Commissioning - Health Committee Contents


Examination of Witnesses (Questions 280 - 299)

THURSDAY 14 JANUARY 2010

PROFESSOR ROD GRIFFITHS, MR JOHN MURRAY, MS DEBORAH EVANS AND MS TERESA MOSS

  Q280  Dr Naysmith: Do you believe patients are suffering because of it?

  Mr Murray: I refer to the Tadworth example, the Spinal Injuries Association and the question of deep brain stimulation. I am aware of other anecdotal examples. There is clear evidence that in some cases there is a problem.

  Q281  Dr Naysmith: Ms Evans, you referred to the developing financial climate. Do you think it may have a deleterious effect on the services for rare conditions? We really do not know what will happen to the National Health Service apart from the fact it will be protected.

  Ms Evans: We know that we will not continue to have the very generous levels of funding. We have always known that because the intention was to achieve a standard equivalent to European levels. We know that it is at least plateauing. There will be tremendous pressure on the NHS to look at ways to make patient pathways more effective. There is a good deal of scope for us to do that and that probably applies as much to specialised services as to PCT commissioning as a whole. There are a number of way in which we run and deliver healthcare at the moment that need more work, of which outpatient services is a good example. People have talked about length of stay. Reference has been made to trim points and long lengths of stay and whether they are good for people or we can organise care more effectively. There will be tremendous pressure on the system and a lot of that will be good and will stimulate innovation and change. It is our responsibility as specialised commissioning groups and PCTs to look hard at issues of equity and ensure that the people who have the specialised conditions are not being unfairly penalised because of all the difficulties we have talked about today: they are less able to be counted, managed and all the rest of it.

  Q282  Dr Taylor: I turn to Ms Moss and Professor Griffiths and deal with the very rare diseases. For my information, do the definitions roughly fit with orphan and ultra-orphan drugs?

  Professor Griffiths: Yes. We work on fewer than 400 cases. I could take you through some of the arithmetic which suggests that that is about the right number. It could be even less but certainly not more than that.

  Q283  Dr Taylor: When you say it includes heart and lung transplantation is that just the combined transplantations or both?

  Professor Griffiths: Both together or whatever.

  Q284  Dr Taylor: What are the real challenges for commissioning healthcare for this group of people?

  Professor Griffiths: Essentially, there are two or three issues. One is that some things are very expensive. That comes down to the cost of developing new drugs. If it costs £1 billion to develop a new drug the UK's population is probably 5% or less of the total world population that might be able to afford it. The patent life is probably five to 10 years. You can divide it up and work out how much money the company must recover to pay back that £1 billion. Then you divide by the number of patients. Once you get past 400 patients you are down to a figure under £20,000, so that is in the same ballpark as everybody else. But up in the very rare region the thing is bound to cost more than NICE would normally say was cost effective. You must either say to those patients to forget it and they might as well go hang or you need a special mechanism to deal with things that are that rare. In a sense that is what the NCG does. The second thing is about expertise. Almost anybody can stand up and say he can treat some condition that nobody has ever heard of, but you need a way to make sure that is believable. We have some quite skilled medical advisers, plus we have the royal colleges and various other stakeholders on the committee. When we say that we will designate that person the idea is that everybody else can believe that person really does know what to do. By designating it in effect you create managerial pressure that only those hospitals will do it because the rest will not be paid. You have clinical and managerial pressures lined up in the same direction to say that is where you go for this condition. That means you can publicise it and you hope to get the referrals so patients get to it quickly. Those two things work reasonably well together. The last issue one is left with is gaming. Will the trust load overheads into that one and not the other, charge for something twice or whatever? Although people criticise the current arrangements I think that having the NSCG able to crawl all over what the SCG does allows us to say that, yes, they drive just as hard a bargain at that level as we do at local level and that at least gives everybody confidence. If we go back to when NSCG was inside the Department of Health—I chaired it then—there was a definite feeling in the health service that somehow those really rare things got a free ride and loads of money were chucked at them. I do not believe it was true but because nobody could scrutinise and challenge it that was what they thought. We have gone some way to being able to break that. There is a risk in the new proposals that that notion will re-emerge unless we believe that the people on the new committee are able to challenge and drive just as hard a bargain on behalf of everybody else. I will not be chairman by then; I shall be out of it, but it has to be as good as it is now.

