Economic Outlook Emergency Budget – 22 June 2010
The Office of Budget Responsibility (OBR) was established in May 2010 and will make independent assessments of public finances and the economy. Its initial report, the Pre-Budget forecast, was published on 14 June.
The June Budget sets down an economic plan for the next five years and includes: a two year pay freeze in the public sector from 2011/12 for those earning more than £21,000; average real cut of around 25% in non-protected departmental spending over four years; VAT to go up to 20% from 4 January 2010; Capital Gains Tax to go up to 28% for higher rate income tax payers and increases in personal allowances to £7,475 in 2011/12. For further information: http://www.hm-treasury.gov.uk/2010_june_budget.htm (see also rates and allowances and regional budget links).
There will be a Comprehensive Spending Review (CSR) in the autumn which will set Government departments spending limits for the period 2011/12 to 2014/15. Click here for further information.
HM Treasury – £6.2 billion savings in 2010/11
On 24 May, the government announced £6.2 billion in savings for the current financial year, excluding any reference to the NHS in England (savings in the health service will be re-invested in front line health services). £500 million out of the £6.2 billion will be re-invested in further education, apprenticeships and social housing.
http://www.hm-treasury.gov.uk/d/press_04_10.pdf.
Department of Health – McKinsey report on the fiscal future of the NHS
In March 2009, McKinsey reported on how to achieve world class productivity in the NHS over the period 2009/10 – 2013/14. The report, published in June 2010, identifies efficiencies of £13bn - £20bn. To access: click here (see also DH response).
Confederation of British Industry – Picking up the pace: CBI/Harvey Nash employment trends survey 2010 (May 2010)
This report provides information on how employers and staff in the private sector worked together during the recession in order to minimise job losses. It suggests that there may be learning which could be transferred to the public sector.
Report
The Chartered Institute of Public Finance & Accountancy/CIVICA – the CIPFA public services Chief Finance Officer (CFO) survey 2010
This online survey of CFOs was conducted in March and April 2010 (18% of the replies came from the NHS/health sector). The four most likely cost saving or efficiency measures identified were: redesign of services; reduction in back office / support staff; reduction in senior staff / management and reductions in lower priority services. CFO Survey
Department for Business, Innovation & Skills – the role of universities and colleges in achieving government savings
£836 million of the £6.2 billion savings in 2010/11 are to be found by BIS. This letter to universities and colleges sets out what actions they may wish to consider in order to achieve the savings target, e.g. recruitment freezes, pay and bonus restraint - Letter. As part of these savings, £200 million of the Train to Gain budget will be redirected to supporting 50,000 apprenticeships and college buildings - Skills Funding Agency statement
Centre for Cities have published a report on private sector employment in English cities. It identifies significant differences in the net growth of private sector jobs across England over the period 1998 - 2008, e.g. Stoke -20,900; Milton Keynes +22,400. This presents a challenge as public sector funding is cut. Private Sector Cities: A new geography of opportunity (June 2010)
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National Policy and Developments
Department of Health – Secretary of State’s first speech
The Health Secretary has set down a number of challenges for the NHS including shifting the culture to one that is responsive to patients (with patient safety coming first) and engaging people in their care. For further information: DH press release
Department of Health – Revision to NHS Operating Framework 2010/11
The DH published The Revision to the Operating Framework for the NHS in England for 2010/11 on 21 June (the framework document itself was published in December 2009). The changes announced include: removal of the DH performance management of the 18 weeks waiting times target; amendment to the four hour A&E target from 98% to 95%; removal of primary care access targets and accelerated cuts to management costs.
Care Quality Commission CQC)– Revised Enforcement Policy
The CQC has launched a consultation on its enforcement policy on ensuring providers meet essential standards of quality and safety. The consultation ends 31 August 2010 and the final policy will be published on 1 October 2010. For further information: CQC enforcement consultation.
Care Quality Commission – health care in prisons (May 2010)
The CQC and Her Majesty’s Inspectorate of Prisons (HMIP) have published a report on commissioning health care in prisons in 2008/09 based on a sample of 21 PCTs. It identifies that progress has been made but identifies areas of improvement, e.g. continuity of healthcare around transfer and release. Click here for further information.
