Commissioning - Health Committee Contents


Written evidence from London Specialised Commissioning Group (COM 41)

INTRODUCTION

  1.  This response concentrates on the commissioning of specialised services, where the low number of patients with each condition requires the commissioning to be based on a planning population of more than a million people.

  2.  The response is made in the light of the White Paper proposals for the commissioning of specialised services (White Paper, Equity and Excellence: Liberating the NHS). These suggest that services within the Specialised Services National Definition Set are to be commissioned by the NHS Commissioning Board in the future.

  3.  London Specialised Commissioning Group (SCG) effectively commissions a range of 23 services, eight on behalf of PCTs in three SHA areas, from many of the largest Trusts in England. London SCG has won awards for commissioning and performed well in last year's world class commissioning assurance process.

  4.  Specialised commissioning has developed considerably since the Carter (2006) review recommendations began to be implemented. In London this has led to the concentration of specialised commissioners from all parts of the capital into a single team. This model might be seen as a forerunner of the changes which will come if the White Paper proposals are agreed.

  5.  London SCG has a track record of involving clinicians and patient and public representatives in both the commissioning of services and in the monitoring of patient experience. Patient experience in this paper is directly gathered from our regular contacts.

EXECUTIVE SUMMARY

  6.  The national definition set for specialised services (SSNDS) contains 38 categories of service, some are clearly defined, others merge into secondary care services. Agreeing the funding for specialised services is not straightforward because of inconsistencies in coding. A method is proposed.

  7.  Specialised commissioning funding could either be retained by the NHS Commissioning Board prior to allocation, or routed through GP commissioning consortia and blocked back. Both methods have positive and negative attributes. London SCG favours retention by the NHS Commissioning Board.

  8.  While GP commissioning consortia will have the responsibility for commissioning services outside the SSNDS there may be circumstances where it might make sense for this to be done by the NHS Commissioning Board. This might apply where the ideal planning population for a service is larger than GP consortia or there are other factors such as "open access" that require collaborative commissioning across a large population base.

  9.  Patients with rare or specialised conditions can experience difficulty with co-ordination of services at primary and secondary level. In addition there are conditions which manifest in specialised services where the prevention solution is in primary care, for instance morbid obesity. It is important that GP commissioners are required to collaborate with commissioners of specialised services on patient pathways.

  10.  There are a particular set of circumstances in London caused by the historical distribution of services. Change is required to respond to modern service standards and treatments. Specialised services can be the catalyst for change.

  11.  National standards for specialised services will be a great advantage for access to equitable treatment. Specifications for the local application of those standards into contracts with providers require a local knowledge and commissioning relationship. There needs to be a local commissioning approach to most specialised services.

  12.  The inclusion of maternity services in the scope of the NHS Commissioning Board will allow the whole pathway of care to be commissioned as a single care pathway including Special Care Baby Unit (SCBU) and Neonatal Intensive Care (NIC). There are 244 birthing units in England (source Birthchoice UK), together with all the community maternity services. Since it is a high risk service there needs to be adequate commissioning capacity, nationally and locally.

EVIDENCE TO SUPPORT RECOMMENDATIONS

ISSUES AROUND THE SPECIALISED SERVICES NATIONAL DEFINITION SET (SSNDS)

  13.  Like most SCGs across the country the London SCG does not currently commission the whole national definition set. The current governance model for SCGs is as a joint committee of PCTs, and consequently all SCGs vary in their scope of work depending on the policies and priorities of their PCTs. If the NHS Commissioning Board is to commission the whole SSNDS, this will mean that during the shadow year 2011-12 the 10 SCGs need to get as close to commissioning the entire definition set as possible. There are two main reasons for this:

    — Continuity for patient services—the sort of conditions covered by the SSNDS are uncommon and services and their patients are therefore vulnerable if the expertise commissioning them is lost.

    — Whichever method of funding specialised services is chosen (see below), the amount required needs to be as accurately assessed as possible. As much of the finance connected with the definition set should be in SCGs as possible, to ease the transition to funding the NHS Commissioning Board. It will be less easy to shift allocations between GP commissioning budgets and the NHS Commissioning Board once budgets have been committed.

  14.  The funding calculation is of particular importance. Funding the commissioning of the whole definition set will include current spending by SCGs, excluding services outside the definition set currently commissioned by SCGs, for instance HIV outpatient services in London. Where PCTs know they currently fund services in the definition set, this is also easy to identify. Unfortunately the edges of the definition set are unclear, data from providers is often inconsistently coded making the accurate assignment of activity inconsistent. If the NHS Commissioning Board is to commission the entire definition set from 2012-13 it will need more than the known spend in both SCGs and PCTs.