  Q285  Dr Taylor: We have NSCT as well as NSCG.

  Professor Griffiths: The "T" stands for "Team".

  Ms Moss: It is the team of clinicians and managers who commission the 50-plus services at national level.

  Ms Evans: It is Ms Moss's team.

  Q286  Dr Taylor: I have gathered that. They do the work for the NSCG?

  Ms Moss: We do; we are the legs on the ground going round visiting the services and working with the hospitals to set them up and monitor those services and driving a bargain.

  Q287  Dr Taylor: We are told that you have the presence of the larger royal colleges. Are they pretty good at turning up at these meetings?

  Ms Evans: They are.

  Professor Griffiths: The surgeons and physicians usually have a job and so they send deputies; the other three normally send their presidents. They are very good. In the past I was president of a faculty in an academy and I have a bit of leverage in persuading them to come. If we really want them to be there for particular things I write to them individually or ring them and most of them turn up.

  Q288  Dr Naysmith: How are therapies assessed for clinical and cost-effectiveness? What role does NICE play in this?

  Professor Griffiths: NICE does not. There are some things that we have asked NICE to look at but it just puts it back to us, saying that it is too rare for it to bother with it. We collaborate and things are discussed, but it is not easy. Obviously, where you have something that is very rare it is difficult to organise a controlled trial because the numbers are too small. It must be international and so forth. You have to look at a range of evidence. I believe that is where the colleges are very useful. It means that you can put it in front of the colleges. Sometimes they will pass it through into their committee structure. You get the best opinion you can. We would press for trials wherever possible. In some cases we have funded services in order that a trial can be conducted. Referring to ECMO which was in the news during the height of the `flu scare, we funded the service for a while in order that a trial could be completed because we did not feel confident in saying that it definitely worked until we had a trial. We try to get the best evidence we can. Take the service in the south west where a chap glues an acrylic lens onto a piece of tooth and then transplants it into the eye. He has done only about 10. It will take a while before you get a trial going, but the fact is that patients who were blind can now see in 90% of cases, so you believe it. You do the best you can.

  Q289  Dr Naysmith: Does cost-effectiveness come into it at all?

  Professor Griffiths: Some but not all of these things will be expensive. If you average the whole lot they would probably come in under the threshold, but some things are very expensive. I think you can do some modelling to estimate where drug companies are really over-charging, and some are. The trouble is that the way the drug costs are done in this country is through the PPRS which caps profit rather than price, so sometimes we do not challenge one or two companies that I think are overdoing it. You could put in place that sort of mechanism. There would be a case for working with the rest of the EU perhaps to try to get tighter prices on some of these things, but the total amount you gain from it will not be a hill of beans compared with the total NHS drug budget. Some people may say that it will save only £30 million or £40 million, so why bother? If money gets really tight I imagine that that issue would re-emerge.

  Q290  Dr Naysmith: How is the final decision on whether to buy or not buy a very expensive orphan drug taken?

  Professor Griffiths: At the moment we thrash it out in the NCG and come to a conclusion on whether or not it is a good idea. We then propose that to the NSCG—the folk like Ms Evans—and they argue about it and gets their finance directors to crawl all over it. Some of it is chucked out and we end up with a bunch of things which people say look like a good idea. Those are then commissioned.

  Q291  Dr Naysmith: How long can that take?

  Professor Griffiths: We have an annual cycle and we get them done in the year.

