Evaluating market reforms in the English NHS: introduction to the reforms and the Health Reform Evaluation Programme Nicholas Mays Professor of Health.

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Presentation transcript:

Evaluating market reforms in the English NHS: introduction to the reforms and the Health Reform Evaluation Programme Nicholas Mays Professor of Health Policy Department of Health Services Research & Policy, London School of Hygiene & Tropical Medicine, University of London Scientific Coordinator, Health Reforms Evaluation Programme Health Services Research Network and Society for Social Medicine conference, ‘Evaluating market reforms in the English NHS’, 20 December 2010

English NHS ‘reforms’ Three main phases: Predominantly ‘internal market’, supply side competition, variable prices, ‘patients follow contracts’ (?) ‘Command and control’, targets, performance management, investment in return for ‘modernisation’ 2002/ Quasi-market for NHS services, including private & Third Sector, fixed prices and patient choice of hospital Gradual shift towards a ‘self-improving’ NHS

The return of the market: towards a ‘self-improving’ NHS Concerns about adequacy of system’s response to increased funding e.g. variations in performance, productivity Limitations of ‘top-down’ targets and ‘terror’ Desire to increase capacity by involving private providers 18-week target from GP appt. to treatment including

The re-invented NHS market in England More diverse providers, with more freedom to innovate and improve services (supply-side reforms) More choice and a much stronger voice for patients (demand-side reforms) Money following the patients, rewarding the best and most efficient providers, giving others the incentive to improve (transactional reforms) A framework of system management, regulation and decision making which guarantees safety and quality, fairness, equity and value for money (system management reforms) Better care Better patient experience Better value for money Source: DH (2005) Health reform in England: update and next steps.

Main components of quasi-market reforms 1.Increased diversity of providers DH-led ISTC procurement, Encouragement to private hospitals, etc. to enter NHS market 2.Foundation trusts, High performers with earlier access to PbR, greater autonomy 3.‘Payment by results’ (administered prices), Patient choice of 4+ hospitals, 2006, and any hospital, 2008-

Choice and competition reforms

Studies in DH PRP HREP Mechanism-specific projects Whole system studies of ‘local health economies’ … while it is useful to categorise the reforms into these four strands, in practice the benefits will be realised through the interactions between all four elements’ (Health reform in England: update and next steps DH December 2005: 9) National and local studies Mix of routine and primary data

First wave projects How patients choose and how providers respond lead, Anna Dixon (King's Fund) Effect of competition under fixed prices on patient care lead, Carol Propper (University of Bristol) Provider diversity in the NHS: Impact on quality and innovation lead, Will Bartlett (University of Bristol) Effects of choice and market reform on inequalities of access to health care lead, Richard Cookson (University of York) Comparative case studies on the impact of the health reforms in England lead, Martin Powell (University of Birmingham) National evaluation of Payment by Results (PbR) lead, Shelley Farrar (University of Aberdeen)