A proposed $130 million redevelopment of the Royal Hobart Hospital’s emergency department has been put on hold due to “budgetary issues”.
In an email sent to staff on Thursday, the ED management team said the latest design for the project is around $50 million over budget.
As a result, the team has been instructed by the Tasmanian Health Service (THS) to “endorse a redesign of the existing ED footprint within the current budget”.
A “lower scope” design was attached to the email, which the team says was developed with the intention of keeping “disruptions to service delivery at a minimum”.
“We openly acknowledge that this design isn’t fit for purpose to meet our current needs, let alone the future needs of the department,” it reads.
![](https://cdn.pulsetasmania.com.au/images/pmg/76140a92-budget-issues-delay-royal-hobart-hospital-emergency-department-redevelopment_edited_7b8eec5222d00903.jpg)
“We’re really disappointed with this outcome and recognise that this will be extremely frustrating and disappointing for you all.”
The state government said claims the project has been put on hold are “categorically false”.
“The budget to deliver the following has increased and will provide the facilities to meet future demand,” a post on X from Rockliff Team Media read.