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Shaping PCT Provider Services

On 31 March, TPP Law sponsored and exhibited at the national Kings Fund event ‘Shaping PCT Provider Services - the future of primary and community care’ in London.

The NHS Next Stage Review has encouraged the separation of PCT commissioning and provider functions. The review also encourages PCTs to support greater choice and contestability of provision within primary and community health services and greater service integration. A range of organisational models are now possible for community health services.

In response to these developments this conference set out to explore the strategic challenges facing community health services and to share the latest thinking on system reform and PCT provider services.

Dr Anna Dixon (Director of Policy at The King’s Fund) introduced the conference by saying that despite a number of false starts there was now a clear policy direction for PCTs to achieve separation by the end of the year. She emphasised that separation involved more than a functional separation and there are many wider issues to be considered.

Bob Ricketts (Director of System Development Department of Health) gave the keynote presentation. He set out the case for change and emphasised that it is important to ensure that the focus remains on delivering transformation in community services. The key messages from his presentation were that:

there is no national blueprint on how to effect separation
engagement of staff, trade unions, partners and external stakeholders is essential
commissioning strategies are fundamental
the benefits for patients should be paramount
value for money for the taxpayer should be evident

Candace Imison (Deputy Director of Policy, The King’s Fund) went on to outline the strategic context, setting out the challenges and opportunities for provider services in terms of services, infrastructure, workforce, and organisation. She emphasised the wide range of organisational options available to PCTs to achieve separation. These include:

PCT arm’s length provider organisation
Community Foundation Trust
Social Enterprises
Integration with other NHS organisations
PCTs contracting with integrated care organisations
PCTs contracting with non-NHS bodies

The session on Key Factors Shaping Change included discussion on three areas. Firstly workforce issues, it was suggested by the speaker, Rosemary Cook CBE, (Director, The Queen’s Nursing Institute) that workforce is the single most important factor that will shape change but that there was much to do to win the support of the current workforce for reform. Secondly, governance, corporate behaviour and cultural change – Jackie Brown (Managing Director, NHS South West Essex Community Services) gave a practical overview of what it is like to be a PCT manager at this transitional time, her organisation has been arm’s length since April 2008. She concluded that good governance is an enabler and that it allows focus on service delivery and improvement within a clear framework. Finally estates and building, this presentation by Ernst and Young outlined the changing environment and what this means for PCT boards, the speaker also introduced strategic estates partnerships and innovative property funding and procurement.

The session entitled Making it Happen – Risks and Opportunities comprised of three case studies. The provider perspective was provided by Hampshire Community Healthcare. The PCT board agreed to establish separate commissioning and provision functions within the PCT with the aim of systematically transforming clinical services. A population-based approach had been adopted with a focus on leadership and governance. The commissioner perspective was represented by Birmingham East and North who were taking a considered approach in order to improve commissioning as well as provision. The point was raised that in a different economic context some providers may need to reconsider and whether increased management costs in provider arms are sustainable. Delivering world class commissioning/provision is clearly a pre-requisite but a range of provision models would need to be tested first. There was also a presentation on the lessons learned in modernising community health services from mental health services.

A number of smaller discussion groups were held in the afternoon to consider a range of issues including; service integration and working with practice-based commissioning, choice and contestability, managing change and creating social enterprises.

To conclude the day a panel of speakers was asked for their opinion on the most significant challenges and opportunities for the future. The challenges included; time constraints, ensuring the needs of the patient remain paramount and market principles. The opportunities included the fact that the policy light is shining on these services and despite recession providing quality services now could help the NHS financially in years to come, provider arms could have a far greater degree of freedom (particularly if adopting the social enterprise model) and the impact that could be made on healthcare as a result of change.

If you would like any more information about the event or if you would like to discuss any of the options for new governance structures, partnerships and provider models available to PCTs please contact Mark Johnson or Owen Willcox.




For More Information Contact:

Mark Johnson or 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

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Tuesday, 07 September 2010