  Ms Moss: It has worked very well for the new proposals around services that have come up. We have worked very well with the finance and public health directors and SCGs to agree whether it should be commissioned nationally or should remain regionally commissioned. Usually they are not co-ordinated at all. In quite a number of cases this year we knew that the NHS was wasting more money treating patients badly than getting a proper service set up where they could be diagnosed, assessed, given the right treatment and sorted. That is very often the storyline behind our services. Infrequently new technologies will emerge which have usually gone to PCT exception committees and different views have been taken. They are the ones that involve high-cost services. Those are much more difficult areas. We have had more difficulty with the system in coming to a consistent view on patients, and that applies also to ministers.

  Q292  Dr Naysmith: When a new and sometimes very expensive therapy is being developed for a rare condition how is the patient and the community best served in the interim? Professor Griffiths, you probably have an example that is apposite: Eculizumab.

  Professor Griffiths: It depends a little on how the thing has developed. There are two standard patterns. One is where a particular clinician or a team over a period of time, perhaps because they have done research on it, has developed a new service. They gradually get to the point where their trust says that they keep bringing in these terribly expensive patients and they cannot get the money back, or it looks like they are about to retire and perhaps they should recruit somebody else with that skillset. They then say that if they can get it nationally commissioned they can stabilise the position. There is an argument as to whether it does or does not require it and whether or not they are doing something clever and that goes through all the process. Those are reasonably straightforward because they develop over quite a period of time. The other example is something like Eculizumab where somebody invents a new drug and discovers almost out of the blue that it works on some condition he has not expected. Eculizumab was thought originally to be good for asthma and it turns out to be terrific for an extremely rare condition of which very few have heard. Surprisingly, they did a trial and our people were in touch with the clinicians who conducted it. Everybody thought it would cost about £30,000 a year, which is expensive but not exorbitant. At the end of the trial they said that it would be £300,000 per patient per year and the patient would need to take it for quite a while, possibly for ever. Some may get better but because it has never existed before we do not know. Suddenly you have problem because that looks like it is off the clock. We spent a long time discussing that. It was then discussed by the NSCG. Between the end of the trial and our making a decision individual patients were thrown at individual PCTs or SCGs and there was debate within the individual regions, so there was a period of uncertainty. Some regions said no, some yes and so forth. Eventually we arrived at a common position and it went up to the minister. The minister decided to pay for it but we thought it was a bit on the dear side. We hoped that perhaps a different bargain would be struck. However, the decision was made. It took about six months to chunter through that process. That was the extreme end of things; it was a lot more than anybody expected. On modelling grounds one could argue that they are charging more than is reasonable. I have sent my arithmetic to your clerk. There are grounds for challenging it, but you have to make a decision as to whether or not you say to these patients that you are sorry but you will not pay for this in the UK. I think you can insist on the numbers in terms of treatment being as close as possible to one in one; in other words, it works every time you use it. If something works only one out of five times or gives only a small gain we would probably say it is not worth it at those prices. But the issue is: how do you defend that decision? That is where the difficult process is at the moment. That was discussed when Carter came along. We need to make sure that those processes are robust, can withstand challenge and so forth. I have said in my paper that I am not completely happy with some of the things in the new consultation proposed, but we have to be able to say that occasionally there are very small numbers of patients where to pay over the odds is justified, but we need a mechanism to be able to argue about price and properly assess effectiveness. We have most of it in place but there are a few bits left to deal with.

  Q293  Dr Taylor: Moving on to consultation, the title is Strengthening National Commissioning. Ms Moss, can you tell us how it is going to do it before we get Professor Griffiths' objections to it?

