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Cost-benefit Analysis For Potential Third Medical School Completed

Hon Dr Shane Reti
Minister of Health

The Government has announced that an initial cost-benefit analysis of establishing a third medical school based at the University of Waikato has been completed and has been found to provide confidence for the project to progress to the next stage.

Minister of Health Dr Shane Reti says the proposal will now move to a full business case, before any final decisions are made.

“Earlier this year, the Ministry of Health signed a Memorandum of Understanding with the University around a potential third school and began working through the necessary steps to ensure the best training model could be developed,” Dr Reti says.

“This included a cost-benefit analysis to give everyone initial assurance of the feasibility of this program. The cost-benefit analysis is encouraging, however there is still a significant amount of material to be considered and assumptions to be tested around this major project.

“A detailed business case, in addition to the full CBA, is the appropriate vehicle to answer these questions.

“I expect the Ministry of Health to continue to lead this process on behalf of the Government, working closely with Waikato.

“Any further announcements can be expected following completion of the business case. This will be thorough and expected to take some time.

“We know we need to prioritise increasing the number of homegrown health professionals as a top priority to make sure all New Zealanders have timely access to quality healthcare.

“New Zealanders have been facing longer and longer delays in accessing healthcare, and tackling our workforce crisis is key to solving that issue.

“New Zealand’s existing medical schools at the University of Auckland and the University of Otago are top quality and have immediately benefited from increased places at both universities this year.

“However stats also tell us many GPs are planning to retire in the next 10 years, which will particularly impact provincial and rural communities already experiencing New Zealand’s biggest doctor shortages.

“I would expect the proposed third medical school to have a focus on primary care. We will take time to consider the needs of rural areas. The model proposed is a four year graduate entry programme focused on rural and primary and community care,” Dr Reti says.

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