Today, Prime Minister Sir Keir Starmer announced the abolition of NHS England to “cut bureaucracy” and bring management of the health service “back into democratic control”. This significant change aims to streamline operations and improve efficiency within the NHS.
Yesterday, Sir Jim Mackey, interim CEO of NHS England (NHSE), announced a significant restructuring of integrated care boards (ICBs), mandating a 50% reduction in their costs. This drastic measure will lead to the merger of several ICBs and a substantial reduction in leadership roles.
In the past week, several key executives at NHSE have resigned, including the CEO, CFO, CSO, and CMO. Sir Jim Mackey has already convened the ICBs in London, announcing a 50% reduction in leadership positions. This move is part of an effort to reverse a £7 billion deficit.
The impact of these changes will be profound. Staff at all levels within NHSE and ICBs will face significant disruption, leading to a halt in procurement reform and stalling of delegation and collaboration projects. The Treasury will fund redundancies, but approvals above £95K will require national consent, adding further tension.
The exact number of clinicians holding board roles in ICBs across England is not readily available. However, it is known that ICBs include a significant number of clinicians among their staff, with many holding influential positions. The restructuring and cost-cutting measures will likely impact these roles significantly. Unions are expected to get involved, adding more uncertainty to the situation. This turmoil will take at least 12 months to resolve, leaving many feeling disempowered and uncertain about the future.
Impact on the Pharmaceutical industry
The restructuring of NHS England and ICBs is expected to have significant repercussions for the pharmaceutical industry. With procurement reform halted and collaboration projects stalled, the process of acquiring medicines and medical devices will face delays and uncertainties. This disruption could lead to a slowdown in the introduction of new treatments and technologies, affecting patient care and innovation.
Furthermore, the financial strain on NHS England, including efforts to reverse a £7 billion deficit, may result in tighter budgets for medicines and medical devices. Pharmaceutical companies may face challenges in negotiating prices and securing contracts, potentially impacting their revenue and market stability. This could lead to delays in decision-making and further complicate the procurement process. The overall environment will be marked by tension and disarray, making it difficult for pharmaceutical companies to navigate the changing landscape. The intent is to start immediately and this will be the third time the ICBs (and previously, Clinical Commissioning Groups [CCGs]) have been asked to make radical changes.
As the NHS undergoes these turbulent changes, the pharmaceutical industry must stay agile and prepared for the challenges ahead. Collaboration and proactive engagement with NHS stakeholders will be crucial to ensure continued access to innovative treatments and maintain the quality of patient care.
Join us for a live Q&A session to learn more.
Emphasising patient care and support for frontline staff
In these challenging times, it is more important than ever to prioritise patient care, reduce waiting lists, and support frontline staff. A clear engagement strategy focused on systems, pathways, and patients, as well as decisions on reimbursement, is essential. By maintaining a strong focus on these areas, we can ensure that the quality of care remains high and that the healthcare system continues to function effectively despite the ongoing changes. Working with expertise embedded at the heart of the NHS changes will become the norm for progressive market access teams. With our network of NHS Associates, this is an area we can support you with. To explore what this means for your UK market access strategy and NHS engagement, contact us today.
