Select Committee on Health Written Evidence


Memorandum submitted by Basildon PCT (PCT 11)

1.  INTRODUCTION

  1.1  We note that the Health Select Committee has decided to undertake an inquiry into potential changes to primary care trusts' functions and numbers arising from the Department of Health's recent paper, Commissioning a Patient-Led NHS. We note that the Committee will be examining:

    (i)  The rationale behind the changes.

    (ii)  The likely impact on commissioning of services.

    (iii)  The likely impact on provision of local services.

    (iv)  The likely impact on other PCT functions, including public health.

    (v)  The consultation process on the proposed changes.

    (vi)  The likely costs of change and subsequent possible cost savings.

  1.2  As a PCT we welcome the decision of the Select Committee to look into these matters and submit the following evidence for your consideration. This evidence is submitted to you on behalf of Basildon Primary Care Trust in Essex, by the non-executive directors of the Trust and signed by the Chairman.

  1.3  Basildon Primary Care Trust serves one of the most deprived communities in Essex, as measured by most indices of social deprivation. In particular we would draw the Committee's attention to the low education attainment, which is one of the lowest in the country. The population served by the PCT is 109,000 and is contained within the "New Town" part of the Basildon District Council area, and within the large shire County of Essex (1.6 million people). Basildon PCT is one of the most underfunded PCTs in the country. We will gain in real terms through the NHS financial allocations announced for the next two years, having suffered the disadvantages of being more than 9% distance from target allocation at the establishment of the organisation on 2001. This year's budget of £122 million budget will, we have been told, increase to circa £135 million in 2006-07 and circa £151 million in 2007-08. For the first time since establishment this will give Basildon PCT the money to make major investment in improving primary care services and tackling the real local health inequalities.

  1.4  We set out our evidence the Select Committee below under the Select Committees terms of reference.

2.  RATIONALE BEHIND THE CHANGES

2.1  Strengthening commissioning

  We positively welcome and support the policy direction which strengthens commissioning and empowers local clinicians to procure locally appropriate services through practice-based commissioning (PbC). But we are puzzled at the suddenness of the announcement and publication by the DoH of the paper Commissioning a Patient Led NHS in July, during the holiday period, and the compressed timetable within which the informal consultation on reconfiguration of PCTs, Ambulance Trusts, and SHAs took place. Although we have no argument with the overall policy direction we do not believe this required the wholesale reconfiguration of PCTs. In our case, which is not uncommon in the NHS, we have already set up strong partnerships with neighbouring PCTs for commissioning, modernisation of services, risk sharing, and the implementation of PbC and capability is being strengthened daily. Our partnership is called the South West Essex Health Management Partnership and we have identified a top five shared commissioning priorities for the area:- Emergency Care, Management of Long Term Conditions, Planned Care, Children's Services and Mental Health. As a group the PCTs in this area have almost two years experience of being a commissioner of a first wave Foundation Trust (Basildon and Thurrock University Hospitals NHS Foundation Trust) within the enhanced Payment by Results (PbR) financial regimen.

  We believe we would have achieved fitness for purpose ourselves over a relatively short period of time, bringing local stakeholders with us, rather than being "victim" of what is now perceived as a top down process.

2.2  Saving money

  With regards to the saving £250 million, the NHS has had to find considerable savings over the years and we believe that if we had been asked to find our share of this we would have done so, reconfiguring locally to meet the challenge.

  Like other PCTs in Essex we are not only expected to make the necessary savings to break even ourselves, but also to help balance the books Essex-wide by finding an additional £750,000 surplus.

2.3  Co-terminosity

  Achieving co-terminosity with social services authorities in a large shire County like Essex sacrifices District Council or Borough co-terminosity where most of the partnership work actually happens, and where true public sector integration around community strategy/LSP priorities is possible. In addition the factor of two smaller unitary councils in the south of Essex needs to be considered.

3.  LIKELY IMPACT ON THE COMMISSIONING OF SERVICES

  3.1  The reconfiguration debate will inevitably take people's "eye off the ball" of what we all believe is the most important factor, the successful implementation of PbC. Our commissioning processes, essential for getting Local Delivery Plans (LDPs) in place for April 2006-07 onwards will be seriously compromised if Chief Executives and Directors, the key leaders in this process, are insecure about their futures. Of course as professionals they are hard at work constructing business continuity plans to make sure all the essential work is co-ordinated and delivered during this critical time, but this in itself takes energy away from the true and complex commissioning task, especially in the context of PbR and PbC.

  3.2  PbC implementation is, we believe, the "arrowhead" of the commissioning reforms and is likewise in danger of being undermined or delayed. Local clinical engagement, the key to the success of this process, has already been compromised by the speculation about what the new organisations will look like, and who will be the new key players.

