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CCGs issue 40% of contracts to private providers

Two fifths of NHS contracts have been issued to private providers since the introduction of the Health and Social Care Act by the coalition in 2013, the Labour Party has claimed.

A Labour FOI of CCGs found that 40% of all contracts put out to tender by CCGs have been awarded to private firms, compared with 41% being awarded to NHS organisations.

Labour’s findings contradict the Government’s line that just 6% of contracts go to private providers, and shadow health secretary Andy Burnham pledged to repeal the ‘market framework’ that was introduced by the HSCA and which he said had put the ‘founding NHS principles under threat’.

A Labour statement said: ‘Labour will repeal the Health and Social Care Act to scrap David Cameron’s NHS market. This will include scrapping the rules that force services out to tender and repealing the competition regime that is tying up hospitals in competition law.

‘And where private companies are involved in delivering NHS-funded clinical services, Labour will cap the profits they can make from the NHS to ensure resources are spent on patient care.’