Raise in health tax mulled to pay for nursing care

Top health official: Bibi is hot for this story, despite all the denials.

"Bibi is hot for this story, despite all the denials," asserted a top health official today, in response to yesterday's statement by Deputy Minister of Health Yaakov Litzman that Prime Minister Benjamin Netanyahu supports raising the health tax by 0.5% in order to include nursing services in the state basket of healthcare services.

Litzman's statement took many people by surprise, because the Ministry of Finance is wholly against the measure, which contravenes the policy of cutting direct taxes set by Netanyahu himself.

The Prime Minister's Bureau did not really deny the report. In a laconic and ambiguous statement, it told "Globes", "When the proposal is put on the prime minister's desk, he'll consider the issue."

The question is whether the fact that Netanyahu did not automatically respond should worry Minister of Finance Yuval Steinitz. A Ministry of Finance official said, "It would be a disaster if we were to begin adding services to the healthcare basket by raising the health insurance tax." He added that he believed that the ministry would be able to explain the matter to Netanyahu when the time came.

The source also said that the most important reform in the health system at this time is to transfer the mental health system to the health funds. He said, "Litzman should realize that he cannot lead two reforms simultaneously."

On Sunday, the ministerial legislative committee will discuss a private member's bill by MK Haim Oron (Meretz) to raise the health tax by 0.3% to include nursing homes, an especially heavy burden for many families, in the state basket of healthcare services.

Published by Globes [online], Israel business news - www.globes-online.com - on January 27, 2011

© Copyright of Globes Publisher Itonut (1983) Ltd. 2011

Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018