Recommendation 1

  The allocation of funding to specialised commissioning needs an accurate financial model based on patient level activity information appropriately coded by providers. This must include known SCG and PCT spend on the definition set services and a calculation for the less well defined areas of the definition set where accurate information is unavailable.

WHAT IS THE BEST FUNDING ROUTE FOR SPECIALISED COMMISSIONING?

  15.  The allocation of funding could either be routed through GP commissioning groups, and blocked back, or retained prior to allocation. Both methods have positive and negative attributes.

  16.  One of the successes of the current system in London is the sense of ownership of specialised commissioning by the PCTs and Sectors. There is vigorous debate at the SCG Board and clear oversight by the PCT Chief Executives who sit on it. This means that the boundary between specialised services and the rest of the care pathway for each condition is easy to manage. For some services like HIV or child mental health, the key to managing spend in specialised services is in prevention or early detection in the patients care pathway.

  17.  Engaging a larger number of GP commissioning groups with this sort of service would be easier if they had a greater knowledge of specialised services, and giving them the allocation and then blocking it back to the NHS Commissioning Board would help connect the whole care pathway.

  18.  The counter argument to this is that the cost of each patient can be significant, £4-500k per annum is not unusual, and therefore all these services are risk shared. The connection to GP commissioning groups could seem either academic if they are in effect paying an insurance type fee, or risk budget overspend if actual costs were attributed. Added to this, it might seem unimportant to GP consortia to be paying into a risk share fund for a condition the practices have never or rarely seen.

Recommendation 2

  The funding allocation for specialised commissioning should be retained by the NHS Commissioning Board before the allocation to GP Commissioning Consortia is made.

COMMISSIONING SERVICES OUTSIDE THE DEFINITION SET

  19.  The major thrust of the White Paper is to devolve commissioning to GP consortia, as close to clinical decision making as possible. The patient care pathways for most common conditions are therefore managed as locally as possible. At the other end of the commissioning scale, specialised services will be commissioned on a whole England basis. There are however a group of services that are in the middle where a collaborative approach may be needed.

  20.  In London's case there are services outside the definition set currently commissioned by the London SCG where all the London PCTs have agreed a pan London approach is beneficial. The number of patients with HIV in London is 48% (2008) of the national total and London SCG commissions the entire service. This allows it to have extremely close links with the groups representing patients, as well as commission an equitable, high quality service. Similarly, there has been a recent service review of major trauma services in London, and the newly commissioned service fast streams the most seriously ill patients to four major trauma centres. This is already showing improvements in services. Both these services are outside the SSNDS.

  21.  London SCG also commissions specialist pharmacy services across 4 SHAs (Pharmacy in England—Building on Strengths, 2008 White Paper) and plays a major role in pharmaceutical safety and value for money. This is also outside the definition set.

  22.  The aim is to seek GP consortia arrangements to resolve commissioning arrangements for services where the critical mass of the service requires a very large planning population but are outside the national definition set. There is a danger that the transactional costs may go up if there is too complex a set of differing commissioning arrangements. It would be sensible for there to be a permissive clause in the establishment of the NHS Commissioning Board, which will allow the commissioning of services outside the national definition set where GP Consortia arrangements are found to be complex or unwieldy to put in place.

Recommendation 3

  The NHS Commissioning Board should have the discretion to be able to commission services outside the definition set where the ideal planning population for a service is larger than GP consortia or there are other factors such as "open access" that require collaborative commissioning across a large population base.

THE RELATIONSHIP BETWEEN SPECIALISED AND GENERAL SERVICES

  23.  Many of the services in the definition set are quite discrete, for instance gender dysphoria or cleft lip and palate surgery, but others have a clear pathway with primary and secondary services. Child and Adolescent Mental Health (CAMHs) tier 4 services are a good example, where the interplay between all parts of the patient pathway is vital to a good outcome.

  24.  Because of the rare nature of specialised conditions the patient representatives who advise London SCG have commented on a number of occasions, on the lack of understanding of their needs in primary care. The planning for these services therefore requires collaboration and being outside the GP Consortia's main responsibilities, they may not receive focussed attention.

  25.  It is also true that in the future it is probable that services will transfer, either into or out of the national definition set. Because most specialised services commissioned in London operate on a risk share, GP Consortia with no experience of the condition may resist having to contribute.

  26.  All these factors lead to the need for levers in the system to set out the expectation of collaboration.

Recommendation 4

  GP commissioners should have a requirement to collaborate with specialised services on patient pathways.