  Ms Moss: It is a Department of Health consultation as a team decision with the NHS but we have worked with the department on it. National commissioning is pretty strong and as a country we have some very specialist services that do a fantastic job. The nature of the NHS means that we can focus on getting these services into very few places in the country, get that expertise to flourish and control the entry of new services and not let them go everywhere and increase cost everywhere. It is a good story. The bit on which we have had a problem is where new technologies come in that may be pretty expensive and there is a need for consistent decisions for patients, not a postcode lottery for them. There are difficult and complex decisions to be made. Carter set up a set of arrangements; he also said we needed to review them. With the benefit of hindsight if you were trying to get a consistent set of decisions you would not set up a group comprising largely clinicians, then put the proposals to a group almost entirely composed of chief executives of PCTs and then put the proposals to SHAs and hope to get something clear and concise out of it. Essentially, the proposals are to bring the different stakeholders into a room together and thrash out those proposals, taking into account all of the different issues that we need to take into account: the costs, the clinical effectiveness, the benefits that that gives to patients who often have very painful and awful conditions, societal benefits and a whole range of other issues. One looks at those in the round rather than different aspects in different rooms and then makes recommendations and puts them to ministers on behalf of patients. That is our aim and that is the proposal within the consultation. The oversight of NSCG about whether you get good value for money in the way you commission is there and I will carry on accounting to them; we assure them that we will do that. But it is really about the new services that will come into national commissioning, in particular new technologies. Let us have a good, effective way to get a quick decision on whether or not we fund these as a country. It will always be difficult and painful, but at the moment we do not even have a robust system. If we felt we needed to say no we probably do not have a sufficient robust system to withstand scrutiny.

  Q294  Dr Taylor: To say no to the drug for PNH would have been incredibly difficult. The aims sound pretty good. What are the criticisms?

  Professor Griffiths: I do not have objections; they are slight anxieties if you like. First, I am not convinced that you need to change the system, but this is partly because I have sat through so many reorganisations I have lost count. I think the knee-jerk reaction every time a problem comes up that we should redesign the committees is total rubbish. It has not made any difference each time we have done it. Why not just say to these two committees that they have to come up with a clear answer and it must be judicial review-proof? They all understand rules, so they should do it properly. My second point may be modified by the way the circular eventually comes out and is implemented. I do not believe it is sensible to have the minister appoint everybody rather than having them as representatives as they are at the moment. I think all the stakeholders should be there. I agree with Ms Moss that it is quite useful if you have everybody in the same room. I am glad that I shall not be chairing the meetings. Get all of them there but ensure that their stakeholders know why they are there and believe that these people will not go native when they turn up at the NSCG meeting and take the soft option by saying yes to something they should not agree to. By all means let the minister appoint the chair but have the committee clearly representative of the stakeholders who need to be there with a process that guarantees that when they turn up they know to whom they are accountable. I think that will give it a lot more power and will maintain the basis of trust between national commissioning and the other levels which we have spent the past two years trying to create. Having chaired NSCG and been part of the public health community since I was president of a faculty I know what people thought about in NSCG. We have done a lot of work to try to put that right and build that kind of trust. There is a risk that it would be thrown away by these processes. I already sense some of that distrust turning up in opinions that I tap outside. It is not insoluble; you can get it right by the implementation even if you go ahead with this, but you need to get that right.

  Ms Moss: We are out to consultation at the moment and we hope everybody writes in to say they think it is a very good idea that the presidents of the royal colleges continue to be part of that committee and that the PCTs that chair the SCGs are part of that committee. Some of the most expert PCT chief executives in the country chair the SCG committees. I believe that would be perfectly appropriate and that we have an appointments panel to get the lay representatives and the like. One hopes that will come out of the consultation.

  Q295  Dr Taylor: So, the presidents of the royal colleges and the best chief executives should remain there?

  Ms Moss: I think that will be one of the results of consultation.

  Professor Griffiths: We need lay members to be appointed; we also need patients. They are not the same. Clearly, patients have a vested interest in having the service. Somebody else has to represent the opportunity cost. If you decide to pay for some of these expensive treatments you are taking money away from other services. They may be happy enough with you because we all feel that nobody should be left out, but we need all those balances. I am sure it is better to have a clear process of appointment that does not just disappear somewhere inside Whitehall.

  Mr Murray: Ultimately, there is a political dimension to that which is why ministerial involvement remains important. What kind of society do we want? Do we want to help these people in dire need at the extreme or do we want to follow a rigorous purely bureaucratic approach? We feel very strongly that there should be an involvement for that reason. We welcome the proposals. We have not yet finalised our thinking but we believe that greater robustness in the arrangements will be no bad thing.