4.  LIKELY IMPACT ON PROVISION OF LOCAL SERVICES

  4.1  Staff in provider services, particularly, community nursing (Health Visiting, District Nursing), therapy services ( Physiotherapy, Occupational Therapy, Speech and Language, Dietetics and Nutrition, Chiropody and Podiatry), community paediatric medicine and nursing etc, have been deeply unsettled by the July statement that provider services will separate from PCTs by 2008, with no clarity about where they will go or who will manage them. Some new light has been given in the recent announcement by the Secretary of State, which appears to say this is now a matter for the new PCTs to decide and not a directive, but there is still lack of complete clarity. This is causing unsettled staff to lose focus and sometimes vote with their feet by moving to organisations perceived as being more stable. In this time this will be the acute sector of the NHS or mental Health Trusts, ie those perceived to be unaffected by reconfiguration. This is highly counter productive at a time when Government policy, through patient choice and good medical practice is focusing on admission avoidance and managing long term conditions in the community. At any time PCTs can ill afford to lose the skills of their primary care and community workforce .

5.  LIKELY IMPACT ON OTHER PCT FUNCTIONS INCLUDING PUBLIC HEALTH

  5.1  It is unclear what has happened to the "Choosing Health" White Paper and delivery plan in this debate about the size and shape of PCTs. There is a risk that unless mechanisms to implement this vital part of policy are explicit, the very thing that can have the most impact on health, especially in a deprived community like Basildon Town, is lost in an organisation that is too large to relate to local communities and too involved in strategic commissioning to really put in the investment that is needed to promote healthy living.

  5.2  Impact on PCTs ability to deliver PbC has been addressed above.

6.  CONSULTATION ON PROPOSED CHANGES

  6.1  The Essex SHA adopted a rapid informal consultation process as requested in DoH document in July. This necessitated a very short time scale for consultation as draft submissions had to be in to DoH by 15 October, and most key players were away in August and could not respond. Consequently insufficient time was available to collect vital data to inform a complete option appraisal of the various possible configurations. The SHA submission, by their own admission is lacking in essential information, especially financial data, and they are only now commissioning work to carry out these essential investigations. Yet they have made a recommendation to the DoH that they consult on a preferred option of two PCTs, one North, one South for Essex which many according to their own public consultation report feel is not sensitive enough to address vital local issues of health inequalities and service integration.

  6.2  Basildon PCT's preferred option is to be merged as part of one South West Essex PCT, as part of a configuration that would give five PCTs across Essex. Our rationale being that collaboration already exists amongst PCTs that share a main acute provider. In our own case this is particularly strong with the jointly appointed Director Commissioning and joint programmes addressing many common needs. Our clinicians are already fully engaged with this process that is designed to achieve stronger, clinically led commissioning. In particular our clinicians and our patient representatives are concerned that our new resources next year and the year after are safeguarded for the most deprived communities they serve. The rationale for five PCTs in Essex seems at least as strong as the rationale for two until costs are considered. We understand that detailed costings are being undertaken and note that costs may need to be completely reconsidered if the management costs of provider services are not necessarily to be channelled into other organisations.

  6.3  In the formal consultation stage we would like assurance that real weight is given to local views including those of the PPI forum and District Council.

  6.4  In our original submission to the SHA, we made the following additional points in support of a SW Essex PCT option.

    6.4.1  The combination of the impact of the population increases in the South West of Essex associated with Thames Gateway (additional 32,100 households by 2021) and the enhanced financial allocations over the next few years (eg an estimated budget of over £450 million by 2007-08) a SW Essex PCT is clearly a viable unit.

    6.4.2  A SW Essex PCT reflects a natural health economy around a first wave Foundation Trust. A similar natural health economy has developed in the South East of Essex. A South Essex single PCT configuration would artificially pull together two separate, functioning, natural health economies.

    6.4.3  Children are a high priority in Basildon and neighbouring areas. There are a high number of children on the child protection register, and children suffer significantly poorer educational achievement compared with most parts of the country. A SW PCT will be more effective in protecting and developing the work of our very active District Council level local Children's and Young People's Strategic Partnerships (CPSYPs).

    6.4.4  Bringing these two natural health economies, SW Essex and SE Essex together gives absolutely no guarantee that in a South Essex budget, the interest of the deprived Basildon communities would continue to be served and that Basildon people would continue to benefit from the increased allocations per capita they have waited so long to receive.

7.  LIKELY COSTS AND COSTS SAVINGS

  7.1   We would refer you to our comments in paragraphs 2.2 and 6.2.

8.  CONCLUSION

  8.1  We would respectfully ask the Select Committee to consider the evidence we have presented. Our aim is not to oppose change but to make the case for form to follow function. The current proposals risk widespread system instability at the very time, when the "arrowhead" of reform, PBC, requiring close local clinical engagement and considerable local management capacity, is being implemented.

Alwyn Hollins, Chairman

Basildon Primary Care Trust

31 October 2005





 
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