Progress in talks for government lease of St Philip’s Hospital

€1 million annual rent for 15-year occupancy of former private hospital – reports.

Government wants to alleviate overcrowding at Mater Dei Hospital (pictured) by renting St Philip's Hospital.
Government wants to alleviate overcrowding at Mater Dei Hospital (pictured) by renting St Philip's Hospital.

The director of St Philip's Hospital, Frank Portelli, has told MaltaToday progress has been registered in discussions with the health ministry to rent or lease the shuttered hospital to the government and add up to a total of 275 beds to the national service.

Portelli, a former Nationalist candidate for the European Parliament, would not confirm whether a lease agreement for 15 years in which the health ministry will the hospital group €1 million a year has been negotiated.

"I can confirm that progress has been registered in these discussions between the negotiating teams, but it would be premature for me to make any statements at this stage as various options are 'on the table' - including leasing.

St Philips Hospital can provide around 100 beds for rehabilitation purposes, but Portelli said the hospital can be extended to provide a total of 275 beds to the national health service, besides other services such as MRI, outpatient services, and operating theatres.

"I have no doubt that  St Philips Hospital can provided added benefit to patients," Portelli said.

Labour media has reported Nationalist MP Francis Zammit Dimech played a key role in brokering negotiations between the government and Portelli.

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The government had former St Luke's hospital at its disposal and closed it down. Now government is entering into an agreement with a private hospital to increase bed capacity. Does this make economic sense for the taxpayer?
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How can a heavy loss-making closed hospital, and known bad payer (vide Govt gazette) be worth so much. Government should buy it and take over all its liabilities for a net token €1 (just like Farsons had sold the Hotel Verdala, lock stock and barrel) off the banks when these take it over. Otherwise it just smacks of (choose whichever word each reader feels appropriate, but you know which one I would insert).
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Zack Depasquale
May I ask why does the government need to lease/hire a private hospital, when the government has a hospital of his own, namely St Lukes that is not being used. With the 15Million Euros that the Government is going to spend on this lease, the same amount could be used in St Luke's hospital for referbishment and after 15 years the hospital would still be the property of the Maltese people.