  Q296  Sandra Gidley: Ms Evans, senior officials from the department told us that commissioning had not really started to work until two years ago. Do you agree with that statement?

  Ms Evans: I read that evidence with interest. Whilst I do not think it is fair to say that commissioning did not start until two or three years ago today we have talked a lot about ways in which the health service has been developing, for example payment by results, programme budgeting approaches, developing sophisticated approaches to health needs analysis, developing and understanding social marketing and how to target particular groups within the population with health messages. A lot of these disciplines and approaches have been developing over time. Over the past, say, three years we have seen a real acceleration of what commissioning can achieve because we have PCTs with capability, skills and an appetite for innovation. We have seen PCTs that are increasingly close to their local authorities and communities, so they get a really rich source of partnership and ways to bring about change. It is that combination of things that has allowed us to see a lot of improvements. In some of the evidence the Committee has received I was encouraged to see PCTs giving you very clear examples of their achievements for their populations. It has really taken off as a result of being able to use lots of different tools and approaches.

  Q297  Sandra Gidley: Has commissioning started to work properly now or do you still have quite a way to go?

  Ms Evans: It is still work in progress. The first year of World-Class Commissioning results has showed a real spread against those competency and outcome measures. The important thing is about distance travelled. As long as the next time round we can show we are travelling a good distance and improving on what we can achieve for communities, populations and people then we are delivering what we need to deliver. As we go into the next period, which we know will be subject to considerable financial pressure, there will be management cost restraints. It will be all about PCTs working together to make their money go further in producing capability and levers for change.

  Q298  Dr Naysmith: Wearing your PCT chief executive hat—it is nothing to do with specialised commissioning—obviously from what you have said already you believe that World-Class Commissioning is a good thing. Is there any real evidence that it has improved patient care? Can you give any examples of its impact on the work of NHS Bristol?

  Ms Evans: The issue as to whether it has improved patient care is a big one. In NHS Bristol our governance committee reviews what we are doing on health improvement; it reviews what we are doing on commissioning health services, and it looks at how our organisation is working. In that committee we look at all the national standards and service frameworks, so we look at the national service framework for mental health which sets out all the quality standards in mental health and looks at how we are doing. We look at the stroke care pathway to see how we are doing against that. Dementia services are in the news today. We look at the recent review conducted by our health authority to see whether we are making improvements. I believe we can demonstrate that we are making improvements in health service delivery and the parts in the pathway that go back to prevention, early intervention and preventing people becoming ill in the first place. For World-Class Commissioning we chose 10 outcomes of which eight were oriented towards the health improvement end. As to alcohol misuse, in our PCT and in the core cities we are campaigning for a minimum unit price because we believe that will have a big impact. We were delighted with this Committee's work on it. Therefore, we are concerned with alcohol, smoking, teenage pregnancy and all the things you would expect in a city. It is difficult to measure progress on that. We believe we are making progress on those matters. We also believe we are making broad progress on the commissioning of health services.

  Q299  Dr Naysmith: Has it helped with the commissioning of mental health services in Bristol? You and I both know that there have been a few problems there in the past.

  Ms Evans: I can say a number of things about that. We have an annual assessment against a whole range of indicators about how we are doing on mental health services. I am pleased to say that we have improved our performance. We have a green rating for 20 indicators whereas a year ago we had only seven. There has been a broad improvement. This is an interesting example of the use of the different tools available to us. The PCT recently went out to tender; it invited people to bid to provide a city-wide primary mental health service. This is the first time we have had a city-wide primary mental health service. It is part of a government initiative about improving access to psychological therapy. The organisation that won that competitive process was a respected national voluntary organisation called Turning Point. This is an example of being quite strategic about where you want to open up the market to bring in new blood and run a different model of service from that we have run in the health service before to be very responsive to local communities, particularly those with different needs. It is a good example of the use of a whole range of commissioning skills in order to make an improvement for people.

  Chairman: I thank all four witnesses very much for coming along to help us with our inquiry.






 
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