No 10 – Transparency of Government Data
The Prime Minister has written to Departments setting down the Government’s initial transparency commitments. These include the publication of senior civil service salaries (where earnings are more than £150,000) - and the weekly publication of MRSA and C.Difficile infection data - Secretary of State for Health letter.
Cabinet Office - State of the Nation Report: poverty, worklessness and welfare dependency in the UK (May 2010)
This report provides a wide ranging assessment of poverty in the UK looking at indicators such as income inequality, indebtedness, unemployment and health and educational inequalities. For the key statistics, e.g. almost 1 in 10 people live in persistent poverty, and to access the report - click here.
The Prime Minister has announced an independent review on poverty and life chances.
The Institute of Fiscal Studies published Poverty and inequality in the UK 2010 in May 2010, which provides a detailed analysis of trends in living standards, poverty and inequalities, including comparisons between regions and the nations.
Three key articles in the Office of National Statistics’ latest Regional Trends annual publication identify marked differences in ageing, health and income levels in different areas of the UK. Regional Trends 42
Department for Education – Academies
Academies are publicly funded independent schools. The government has announced that there will be forthcoming legislation allowing schools rated as “outstanding” by Ofsted to become academies from September 2010 subject to approval by the Secretary of State.
Click here for the latest information. As at 2 June 2010, 1,114 schools had expressed an interest. For information on free schools - http://www.education.gov.uk/freeschools.
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Recruiting your workforce
Department of Health – VSM pay for 2010/11
This letter from the NHS Chief Executive sets out the pay uplift arrangements for staff covered by the Very Senior Managers’ Pay Framework.
The Government has also announced a review of fair pay in the public sector (Hutton Review) and a Commission on public service pensions.
For information on recently published reports on pay:
- Office of National Statistics – Patterns of Pay: results of the Annual Survey of Hours and Earnings 1997 – 2009 (March 2010) - Click here
- Government Equalities Office – gender pay gap in the UK: 1995 – 2007 - Click here
The Scottish Government – NHS workforce projections (June 2010)
The Scottish Government has published workforce projections for 2010/11. These indicate an estimated reduction in whole time equivalents of 3,790 (2.8%) by the end of the financial year. Click here for further information.
NHS Employers – Vetting and Barring Scheme (VBS)
Registration with the VBS has been halted by the Government and the scheme will be reviewed.
For further information - click here.
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Developing your workforce
e-Learning for Health – new online resource for developing leadership skills
LeAD (e-learning for Medical Leadership) is a free resource for doctors and other healthcare professionals to support the development of clinical leadership skills. It has been produced by the Academy of Medical Royal Colleges, the Institute of Innovation and Improvement and e-LfH and was launched on 3 June 2010. For further information.
NHS Employers – Nursing pre-registration education feedback
For information on feedback given to NHS Employers on the changes to nursing pre-registration education at the RCN Congress in April and to access the NHS Employers’ response to the NMC consultation - click here.
Medical Education England – Review of European Working Time Directive and Impact on Training (June 2010)
The Temple Report, Time for Training – A Review of the European Working Time Directive on the quality of training, has now been published (click here). For the report’s conclusions - click here.
Department of Health – Widening participation in pre-registration programmes (June 2010)
The Widening Participation Reference Group has published a report, which identifies five educational models of workforce development providing pathways of support for:
- widening participation into pre-registration nursing courses for current NHS employees on Agenda for Change (AfC) bands 1 – 4;
- workforce development opportunities for nursing support staff on AfC bands 1 – 4
- pathways in nursing for staff not currently employed in clinical support roles.
National Council for Voluntary Organisations – Sources of HR resources
The NCVO provides information on sources of HR support. This now includes a new resource on diversity. http://www.ncvo-vol.org.uk/sources-of-hr-support
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Quality and productivity
Improvement Network – Challenges for Managers
This report produced by GoodPractice is based on research which was undertaken in November 2009 and involved over 200 managers across all sectors. It looks at a range of management activity and the level of challenge associated with each, in the light of variables such as seniority, age and gender.
