressure brought about by the change in policy re. public-private partnership structures has created uncertainty about the NBH future and this has put strain on NBH’s people and operations.

“In the current circumstances, we believe NBH will operate more effectively as part of the public hospital system and its future is assured.”

However, Treasurer Daniel Mookhey said after the way Healthscope had managed this partnership, the healthcare provider should not expect to walk away with a profit.

Treasurer Daniel Mookhey said Healthscope should not expect to walk away with a profit. Picture: NewsWire / Damian Shaw

Mr Mookhey noted Healthscope’s owners was engaged in a market process potentially seeking to exit the business, but the government would be watching to ensure no one tried to make a windfall gain at the expense of the people of NSW.

“The government will engage with Healthscope management after questions of its ownership and whether it remains a going concern are resolved,” he said.

Health Minister Ryan Park said the government’s position had been clear that it did not support public-private partnerships being imposed on NSW’s acute hospitals.

“We will carefully consider any proposal regarding Northern Beaches Hospital,” he said.

“We can assure the community that Northern Beaches Hospital will continue to operate without interruption during any discussions.”