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Health jobs worth £700m approved by Treasury

Three hospital construction projects worth £700 million have been approved by the Treasury.

The £400m Royal Liverpool University Hospital replacement was given the green light following the review of all funding approved by the former Labour Government this year.

The £220m rebuild of St Helier Hospital in Surrey was also approved, as was the £80m redevelopment of the Royal National Orthopaedic Hospital in Middlesex.

The approvals come after chief secretary to the Treasury Danny Alexander yesterday cancelled 12 projects and suspended several more following the review. The £450m North Tees and Hartlepool hospital was the biggest construction job cancelled.

A Department of Health spokesperson said today: “Following the Treasury review of all Government projects agreed since 1 January, we are pleased to confirm that planned hospital building projects at the Royal National Orthopaedic Hospital, Royal Liverpool and St Helier will proceed as planned.

“In these tough economic times it is essential that all major hospital building - whether PFI or public capital - must be affordable and provide value for money for the taxpayer.

The Leeds Holt Park Well Being Centre remains suspended pending a final decision in the autumn Comprehensive Spending Review.

Balfour Beatty, Carillion, Brookfield and FCC/Inteserve are understood to have submitted pre-qualification questionnaires for the Royal Liverpool University Hospital job. A shortlist is expected next month.