Value for Money
NHS Supply Chain and efficiencies in procurement
Published 12 January 2024
7 recommendations
Department of Health and Social Care
Commercial and financial managementHealth and social careNHSProcurement and contract management
nao.org.uk
The NHS is not making the most of its spending power to save money in purchasing medical equipment and consumables.
Recommendations (7)
Source: NAO Recommendations Tracker · PAC follow-up below
Department of Health and Social Care
Rec 1
Partially Accepted
Implemented
NHSE should draw on the new HM Treasury guidance The Government Efficiency Framework, to set up a system of validation and assurance of Supply Chain?s reported savings towards the £1 billon target. This should include agreeing the relevant elements of Supply Chain?s reported savings with trusts so that there is one version of the truth with regards to savings.
Department of Health and Social Care
Rec 2
Partially Accepted
Implemented
NHSE should set out how it will incentivise and steer trusts to make best use of procurement through Supply Chain
Department of Health and Social Care
Rec 3
Accepted
Implemented
NHSE should work with the trusts that do not submit data on their spending to help them overcome the barriers to submitting, with the aim of making data on spending through and outside of Supply Chain as complete as possible.
Department of Health and Social Care
Rec 4
Accepted
Implemented
NHSE should proactively and directly use its data on trusts? spending through different procurement routes to understand why trusts are not using Supply Chain and to encourage trusts to make greater use of Supply Chain.
Department of Health and Social Care
Rec 5
Accepted
Implemented
Supply Chain should run its transformation as a structured programme for its full duration, identifying and reporting on costs, benefits, dependencies and risks.
Department of Health and Social Care
Rec 6
Accepted
Implemented
By the end of 2024, Supply Chain should improve its understanding of why customers are unsatisfied with its services and develop a targeted action plan to make substantial improvements in satisfaction.
Department of Health and Social Care
Rec 7
Accepted
No Longer Relevant
As far as they are able to do so, NHSE and DHSC should speed up the appointment processes for Supply Chain?s recruitment of senior staff.
Parliamentary Committee Follow-Up
The Public Accounts Committee examined this NAO report and published its own recommendations. The government responds to PAC recommendations via Treasury Minutes.
Twenty-Fourth Report - NHS Supply Chain and efficiencies in procurement
Public Accounts Committee
· 27 March 2024
· 12 recommendations