Where does all the NHS money go? A 💈

Constant wrangling over NHS finances: it’s a bottomless pit - it’s mismanaged - it’s a huge amount - it’s not enough - will never be enough....

Where to start with all of this?

Let’s take a look....
1/15
Does UK spend match comparable countries?

Well no. Not in proportion of national income or per head of population, it spends less than average

In comparison to G7 countries it’s spend was second lowest
2/15
UK does spend a huge amount on healthcare

However it’s no more and in fact less than comparable countries

Fact 1: In order to have good healthcare - we have to pay for it
3/15
Has UK spend changed over time?

Yes

Until financial crash 2008 NHS received annual uplift of approx 3.7% since its inception

After 2008 reduced to 1.4% and stayed at this level till 2019

Fact 2: Spending has reduced in real terms since 2008
4/15
Comparable countries have not reduced spend, many have increased it in recognition of population growth/ patient demographics

And acknowledgement that better population health is essential for economy and well being
5/15
What does the money go on?

Well essentially salaries, medicines, equipment, buildings....

Interestingly we have markedly less qualified staff

Less doctors, nurses, allied health professionals such as physios

2.6 doctors per 1000 compared to 3.6 per 1000
6/15
We have less hospital beds. Since 2010 we have lost 16000 beds, including over 5000 acute and 6000 mental health beds

2.6 per 1000 compared to 4.5 per 1000 average

Fact 3: We have less qualified staff and less beds from our funding
7/15
Proportion of funding spent on private providers is approx 26%.

Not transparent and hidden according to recent 6 year review.

Lack of transparency = impossible to understand if value for money and where money in system is going

Services or profit?
8/15
1 in 3 NHS funded hip replacements now take place in private hospitals

As do 27% hernia repairs and 20% cataract procedures

Compares with almost none in mid 2000’s

What changed?

2012 Lansley reforms accelerated private provision
9/15
Lansley opened door for provision of private services such as GP surgeries, out of hours services, urgent care and minor injury units, diagnostics, maternity care, elective surgery, community nursing,ambulance services, prison health, wheelchair services and more...
10/15
Private provision even extended to running of whole hospitals

Fact 4: Not possible to fully understand health care spending unless transparency around private provider input is provided
11/15
UK healthcare spending to date not marred by conflict of interest

For example: is it in the interest of the patient or the provider to order tests, referral, intervention?

More tests/ referral/ intervention = more profit?
12/15
This is US style healthcare

Potentially happening right here. Right now.

Fact 5: Significant funding allocations to private providers are taking place under banner of NHS Logo
13/15
So back to original questions:

UK spends no more and in fact less than comparable countries

Lack of transparency on this spend makes it difficult to evaluate value for money

Major transparency issues around private provider contracts now making up 26% of total budget
14/15
Bottomless pit? Not on this data

Enough resource? Not on this data

Mismanaged? Difficult to know

Where is money going in private providers?

How much profit now being made that is not being used for patient care?

Ends
15/15

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More from @SallyMi83941850

17 Nov
I have been asked to give my references for the earlier thread on NHS funding. Here you go....

1. The NHS budget and how it has changed. Kings Fund March 2021

2. How does UK healthcare spending compare with other countries? ONS 2019 1/7
3. David Rowland Oct 2019 LSE Flawed data? Why NHS spending on independent sector may actually be much more than 7%

4. Rocks, S, Boccarini G:Taxes and health care funding: how does UK compare? The Health Foundation Sept 2021
2/7
5. Appleby J: NHS Spending: Squeezed as never before. Kings Fund 2015

6. The UK spends less on healthcare than many developed countries: The Health Foundation 2021
3/7
Read 7 tweets

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