Recommendation SHI-2: Risk assessment on funding model changes
From Scottish Hospitals Inquiry Interim Report, published 4 March 2025.
Recommendation
Accordingly, in situations where the funding model or procurement route changes mid project, a risk assessment should be conducted to assess whether work done on the project up to that point is suitable for the revised project. The rationale for decisions taken in this regard should be formally recorded.
The party carrying out the risk assessment should be the party on whom the potential risk falls and which is in a position to mitigate the risk, unless there are sound reasons why this should not be the case. In the case of the RHCYP and DCN project that party was NHS Lothian, notwithstanding that it was Scottish Government that made the decision to change the funding route, and consequentially, the contractual model.
In brief (written by this site)
In September 2025, Neil Gray, Cabinet Secretary for Health and Social Care, stated that the procuring NHS body will assess whether prior work is suitable for a revised project, with the rationale formally submitted to the NHS Capital Investment Group for approval (Neil Gray, Sep 2025). The Minister also stated in September 2025 that the recommendation had been accepted and committed to provide a future update on progress regarding its implementation (Neil Gray response, Sep 2025). The record holds no update since the Scottish Government's response of September 2025 (Neil Gray response, Sep 2025).
AI-generated summary of the record on this page, checked by a second model and automatic checks, 26 Sep 2026. The record below is the sources' own words.
About this summary
This recommendation applies across many organisations. The record reflects central policy activity; adoption in individual organisations may vary.
Government response
On 13 March 2025, I made a statement in parliament, addressing the Interim Report and its recommendations. I accepted all recommendations and committed to provide a future update on progress around the implementation of those recommendations.
How this response relates to the recommendation
Site note: The Cabinet Secretary's letter of 17 September 2025 to the Health, Social Care and Sport Committee gives this passage once, for all 11 recommendations. It describes his statement of 13 March 2025, whose own words, recorded as a progress row here, are a commitment "to consider and address each of the 11 recommendations made in the interim report".
Delivery
Scottish Government says in progress (17 September 2025)
The procuring NHS body, working in conjunction with the Scottish Government, will assess whether work done on the project up to that point is suitable for the revised project. The rationale for decisions taken will be formally submitted to the NHS Capital Investment Group for approval.
From: Scottish Hospitals Inquiry (SHI) - Update on actions taken by the Scottish Government to address the recommendations made by the SHI in its Interim Report on the Royal Hospital for Children and Young People, Department of Clinical Neuroscience (RHCYP DCN), Edinburgh, Neil Gray, Cabinet Secretary for Health and Social Care
Earlier statement on delivery (1)
Scottish Government (13 March 2025)
The Scottish Government is committed to working with the health boards and other NHS bodies to consider and address each of the 11 recommendations made in the interim report.
From: Scottish Hospitals Inquiry (Interim Report) (Meeting of the Parliament, 13 March 2025), Neil Gray, Cabinet Secretary for Health and Social Care
Site note: The Cabinet Secretary for Health and Social Care's statement to the Scottish Parliament on 13 March 2025 gives this sentence once, for all 11 recommendations of the interim report. In answer to a question in the same item he said: "We will respond formally to the inquiry’s 11 recommendations in due course."
Source
Responsible bodies
Themes and tags
Who has spoken
- Scottish Government
Response, delivery statement