If you think the NHS is expensive now… Annual public healthcare spending 'is set to rise FIVEFOLD to £9,914 each by 2060'

By Rachel Rickard Straus

Published: 11:23 EST, 31 January 2013 | Updated: 11:33 EST, 31 January 2013

Public healthcare spending could soar to £9,914 per person every year by 2060 if current trends continue, a think tank has warned.

The increase from the current level of £1,745 means that public healthcare costs could be set to consume half of government spending – a stark rise from the nine per cent currently spent.

Analysts at The King’s Fund based their projections on economic growth and current levels of taxation and government spending.

They added that increases in wealth and medical advances will increase pressure to spend more on treating and caring for people in future.

An ageing population will also be a factor, although will only be attributable to a small rise.

The report warned that stark choices must be made now so that we do not find ourselves with such an unsustainable healthcare bill in future.

It suggested that either taxes are increased to absorb the additional costs or the scope of publicly funded services will have to be curbed.

John Appleby, chief economist at The King's Fund and author of the report, said: ‘While there is nothing inevitable about spending on health and social care continuing to increase in line with historic trends, the pressure to spend more is likely to see it consuming an ever-larger proportion of national income.

‘It is time to think much more long-term about how much we should spend, the benefits of this spending and how it should be paid for.

‘By turning the spotlight on these issues now, we hope to stimulate an informed debate about the difficult choices ahead.’

There should be an ‘informed public debate’ about the choices and ministers should commission regular reviews of spending pressures, the authors added.

NHS Confederation chief executive Mike Farrar said: ‘This report from the King's Fund highlights the financial pressures coming down the tracks and the need for a sustainable solution.

‘There is a growing consensus that the NHS must change to meet the needs of our changing population, make the most of healthcare technology, and live within its means.

‘Addressing these issues will require some tough choices and it is essential that we have open and honest conversations with the public about what we can afford in the future and how we will fund it.

‘We urgently need an all-party debate about how we can establish a sustainable health and social care system, with radical solutions very much allowed.’