NHS funding is set to increase by an average of 7% a year between 2005-06 and 2007-08. But there are significant financial pressures for organisational change through initiatives such as shared services and back office rationalisation. These pressures include targeted savings of £6.5bn a year by 2007-08, including £0.5bn from rationalisation under the Arms Length Body Review (ALBR), for reinvestment into frontline services. Outsourced services and public private partnerships are increasingly seen as playing a key role in capacity building and delivery of health commissioning. Industry analysts predict annual market growth of 44% to 2010.*

Source: Ovum 2006

Drivers

• Funding pressure and 2007 Spending Review
• Enhancement of commissioning capacity
• Rationalisation and modernisation of support services resulting from reconfiguration of Strategic Health Authorities and Primary Care Trusts
• Roll-out of Connecting for Health programme is requiring support to optimise use of new systems and make better use of human capital
• Rationalisation of existing property and reinvestment in new property to improve work environment and patient care
• Streamlining clinical administration and achieving the 18 week target from first appointment to treatment.