Select Committee on Public Accounts Twentieth Report


1  The Programme's vision

1. The Programme is the most extensive IT healthcare development of its kind in the world and constitutes the largest single IT investment in the UK to date.[2] Its aim is to enable the NHS in England to treat patients more effectively by, for example, making accurate patient records available at all times, transferring information rapidly between different parts of the NHS, and accurately transmitting prescriptions to pharmacies.[3]

2. At present, NHS patient records are primarily retained on paper; and even when information is stored electronically, the large number of incompatible NHS IT systems makes the sharing of information difficult.[4] The central vision of the Programme is therefore to introduce an integrated system called the NHS Care Records Service.[5] This consists of two elements. The first is the local detailed clinical record, for use within local healthcare communities where the overwhelming majority of patient care is delivered. It contains the information which needs to be available to GPs, community clinicians and hospitals (such as pathology test results, drugs prescribed or hospital discharge notification) and it enables clinicians to record diagnoses, order tests and prescribe drugs. The second element is the national summary clinical record which aims, for example, to support emergency care for people injured or taken ill while away from home. The Programme will also provide additional services, such as electronic transmission of prescriptions, an email and directory service for all NHS staff (NHSmail), computer accessible X-rays (Picture Archiving Communications Systems), a facility for patients to book first outpatient appointments electronically (Choose & Book) and a broadband network (N3).[6]

3. Most of the planned expenditure on the Programme is on local systems (Figure 1). The Department believes that the Programme's integrated national IT system will deliver significant financial, service and patient safety benefits.[7]

Figure 1: Planned local and national expenditure on the Programme

Source: C&AG's Report, paras 1.19-1.26

4. The National Programme was established in 2002 and follows Information Technology Strategies for the NHS in 1992 and 1998 which were examined by our predecessors in 2000.[8] In their examination our predecessors noted that the NHS Executive had recognised the need to take a stronger lead in the procurement of core NHS IT systems and were in discussions with suppliers and government advisory bodies about drawing on government catalogues for systems and were thinking about piloting a collaborative procurement for an agreed short list of suppliers so that local organisations would have some form of limited discretion[9]. With the National Programme, the contracts for the Programme were procured centrally rather than locally. This change in practice was driven by the Department's desire to overcome the past poor track record of the NHS in procuring and delivering IT systems, to get value for money and to deliver integrated systems that could be upgraded in the future at reduced costs.[10]

5. The Department recognised that this approach carried many risks and that implementation needed to be local and tailored to local characteristics. Moreover, whilst other countries are seeking to adopt elements of the services within the National Programme, such as electronic patient records, these are not being introduced on a country-wide basis elsewhere.[11]

6. The Department estimated that the central procurement of the contracts through the Programme would result in a saving of £4.5 billion,[12] although any final figure for savings is contingent on the successful implementation of the Programme. Competition for the IT contracts was secured by avoiding a preferred bidder stage and procurement of the contracts was completed in under a year, and in most cases within ten months.[13] The Department's aim from this speed of procurement was to reduce risks from technology obsolescence and from higher costs as suppliers attempt to recover the cost of lengthy procurements.[14] However, Dr Nowlan told us that the production of the specification was done at breakneck speed, and largely by putting together, and then reducing, a wide range of previous specifications. Professor Hutton had been concerned at the safety of the process, and that it might result in a product that would not fulfil the Department's goals.[15] In a submission to us Mr Thomas Brooks, a member of the Worshipful Company of Information Technologists and of the all party Parliamentary IT Committee, stated that he considered the view that central procurement would produce systems that met local requirements was a fundamental error.[16]


2   Q 9; C&AG's Report, para 4 Back

3   C&AG's Report, para 1.4 Back

4   C&AG's Report, paras 1.1, 1.2 Back

5   C&AG's Report, para 1 Back

6   C&AG's Report, paras 1 Back

7   Q 7 Back

8   Committee of Public Accounts, Thirteenth Report of Session 1999-2000, The 1992 and 1998 Information Management and Technology Strategies of the NHS Executive, HC 406, para 9 (vi) Back

9   Op cit, para 9 (vi), paras 31, 34 Back

10   Q 8, C&AG's Report, para 2.5 Back

11   Q 10, C&AG's Report, para 1.8 Back

12   Q 120 Back

13   C&AG's Report, paras 3.1 and 3.4 Back

14   Q 116; C&AG's Report, para 3.4 Back

15   Qq 57, 189 Back

16   Ev 100 Back


 
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Prepared 11 April 2007