Select Committee on Public Accounts Minutes of Evidence


Examination of Witnesses (Questions 20-39)

NATIONAL HEALTH SERVICE

26 MARCH 2008

  Q20  Chairman: I have already given you credit for trying.

  Mr Nicholson: Thank you. Nowhere else in the world have they got something quite like this and this is a really important part of the contractual arrangements for us. It is absolutely true that we judged that general practice might get in the region of 750 points and, to be frank, in the negotiations and discussions we had various views were expressed from 500 points right the way through to 1,000. The critical thing for us, to be honest, was how we could move the middle group of GPs' average performance forward; there were always general practices at the top end of performance. I think QOF has proved a very powerful way of moving that average performance up.

  Q21  Chairman: If you look at paragraph 4.4 you will see that you are basing QOF on things which are easily measured rather than making patients healthier, for instance it throws doubt on the number of heart disease patients who have received treatment.

  Professor Colin-Thomé: I disagree that it was easy. Most of us thought that we would get about 750 points and even a practice like mine, which had a track record of doing a lot of chronic disease work, estimated we would get 90% rather than the nearly 99% we got. That took a lot of hard work. The thing that QOF does is raise the average up and it meant that general practice had to get itself prepared by having systems in place to identify patients who were not diagnosed and patients to follow up. That took a lot of work; it was not about being cleverer. On the issues about the processes, some of those processes are absolutely crucial. One of the processes mentioned is about measuring blood pressure. About 30% of us have raised blood pressure. If you can reduce the level of people with existing high blood pressure, you would save a significant amount of ill health.

  Q22  Chairman: I am in danger of getting high blood pressure.

  Professor Colin-Thomé: The issue is that that will lead to an outcome by measuring the ones who are not diagnosed as having high blood pressure. On outcomes there is also good evidence that on things like heart disease we have shaped outcomes. There is a guestimate that we could save something like 400 lives per 100,000 patients. That is what we can do with QOF and it has already demonstrated it.

  Chairman: That is what we are all about: saving lives.

  Q23  Phil Wilson: How much is the improved recruitment and retention of GPs down to the contract when you consider that the number of overseas doctors has increased and the number of doctors that are in training has increased as well. How much of that increase do you reckon is actually due to the new contract?

  Mr Nicholson: We think the bulk of the improvement in retention and recruitment of GPs is down to the contract. It was absolutely the case that lots of GPs were planning early retirement as part of their contractual arrangements. We were getting a position where, certainly in the year or so coming up to the introduction of the contract, it was commonplace to have one or no applicants for GP appointments. The contract transformed both of those things. We found that more GPs were prepared to stay on longer on the one hand and it was becoming a much more attractive career option for doctors coming out of training to the extent that there are now lots of applicants for most GP appointments when they come up. As part of the contract we had a significant expansion of the number of salaried GPs as well and you can see that developing something between 3,000 and 4,000 extra during that period.

  Q24  Phil Wilson: On deprived areas again, towards the end paragraph 3.10 talks about difficulty in attracting GPs to more deprived areas; even though other PCTs are complaining about the increase in the number of GPs in general it is these specific areas, where you probably will have the most issues around public health, et cetera, that need the GPs. Is this a problem which has persisted over the years? How do we get round the problem?

  Professor Colin-Thomé: It has persisted since the inception of the Health Service; more socially deprived areas have been relatively under-doctored for lots of reasons, some of them more difficult to recruit general practice and the patients had more problems and therefore needed extra staffing so it was lack of resources. We have increased the number of GPs in those deprived areas from the contract. What we have not done is tackle the difference. That is why our new policy is to get extra practices specifically into socially deprived areas. We have tried loads of things over the last sixty years to try to redress this without any success, whereas the focus we have with these 113 new practices we are going to get will make a difference and bring a lot more doctors and nurses into those areas. It is a very focused bit of work and maybe we should have done that 20 or 30 years ago, but we did not.

  Q25  Phil Wilson: So you are saying that the contracts are helping to solve the problem.

  Professor Colin-Thomé: It has increased the numbers but it has not closed the gap yet.

  Q26  Phil Wilson: Figure 23 on page 20 shows an increased proportion of consultations being carried out by practice nurses whilst the number of consultations taken by doctors is actually decreasing. What monitoring is there of this development to ensure that patients receive appropriate levels of care and nurses are rewarded accordingly.

  Professor Colin-Thomé: Two things on that. One is that most of those extra appointments done by practice nurses are reviews of people with chronic disease which the contract has generated because that is part of the quality contract of QOF, the quality and outcomes framework. There is in fact international evidence that nurses are sometimes better at doing regular reviews than doctors. That is practice based, the practices have to make sure that quality is there and they will suffer any consequence of litigation, whatever. Practice nurses have to be trained and part of the QOF was to make certain the quality of the team was better. One of the attractions of QOF was that you have to have proper induction and training programmes; that was one of the indicators in the organisational framework. A lot of that work by nurses is the review work for people with existing diseases.

  Q27  Phil Wilson: The new contract seems to increase the time GPs spend with individuals who are high risk patients, for example. Is this something you would expect to see extended?

