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NHS efficiency savings to extend beyond 2015

23 March 2012

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The NHS spending squeeze will continue beyond 2015, a DH QIPP advisor has claimed.

Speaking at a GovNet conference Modernising the NHS on Wednesday (21 March), Dr Mahmood Adil, said the efficiency spending drive will continue for “many more years” once the current £20bn Nicholson challenge is met.

“If you think the efficiency savings target will stop in a couple of years, you are kidding yourself,” he said.

“This will roll on more many more years yet.”

Dr Adil’s claims come as it is reported a DH meeting ahead of the 2012 Budget (announced on Wednesday) resulted in a warning the efficiency savings drive will need to be extended.

Ministers predict a further £20bn worth of NHS efficiency savings will have to be made immediately after the current target is met in three years time.

NHS Chief Executive Sir David Nicholson ordered the £20bn NHS savings programme – generating 4% year-on-year savings – introduced by Chancellor George Osbourne in the 2010 spending review.

A spokesperson from the DH said there are a “whole range of scenarios” for what the future may hold, including ones where there would not have to be further efficiency savings in order to meet changes in demand and costs.

They added it would be “very misleading” to speculate on what those scenarios may be.