Does the Formula give enough emphasis to deprivation or remoteness?
The weights attached to different elements in the Formula are based on the best available evidence at the time of the Arbuthnott Formula, depending on how each factor influences the need for healthcare. The weights were not chosen, but based on empirical analysis. The adjustment for morbidity and life circumstances therefore takes account of the need for services within diagnostic groups over and above the affect of the age and sex profile of the population. The adjustment for the excess costs of supply then takes account of the additional costs of delivering services to meet the needs that are predicted by the age & sex and morbidity and life circumstances adjustments. It should be remembered that the target shares for each Board are influenced not only by the different adjustments within the Formula but also by the profile of Boards. Most Boards are very variable, containing a mix of remote/urban areas and affluent/deprived areas, and this is taken account of when the results are pre