  Professor Colin-Thomé: Yes and that is partly because of the consequence of taking some of those reviews away from doctors, who were doing those as well in the old days, so they could concentrate on the people with more complex problems. About a quarter of a million patients really have lots of illnesses in the one person, as it were, and are getting older and they are the ones we want to focus our attention on quite a lot because they may not have had the maximal care they could have in the past.

  Q28  Phil Wilson: The new contract has enabled GPs to offer a greater breadth of services and increased the consistency of care of long-term conditions. Have you seen a reduction in the number of emergency admissions because of this?

  Professor Colin-Thomé: No. Emergency admissions have gone up and went up before the new contract but the amount of time people stay in hospital has gone down significantly. Even if people are being admitted, they are ready to be discharged back to general practice much faster and part of that is because we have better systems in place to review patients in primary care now. If you look at the emergency admissions, what they do not tackle in the report is the emergency bed days, the length of time people stay, which have come down quite considerably. That is almost all a consequence of care of long-term conditions.

  Q29  Dr Pugh: Figure 12 is "Expenditure against the Gross Investment Guarantee" and what it seems to show is an overshoot of £200 million in 2003-04, an overshoot in 2004-05 of £746 million and an overshoot in 2005-06 of £816 million and the trend is up, in other words the gap between what you are expecting to spend and what you do actually spend. Is there any reason to believe it will not continue to go up?

  Mr Nicholson: Yes, there is. Those total figures were based on an estimate which proved to be incorrect and the real cumulative figure there is more like £400 million in real terms. What we have found in the two years since then is that that has been recovered by primary care trusts. You will see that over the two years to come after this we would expect a cumulative underspend of £400 million over those two years. We expected both to change and reverse.

  Q30  Dr Pugh: Okay, but there might be a certain amount of shifting of costs. I note that you spent a lot more on out of hours; £78 million more than you expected to spend. I think it would be fair to say that not all the out-of-hours organisations set up performed adequately. One of the reasons for that might be that not enough money was transferred out of the doctors' contract for out-of-hours provision. Is that a reasonable assumption?

  Mr Nicholson: We transferred £6,000 per GP out and we added to that.

  Q31  Dr Pugh: Which probably did not approximate to the cost of the out-of-hours service.

  Mr Nicholson: No; we knew that because the Department had always topped up the cost of out-of-hours nationally anyway.

  Professor Colin-Thomé: In the past GPs did not get a fee for out of hours, it was at a marginal cost to their normal earnings. If we were going to have a separate service it had to be funded fully and that was an extra cost.

  Q32  Dr Pugh: We needed to find another £78 million. The service provided then failed to satisfy the public right across the piece and my presumption is that many PCTs have put a lot more money into the out-of-hours contract since then. Am I correct?

  Mr Nicholson: They put the amount of money that is described in the National Audit Office Report. It is absolutely true that we have implemented a whole series of schemes in relation to out of hours to improve our monitoring and the quality of it and the auditing of it. It is true, as part of that, that to improve some services PCTs may have put relatively small amounts of money to improve it, but we do not expect anything of that scale.

  Q33  Dr Pugh: "Relatively small amounts".

  Mr Nicholson: Yes.

  Q34  Dr Pugh: You do not think an appreciable amount of money has been invested by PCTs across the country which will show up in later years' accounts.

  Mr Nicholson: No.

  Professor Colin-Thomé: One of the reasons we took out of hours, apart from the low morale, was that there were loads of complaints about the previous service and there had been reports and a quality paper published. So it was not as though there were some rosy past in out of hours; there had been lots of complaints about the former service.

  Q35  Dr Pugh: I am familiar with local examples from my own constituency where extra money has been put in because it was thought that the service was not adequate as it stands and that is going on now, this year and not just immediately after the GP contract. I wondered whether that pattern was replicated across the country and you are saying that it is probably not.

  Mr Nicholson: Yes.

  Q36  Dr Pugh: Emergency admissions. On page 32 there is an alarming blip in emergency admissions more or less when the contract kicks in and the NAO are slightly struggling to come up with a true explanation of that. They mention a variety of factors there including apparently an increase in violence in society round about 2003 peaking at round about 2005 and diminishing thereafter. What is the real explanation for that?

  Professor Colin-Thomé: It predates the opting out of GPs from the 24-hour responsibility by a good year so that we cannot see any correlation with the out-of-hours work and the rise in emergency attendances.

  Q37  Dr Pugh: So this is nothing to do with the GP contract.

  Professor Colin-Thomé: That is what we think. It pre-dated, then it flattened, then it appeared to increase again and it has flattened out again. The GP contract happened after that. GPs were still working out of hours even when the numbers went up.

  Q38  Dr Pugh: I accept that is an unfounded allegation put on you by the NAO which you are rebutting. Practice efficiency. I was surprised to learn that, if you do things to make your practice more efficient as a GP, the net effect of that is that you take home more salary. There is no sharing of the gains of efficiency at all. Am I right there?

  Professor Colin-Thomé: The NAO report says that nurse pay has not gone up to the same degree as that for GPs, so in that respect you will be right.

  Q39  Dr Pugh: If my practice becomes more efficient—I am a GP and I make it more efficient—the real beneficiary is me the GP not the NHS.

  Professor Colin-Thomé: No, the NHS has benefited from you running a good practice and we have some measurements.



 
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