Evidence submitted by Dennis McDonald
(ISTC 2)
1. I write as a private individual fully
committed to the values and principles of the NHS. I wish to express
deep concern about the current direction of NHS policy in relation
to the procurement of services from independent treatment centres.
I also wish to demonstrate the inherent risks to the long-term
public finances and existing NHS structures by making reference
to a contract negotiated in 2005 between my local SHA Northumberland,
Tyne and Wear and Capio UK to procure elective diagnostic treatment.
2. In May 2005 I wrote to the Chairman of
the SHA (Annex 1) to voice my concerns about this contract which
is to carry out 2,000 minor procedures a year over the next five
years at a cost of £1.2 million per annum. The funding formula
for the contract means that each of the six PCTs across the SHA
patch pays a fixed monthly amount, which is an equal share of
the cost.
3. My concerns were initially triggered
by the fact that despite assurances from the SHA that they had
sufficient capacity within local NHS structures to meet the 18-week
target they were overruled by the DOH, a clear case of dogma over
pragmatism. Additionally, I raised the issues of equity, monitoring
the quality of care and the value for money offered to taxpayers.
The Chairman of the SHA replied on 19 May 2005 (Annex 2). His
response was non-committal and dismissive.
4. Undeterred, I monitored the activity
and financial risk implications of this contract until early autumn
when it became apparent that on these assessments this contract
should have been a matter of deep concern to those charged with
overseeing the health economy within Northumberland and Tyne and
Wear. In mid-November I wrote an open letter to my local newspaper
[106]
inviting Sunderland Teaching Primary Care Trust to comment on
certain aspects of the contract and the concerns being expressed
by local GPs. [107]The
Chair of Sunderland TPCT replied on 22 November 2005 (Annex 3).
Her reply requires no further comment.
5. I also enclose the updated activity as
at 19 January 2006 (Annex 4). The discrepancies in activity across
the six PCTs seems to indicate an alarming state of affairs in
relation to equity and the financial risk to the public purse.
The cost of a minor procedure is seven times higher in Sunderland
than it is in North Tyneside. How can this be value for money
to taxpayers in Sunderland, one of the poorest health economies
in the UK?
6. It may sound that I am opposed to all
current policies relating to private treatment centres. This is
not the case but the absolute fixity and inflexibility of this
contract contradicts the goal of good universal provision to the
whole population.
Dennis McDonald
22 January 2006
106 www.sunderland-echo.co.uk, Friday 4 November 2005. Back
107
Ibid, 17 October 2005. Back
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