The King’s Fund – Patient choice: how patients choose and how providers respond (June 2010)
This report, published jointly with the Picker Institute, RAND Europe and the Office of Health Economics, states that, although choice is valued by most patients, it is not currently functioning as an effective lever to improve quality or increase competition. Report. NHS Direct is piloting three online patient decision aids to support patients in decision making about medical treatments and tests where there is no clinical evidence that one treatment is better than another. Further Information.
Age Concern London has published a report Involving users in commissioning local services (May 2010).
British Medical Association – Survey of the consultant contract in a changing NHS – Interim Report (June 2010)
The BMA’s interim report based on a survey of over 2,000 consultants in the UK states that consultants work an average of four additional hours per week over their average contracted hours of 44 hours and indicates a general reduction in Support Professional Activities sessions (used for research, introduction of new services, training of junior doctors etc). The BMA warns that this may hinder innovation in the NHS. Click here.
ACAS – Maintaining a productive workplace during the World Cup
ACAS has published guidance for employers on how to minimise the impact of the World Cup on productivity - http://www.acas.org.uk/index.aspx?articleid=2968
The Chartered Institute of Management (CMI) has stated that UK managers fear that the financial impact of the World Cup on businesses could be up to £1 billion in lost working hours. Click here for further information and an online employer guide.
Healthcare Innovation EXPO 2010 – 6/7 October 2010
The second EXPO will take place at the ExCeL Centre in London. To find out more and to register go to http://www.healthcareinnovationexpo.com.
Charities Evaluation Services / National Performance Programme - Proving and improving
This online quality and impact toolkit is for charities, voluntary organisations and social enterprises. It includes interactive tools to measure impact and demonstrate quality, “How to” guides for measuring impact and downloadable library. http://www.proveandimprove.org/new.
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Good practice
NHS Institute for Innovation and Improvement – Measurement for quality and cost
The NHS Institute has established an “ideas channel” for NHS organisations/staff to submit examples of excellent practice in the measurement for quality and cost. There is also the facility to comment on submissions made. The “channel” will remain open until 8 July when a panel of specialists will review which examples have the potential to make the largest impact across the service.
For further information: click here.
UK Commission for Employment and Skills (UKCES) – Intelligence website
The UKCES has developed an online resource which allows users to keep up to date with policy, research and analyses in employment, learning and skills, the labour market and the economy. You can also subscribe to the Intelligence monthly e-briefing. Intelligence UKCES.
National Employer Service – Workforce Development Awards 2010
For information on the 2010 employer and learner award winners, go to - http://workforcedevelopmentawards.org.uk.
HSJ Awards 2010
The deadline for entries is 23 July 2010 and there are 17 categories including patient centred care and quality and productivity. To find out more:
http://www.hsjawards.co.uk.
Healthcare People Management Association – Excellence in HR Management Awards 2010
The HPMA award event took place on 17 June. Award categories include: HR team of the year, HR Director of the year and excellence in organisational development. For further information on the awards and the winners, go to
http://www.hpma.org.uk/home/awards and Compendium of winning entries 2010
Office of National Statistics – Measuring Outcomes for Public Service Users (June 2010)
The three year MOPSU project has now reported. It looked at measuring outcomes in adult social care and early years education and third sector involvement in delivering public services. To access the final project report and related reports:
http://www.ncvo-vol.org.uk/mopsu .
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Regulation
General Medical Council – extension of the revalidation pilots
The pilot phase is to be extended by one year. For further information, see GMC statement and NHS Employers.
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Other news
Skills for Care – new Chief Executive appointed
The Sector Skills Council has appointed Sharon Allen as its new Chief Executive.
Medical Schools Council – Survey of Staffing Levels of Medical Clinical Academics in UK Medical Schools (May 2010)
The latest survey indicates an increase in clinical Professors, Senior Lecturers and Lecturers during the academic year 2008/09 to 3,087 full time equivalents.
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