People wait to be vaccinated at a Covid-19 vaccination centre in Ramsgate, Kent. PA
People wait to be vaccinated at a Covid-19 vaccination centre in Ramsgate, Kent. PA
People wait to be vaccinated at a Covid-19 vaccination centre in Ramsgate, Kent. PA
People wait to be vaccinated at a Covid-19 vaccination centre in Ramsgate, Kent. PA

Europe's health systems in danger of buckling under Omicron as UK put on crisis footing


Laura O'Callaghan
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Healthcare systems across Europe are in danger of buckling under the increasing strain of Omicron, while Britain’s National Health Service has ordered staff to discharge patients where possible to free up beds.

Tens of thousands of people rushed to get booster vaccines on Monday, forming long queues outside hospitals, after Prime Minister Boris Johnson set an ambitious target to offer every adult in England a third dose by the end of the year.

Routine appointments are set to be cancelled to free up staff to get shots into arms and doctors have been told to discharge patients from hospitals to care homes, hospices, their own homes or hotels in the run-up to Christmas to make room for Omicron patients.

NHS bosses wrote to hospitals setting out the crisis plan after Mr Johnson confirmed the UK’s first Omicron death on Monday. It is understood to be the world's first recorded death from the variant but South Africa has blamed a rise in excess deaths on Omicron.

In a letter, NHS England’s chief executive, Amanda Pritchard, and medical director, Prof Stephen Powis, said the health service was facing a level-4 “national incident”.

They said patients arriving in ambulances into A&E should be moved faster so paramedics can get back on the road to attend to more emergency calls.

Nurses are being flown in from overseas to help the NHS prepare for an expected rise in hospital admissions over winter.

Norway has spoken of a 'serious' situation due to the spread of Omicron and the government fears its health service could be saturated. AP Photo
Norway has spoken of a 'serious' situation due to the spread of Omicron and the government fears its health service could be saturated. AP Photo

As many patients as possible will be diverted to private hospitals for surgery.

Mr Johnson is set to come up against a rebellion from MPs in his own party on Tuesday when the House of Commons holds a vote on his Plan B measures. Up to 80 politicians are reportedly planning to vote against the package, which includes mandatory face masks in most public indoor settings, vaccine passports for nightclubs and mass events and an order to work from home.

Dominic Raab, Justice Secretary and Deputy Prime Minister, said further restrictions were not needed to bring the infection rate down.

He said ministers believe Plan B should be sufficient over the Christmas period but did not rule out more measures being imposed.

He acknowledged that the NHS had been given a “demanding target” to offer every adult in England a booster shot in the coming weeks but said the programme was necessary to ensure the best chance of tackling Omicron.

“These issues are always discussed but we have got Plan B, that’s what we think is required over the Christmas period,” he told Times Radio.

Pressed if Christmas will be safe, Mr Raab said: “Yes, I think it is. I want to give that reassurance. I think people can look forward to spending Christmas with loved ones in a way that we couldn’t last year.”

He said 41 per cent of people in England have now had a booster shot.

Meanwhile, Norway has imposed tighter social restrictions as Prime Minister Jonas Gahr Store spoke of a "serious" situation in which the Delta variant combined with Omicron could create "a total saturation of the health system".

The country on Monday declared 958 Omicron cases, more than half of which were in the capital Oslo. The Norwegian national health authority said between 90,000 and 300,000 Covid-19 infections and up to 200 hospital admissions could become the daily reality within three weeks if measures were not imposed.

“The situation is serious. The spread of infection is too high and we have to take action to limit this development,” Mr Store told news agency NTB.

Authorities in Denmark fear that Omicron could become the dominant Covid strain within days as the country detected 3,437 new cases on Monday.

Soren Riis Paludan, professor of biomedicine at Aarhus University, said the situation would soon be replicated in other European countries. “Denmark is a frontrunner here. We were one of the first countries to have initial spreading domestically, but other countries in Europe will see the same,” he said.

The UK has confirmed the highest number of Omicron cases in the world, followed by Denmark.

Meanwhile, France is bracing for a sixth Covid-19 wave in January due to the spread of Omicron, a leading French hospital executive has said.

Martin Hirsch, head of Paris's AP-HP hospital group, Europe's largest hospital system, said a surge of infections was around the corner, despite France having declared only 59 Omicron cases so far.

"We haven't said a word on the sixth wave, which is Omicron, which will come later in January," he told RTL radio.

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Updated: December 14, 2021, 11:22 AM