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[CUPE healthcare list] NHS privatization: Colin Leys presentation and Allyson Pollock article
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- Subject: [CUPE healthcare list] NHS privatization: Colin Leys presentation and Allyson Pollock article
- From: Irene Jansen <firstname.lastname@example.org>
- Date: Tue, 8 Jun 2010 11:16:35 -0400
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- Thread-topic: NHS privatization: Colin Leys presentation and Allyson Pollock article
See attached the Allyson Pollock article on the Independent Sector Treatment Centre (ISTC) programme (i.e. private clinics) in England. Highlights:
· The ISTC programme remains highly controversial amid concerns that the centres are destabilizing NHS trusts, forcing service closures, and undermining quality of care.
· The complex payment mechanism, far from transferring risk to the private sector, increases the risks and costs to the health boards.
· If the Scottish findings hold true for wave one in England then up to £927m of the £1.5bn may have been paid to ISTCs for patients who did not receive treatment.
· ISTCs are performing the easiest procedures within the contract.
· The NHS is contractually obliged to buy back £187m of independent centre facilities at the end of the contracts if the providers do not wish to continue operating … Hugh Risebrow, chief executive of the private company Interhealth Canada, which runs two of the wave one centres , said that the independent providers faced potential problems refinancing loans to fund their facilities; the Department of Health may have to step in to support the private sector.
See below the link to Colin Leys’ June 2009 presentation “The conversion of the NHS into a healthcare market.” (The link to his PowerPoint is about one-quarter of the way down this page, under Presentations.)
· ISTCs were represented as a way to help reduce waiting times for elective care by bringing in additional capacity, but 25% of their staff were drawn from NHS hospitals and this proportion has risen over time. Instead of the promised 170,000 procedures a year, in 2003-2007 ISTCs performed a total of 128,000. Extremely favourable contract terms mean they bear no significant financial or clinical risk. NHS hospitals are left with the high-risk caseload.
· Administrative costs have risen from 5-6% of NHS budget in mid-1970s to about 20% today
· NHS hospital beds cut by 10 % 2004/5 to 2007/8
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