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Fate of NPfIT funds “complicated”

22 May 2012   Jon Hoeksma

The new NHS information strategy runs to 100 pages, but says very little about money.

No additional funds are committed and the fate of monies previously earmarked for the National Programme for IT in the NHS remains murky.

In an exclusive interview with eHealth Insider, health minister Earl Howe said savings from NPfIT contracts “will be made available for investment in frontline services.”

Asked whether NPfIT funds will be made available to support the new strategy he said “the way we allocate capital funds is too complicated to easily answer.”

He also insisted that the lack of discussion of funding in ‘The Power of Information’ strategy is deliberate.

“We are no longer going to award large national contracts and will be moving to a much more local approach.

“From 2016, as the national programme contracts come to an end, the balance of funding and decision making will become more local.”

Questioned on whether the moratorium on further large IT contracts includes a new deal for CSC for the North, Midlands and East, Earl Howe said he “wasn’t close to that decision.”

Subsequent clarification indicated that CSC should be considered part of the existing NPfIT contracts.

The information strategy says “capital funds will be available in the usual way for investment in IT from the Department of Health.”

It also says a new capital fund will be created: “In moving to a more locally driven model for delivering informatics, the Department of Health recognises the need for central funding to be made available to the local NHS.

"A capital fund is being developed that will initially cover 2013-14 and 2014-15 to achieve this.”

The strategy says the details of how to make this new fund work will be developed over the summer/autumn of 2012.

Whether this will be based on unspent NPfIT funds, either released by savings in existing contracts or underspent due to lack of delivery in the CSC contract, is unclear.

In his interview Earl Howe said investment will primarily be down to provider organisations and local commissioners to deliver the strategy.

“We’re confident that funds earmarked for local commissioning will be utilised by CCGs [clinical commissioning groups].”

Read the full interview with Earl Howe in the Insight section.


Related Articles:

31 News: New NHS information strategy unveiled | 21 May 2012
Last updated: 21 May 2012 16:57

© 2012 EHealth Media.


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If there are any funds, who gets them?

Mary Hawking 118 weeks ago

Just asking.

Without a firm strategy, will these funds (if any) go to Trusts, CCGs, central infrastructure - or where?

And how will the allocations of very scarce funding be allocated?

Is it a case - as Margaret Thatcher was quoted as saying - "To those that have shall be given, and from those that have not, that which they have shall be taken away."?


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Is there any money there?

Soothsayer 118 weeks ago

Long ago, I came to the conclusion that the money for NPfIT never really existed. Certainly not in terms of bags of tenners, in a corner of the Treasury each tagged NHS IT.

The then Blair/Brown government took a gamble that if NPfIT ever delivered fully, they would have to find the money; but were probably confident that the programme was more spin than delivery and they wouldn't have to worry.

Thus, "there is no money" for trusts to be given by the centre in the post NPfIT world, and organisations will have to make and fund their own acquisitions from within their own resources. Capital funding being "complicated" is simply saying it's a mess we don't want to unravel or admit to.

At some point, possibly when Lansley's new NHS is taking hold, the government will then trumpet the demise of the National Programme and claim that its abandonment as another failure of the previous government, conveniently being able to use the paper "saving" as a means to improve the wider UK balance sheet.

Sadly, it's all been a political game with patients and even IT companies suffering as a consequence.


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Wouldn't hold your breath

Charles Gallagher 118 weeks ago

If I were an NHS trust waiting for this money I'd start thinking again.

If Lord Howes advisor's have told him its "complicated"I suspect its impossible. Reminds one of a scene from Yes Minister!


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