News / Managers’ fears grow over financial picture

29 June 2012

Login to access this content

By Seamus Ward

NHS chiefs are increasingly fearful of the impact of financial pressures on the quality of care, according to NHS Confederation chief executive Mike Farrar.

At its annual conference in Manchester in June, the confederation published a survey in which many NHS leaders said care in their organisations had been affected by financial pressure in the past 12 months – 42% said it had affected patient experience and 35% waiting times. However, 34% felt it had not affected any aspects of care.

More felt patient experience, waiting times and availability of treatment or drugs would be affected in the next 12 months. Many called for radical long-term action, including greater integration, expanding community provision and closing hospitals in order to respond to the financial pressures. Cuts to local authority funding had added to the pressure facing the NHS, while confidence varies in the readiness to implement parts of the new NHS systems and structures.

‘Despite huge efforts to maintain standards of patient care in the current financial year, healthcare leaders are deeply concerned about the storm clouds that are gathering around the NHS,’ Mr Farrar said. ‘Our survey shows many NHS leaders see finances getting worse and that this is already having a growing impact on patients. In response, they are cutting costs in the short term. But they know much more radical solutions are the only answer in the long run.’

Mr Farrar also warned that the NHS had to win public support for changes in service provision.

Health secretary Andrew Lansley agreed innovation was needed. He told the conference: ‘I know it’s tough and it gets harder over time. We need service innovation to change the way we deliver services and to bring services together.’

NHS chief executive Sir David Nicholson said radical action was needed as traditional efficiency methods could lead to a repeat of the mistakes at Mid Staffordshire.

‘If there is a drive for straightforward efficiency it will put us in danger of making that happen again,’ he said. ‘We have to be vigilant. The answer is simple… It is about transforming services.’

He said the NHS definition of success should be based on outcomes for patients rather than on dealing with financial pressures and improving efficiency alone.