SERVICE CHANGE AND "DESIGNATION"

  27.  A more vibrant provider market with all sorts of new entrants will cause competition in London between providers to become greater, in an already crowded market. For specialised services where markets are small and niche, this represents a potential risk to safe and sustainable services. An example in London is the recent review of Haemophilia services, resulting in two managed networks for adults and children.

  28.  The distribution of providers in London is a product of the historical growth of services. Change is required to respond to modern service standards and treatments.

  29.  Specialised services have moved toward "designation" of services which meet nationally agreed clinical standards. Designation may cause substantial service change for providers who do not meet the standards, and once one service is lost it can cause a domino effect since many services are interdependent. Commissioners are also seeking the best value for money through the QIPP agenda.

  30.  Once a service is designated it may be difficult for new entrants to move into some specialised services markets because of high capital costs, start up costs and the range of interdependent services usually required. This means there is even greater need for the commissioner to hold the designated service to account, for quality and value for money.

  31.  The point to make is that specialised services can be the key and the catalyst for change. The impact of modern service standards in specialised services will have an effect far beyond the immediate service change and consequences for hospital development in London. This process will need to be managed to avoid unintended consequences.

Recommendation 5

  Specialised services may need to lead service and consequential provider change in health economies.

A NATIONAL OR LOCAL APPROACH TO SPECIALISED COMMISSIONING?

  32.  A comprehensive set of national specifications for services in the definition set has not yet been developed. Each of the 10 SCGs has a different scope depending on the local circumstances of their constituent PCTs, and the White Paper proposal of a single national commissioning board will promote a consistent approach across the country. This could go hand in hand with a designation process.

  33.  A series of meetings is currently underway bringing together the QIPP agenda and quality development, held jointly with the Specialised Healthcare Alliance. This has brought together patients, clinicians and commissioners from across the country to propose standards and quality markers in HIV and other specialised services. From this work, together with national bodies like NICE, it will be possible to create nationally consistent specifications and benchmarks for each service.

  34.  At local commissioning level however there will continue to be a strong need to contract with providers according to local circumstance. The commissioners need to manage their contracts in detail and if commissioners are remote this will not happen. A local approach from the NHS Commissioning Board would solve this potential problem. If the local approach is accepted, each locality could take the lead commissioning role for the providers in their area, and liaison with GP Commissioning Consortia using these providers.

  35.  The capacity needed to contract with providers will depend, as now, on the level of knowledge of the commissioner and the time devoted to each contract. A detailed knowledge of the provider allows the relationship to tackle difficult issues like the changes needed for QIPP. Commissioning will be carried out on an increasingly higher level if there is insufficient capacity.

Recommendation 6

  There needs to be a local approach to the commissioning of most specialised services, as well as the national approach for consistency of standards and equity of access.

COMMISSIONING CAPACITY AND MATERNITY SERVICES

  36.  While maternity services are outside the scope of the SSNDS the proposals will bring their commissioning into the same organisation and presents both opportunities and threats. The principle opportunity is to bring the commissioning of the whole maternity pathway together including SCBU and NIC.

  37.  Maternity commissioning is however a very different proposition, being integrally networked into each local health economy, at hospital, community and primary care level. It presents a high risk and SHAs have maintained close scrutiny. The commissioning will need local knowledge and enough capacity to manage a comprehensive national service.

Recommendation 7

  The high risk and widely distributed nature of maternity services will require adequate commissioning capacity, nationally and locally.

RECOMMENDATIONS

  1.  The allocation of funding to specialised commissioning needs an accurate financial model based on patient level activity information appropriately coded by providers. This must include known SCG and PCT spend on the definition set services and a calculation for the less well defined areas of the definition set where accurate information is unavailable.

  2.  The funding allocation for specialised commissioning should be retained by the NHS Commissioning Board before the allocation to GP Commissioning Consortia is made.

  3.  The NHS Commissioning Board should have the discretion to be able to commission services outside the definition set where the ideal planning population for a service is larger than GP consortia or there are other factors such as "open access" that require collaborative commissioning across a large population base.

  4.  GP commissioners should have a requirement to collaborate with specialised services on patient pathways.

  5.  Specialised services may need to lead service and consequential provider change in health economies.

  6.  There needs to be a local approach to the commissioning of most specialised services, as well as the national approach for consistency of standards and equity of access.

  7.  The high risk and widely distributed nature of maternity services will require adequate commissioning capacity, nationally and locally.

October 2010




 
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