Guernsey Hospital Project Hits £30M Budget Gap

Revised plans for modernizing Guernsey's Princess Elizabeth Hospital are scheduled to be presented to the States later in 2026, following the completion of work by consultants Arup. This update concerns phase two of the hospital modernization, which involves layout adjustments and facility updates, including a new children's ward, operating theatres, and a private ward.

The project, initially approved with an update to the emergency department as its second phase, has encountered a significant financial challenge. It was revealed in 2024 that the scheme is projected to be approximately £30m over budget. A review by UK firm Northmores was conducted to find ways to deliver the project within the agreed £120m budget, focusing on 'value engineering'.

Furthermore, phase one, the construction of a new critical care unit, has also faced substantial delays. Issues with the installation of ventilation units and the placement of walls have contributed to these setbacks. Health and Social Care (HSC) is currently in negotiations with contractors regarding the funding for this phase, with hopes to open the units in 2026.