Dept of Health publishes key
suite of new guidance
This includes the long-awaited PCT Procurement Guide, Commercial Skills for the
NHS, as well as The Principles and Rules for Cooperation and Competition.
PCT Procurement Guide
The Guide is a revision of the document published in May 2008. It is intended to
enable PCTs to determine when to use procurement for a clinical service and what
approach to use when running a procurement, including clarification of the ‘preferred
provider’ policy. PCTs will be expected to comply with the Guide and use it to inform
their procurement decisions.
Key points:
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The Guide is aimed primarily at Part B services – these include
health services and the procedures and associated timetables are much less rigorous
than Part A services |
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PCTs will be expected to follow processes depending on the
circumstances in question e.g. new service models or contract expiry, with all options
including a robust service review and staff engagement |
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Clear emphasis on transparency at all times including prior
to procurement and with a clear audit trail |
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The need to be consistent with the wider principles of public
procurement and the Principles and Rules on Cooperation and Competition |
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Additional sections on pricing, risk and incentives, as well
as the scope of the service specification in contracts with providers |
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Emphasis on governance and accountability throughout |
Commercial skills for the NHS
Commercial skills in the NHS sets out the ways in which services
and value for money can be improved through supporting commissioners and staff to
develop commercial skills and facilitating access to commercial expertise and infrastructure
on a regional and national level. It supersedes Necessity not Nicety and is intended
to supplement the revised PCT Procurement Guide.
Key points:
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Emphasises the key role of commercial skills in the purchasing
and commissioning for goods and services including benchmarking and contractual
mechanisms, PBC and procurement |
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Detailing the role regional Commercial Support Units will provide, as well as support
within the Department of Health |
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Emphasises the key role that staff engagement will have under WCC competencies |
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Sets out scenarios around commissioning needs, detailing the processes to be followed |
Principles and Rules on Cooperation and Competition
The PRCC sets out the rules that the Department of Health expects commissioners
and providers to follow to ensure suitable cooperation and competition. They are
not legally binding but breaches of the rules may be investigated by the Cooperation
and Competition Panel (CCP) and they may make recommendations to the Secretary of
State.
Key points:
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Certain principles have been consolidated and merged to avoid
duplication and improve information flow, including commentary on CCP application
of the PRCC |
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More detail on cooperation and patient choice |
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A new principle against agreements which restrict commissioner or patient choice
against patient and taxpayer interests |
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A revised provision on mergers |
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Echoes the revised PCT Procurement Guide on process, particularly the role of PCT
boards |
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Will not come into effect until October 2010 |
Comment
All three documents interrelate to some extent. The PCT Procurement Guide, in particular,
has the potential to have a profound system management impact. Its guidance on service
reviews and associated process, including staff engagement, will require commissioners
to fully and transparently consider the nature and extent of services very early on. Last minute procurements where commissioners have not carried out a proper evaluation
of the services in question, as set out in the Guide, will no longer be acceptable,
particularly in a challenging financial climate where value for money will be a
key factor in the NHS.
The revised principles and rules on mergers will be particularly important in relation
to the implementation of the Transforming Community Services separation
plans that PCTs must have agreed with their respective SHAs and the Department of
Health, particularly given the crucial role the CCP will have in approving the proposals.
The full publications can be obtained by
clicking here
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For More Information Contact:
Owen Willcox
TPP Law Limited
53 Great Suffolk Street
London SE1 ODB
t 020 7620 0888
f 020 7620 0778
e info@tpplaw.co.uk
Email: Owen
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