Secretary of State for Health and Social Care (Wes Streeing): I
am today updating the House on the Government's plans to reform
the health system in England, in line with our commitment to
deliver a more accountable, productive and patient-focused
National Health Service.
The Government intends to abolish NHS England by March 2027,
subject to the will of Parliament. And as we have set out, the
role of Integrated Care Boards (ICBs) is also changing. ICBs now
have a clear purpose as strategic commissioners, tasked with
building a Neighbourhood Health Service focused on preventing
illness.
We are doing this to deliver a more streamlined, efficient and
strategic centre. The size of the centre has more than doubled
since 2010. The 2012 reorganisation of the NHS led to worse care
for patients at soaring costs, leaving taxpayers paying more but
getting less. That is why the government's ambition remains to
reduce staff numbers by up to 50% across DHSC, NHSE, and ICBs.
These reductions will be made by March 2028.
Patients will experience better care as we end duplication and
slash bureaucracy across the NHS, with around 18,000 posts
abolished and more than £1 billion per annum saved by the end of
the Parliament. These reforms will also give more power and
autonomy to local leaders and systems – stripping away red tape
and bureaucracy and providing more freedom to better deliver
health services for their local communities. Today's announcement
comes ahead of next week's Budget, which will focus on cutting
waiting lists, cutting the national debt and cutting the cost of
living, and driving more productive and efficient use of
taxpayers' money by rooting out waste in public services.
As set out in our 10-Year Health Plan, we are revitalising the
Foundation Trust model that drove previous improvements in
performance, but with the shift from treatment to prevention at
its heart. And as our next step in delivering this commitment, I
can update parliament today that 8
high-performing trusts will be assessed by NHS England (opens in
a new tab)to become the first Advanced Foundation Trusts
based on their record of delivering quality care, strong finances
and effective partnerships with staff and local services. Further
waves will follow over the coming years, driving up standards in
every community.
This new designation will reward excellence with greater freedom
for providers and clinicians to make decisions locally – from how
services are organised to how money is spent – so that care can
be designed around what works best for local people, not dictated
from Whitehall.
On top of this, the best Foundation Trusts, those embracing the
three shifts and demonstrating the strongest partnerships, will
also be given the opportunity to hold Integrated Health
Organisation (IHO) contracts. As an IHO they will hold the whole
health budget for a local population, alongside responsibility
for improving health outcomes.
From the first wave of advanced Foundation Trusts, two will go
forward as candidates for first wave IHO designation. We will
work with these designates to further develop the IHO model, and
over time, we expect IHOs to become the norm.
All of this adds up to a very different kind of NHS. It marks a
fundamental shift: from command and control to collaboration and
confidence. It won't happen overnight, but with our investment
and modernisation, this government will rebuild our NHS so it is
there for you when you need it once again.