Select Committee · Public Accounts Committee

Digital Transformation in the NHS

Status: Closed Opened: 27 Jul 2020 Closed: 9 Nov 2020 5 recommendations 19 conclusions 1 report

The Department for Health and Social Care (DHSC) has a longstanding ambition to digitally transform the NHS and to enable seamless data sharing (interoperability) between the many organisations that make up the health and care system. DHSC’s previous attempt at instituting a paperless patient record, to enable smooth sharing of clinical information across systems and … Show more

Reports

1 report
Title HC No. Published Items Response
Twenty-Second Report - Digital transformation in the NHS HC 680 6 Nov 2020 24 Responded

Recommendations & Conclusions

24 items
2 Recommendation Twenty-Second Report - Digital transfor… Not Addressed

The Department’s failure to ensure clear and transparent governance arrangements for digital transformation is putting...

The Department’s failure to ensure clear and transparent governance arrangements for digital transformation is putting the successful delivery of the Vision for digital, data and technology at risk. There are many organisations working at both national and local levels to deliver the digital transformation of the NHS. Yet governance arrangements … Read more

Government response AI summary
The government's response addresses funding decisions for the Towns Fund and Levelling Up Fund, providing details on transparency for those programmes, and does not engage with the specific recommendations regarding digital transformation, NHSX governance, or publishing an annual report for NHSX.
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HM Treasury
3 Recommendation Twenty-Second Report - Digital transfor… Not Addressed

Without a proper implementation plan, the Department and NHSX cannot be sure that the £8.1...

Without a proper implementation plan, the Department and NHSX cannot be sure that the £8.1 billion of taxpayers’ money being invested in the digital transformation programme will deliver value for money. The Department’s 2018 Vision for digital, data and technology is not an implementation plan as it does not set … Read more

Government response AI summary
The government response is boilerplate text and does not address the committee's urgent recommendation for NHSX to publish a comprehensive implementation plan for digital services, detailing actions, progress assessment, interoperability incentives, and priority areas for digitisation.
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HM Treasury
4 Recommendation Twenty-Second Report - Digital transfor… Not Addressed

To deliver the digital Vision, NHS organisations’ IT systems must be interoperable.

To deliver the digital Vision, NHS organisations’ IT systems must be interoperable. Many of the standards required to enable this are not yet in place, and much work is required before benefits, such as digital-image sharing, can be realised. NHSE&I increasingly seeks to plan and coordinate patient care through local … Read more

Government response AI summary
The government's response is a non-sequitur, discussing an annual update on a "Fund" and its monitoring, which does not address the committee's recommendation for NHSX to urgently bring forward remaining interoperability standards and provide guidance on cloud use for digital image sharing.
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HM Treasury
5 Recommendation Twenty-Second Report - Digital transfor… Not Addressed

We are concerned that patients and local health and care systems could be left behind...

We are concerned that patients and local health and care systems could be left behind if some less digitally-advanced trusts are unable to invest in the technology and skills they need to catch-up. There is wide variation in the digital maturity of trusts, with 13% of trusts assessing their capability … Read more

Government response AI summary
The government response is boilerplate text and does not address the committee's recommendation for NHSX to develop a focused support package for less digitally-advanced local health and care systems.
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HM Treasury
6 Recommendation Twenty-Second Report - Digital transfor… Not Addressed

The Department and NHSX lack the information they and local organisations need on which of...

The Department and NHSX lack the information they and local organisations need on which of the options for achieving digital transformation in local health and care systems achieves the best value for money. The Department considers that the £8.1 billion being invested in digital transformation will be sufficient to achieve … Read more

Government response AI summary
The government response is boilerplate text and does not address the committee's recommendation for NHSX to develop and publish a cost-benefit analysis of system solutions and assess the realism of the £3 billion contribution from NHS trusts.
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HM Treasury
1 Conclusion Twenty-Second Report - Digital transfor… Acknowledged

On the basis of a report by the Comptroller and Auditor General, we took evidence...

On the basis of a report by the Comptroller and Auditor General, we took evidence from the Department of Health and Social Care, NHS Digital and NHSX on digital transformation in the NHS.1

Government response AI summary
The government response acknowledges the committee's introductory statement about the basis of its report, reiterating the committee's process.
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HM Treasury
7 Conclusion Twenty-Second Report - Digital transfor… Not Addressed

The NHS has not made the expected progress since its 2014 strategy and missed its...

The NHS has not made the expected progress since its 2014 strategy and missed its main target to achieve a ‘paperless’ NHS by 2018.10 The 2018 target has since been redefined in a new target to reach a ‘core level’ of digitisation by 2024. We asked why a watered-down target … Read more

Government response AI summary
The government's response is only a heading and does not address the committee's observation regarding the lack of progress in digitising the NHS or the reasons for the watered-down targets.
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HM Treasury
8 Conclusion Twenty-Second Report - Digital transfor… Not Addressed

NHS England & NHS Improvement (NHSE&I) increasingly seek to plan and coordinate patient care through...

NHS England & NHS Improvement (NHSE&I) increasingly seek to plan and coordinate patient care through partnerships of local health and care organisations, known as sustainability and transformation partnerships (STPs) and integrated care systems (ICSs). This makes sharing data between organisations essential to enable electronic patient records to be seen and … Read more

Government response AI summary
The government response is boilerplate text and does not address the committee's conclusion regarding the essential role of interoperability in patient care coordination within local health and care systems.
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HM Treasury
9 Conclusion Twenty-Second Report - Digital transfor… Not Addressed

We were particularly interested in one aspect of interoperability, namely the opportunities afforded by the...

We were particularly interested in one aspect of interoperability, namely the opportunities afforded by the cloud and cloud computing. For example, vendor-neutral digital image sharing through the cloud can benefit patients, radiologists and consultants. But suppliers might experience difficulties in providing these services to the NHS. NHSX told us that, … Read more

Government response AI summary
The government response is boilerplate text and does not address the committee's conclusion regarding the opportunities and challenges of cloud computing for interoperability, particularly digital image sharing.
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HM Treasury
10 Conclusion Twenty-Second Report - Digital transfor… Accepted

The Department, NHSX and NHS Digital told us that the COVID-19 outbreak had shown how...

The Department, NHSX and NHS Digital told us that the COVID-19 outbreak had shown how quickly and efficiently the NHS can introduce new IT services and adapt to new technologies.15 This view was echoed by NHS Providers, which told us in its written evidence that the pandemic had resulted in … Read more

Government response AI summary
The government agrees with the committee's conclusion, recognising the importance of a clear digital strategy. It plans to publish a comprehensive digital strategy and implementation plan for the entire health and social care system by Spring 2021, outlining a clear plan to digitise and connect …
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HM Treasury
11 Conclusion Twenty-Second Report - Digital transfor… Accepted

Since 2016, management of the portfolio of national programmes to digitally transform the NHS has...

Since 2016, management of the portfolio of national programmes to digitally transform the NHS has been overseen by the Department, NHSE&I and NHS Digital. The National Audit Office reported that these governance arrangements were complex. It found that problems included confusion caused by there being multiple stakeholders, funding held in … Read more

Government response AI summary
The government agrees with the committee's observation regarding complex governance and states that the new digital strategy (Spring 2021) will outline clear roles and responsibilities for national digital bodies. The Digital Transformation Board has also been established to ensure strategic alignment and accountability.
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HM Treasury
12 Conclusion Twenty-Second Report - Digital transfor… Accepted

In May 2020, the new governance arrangements for NHSX had not been finalised.19 We received...

In May 2020, the new governance arrangements for NHSX had not been finalised.19 We received written evidence from NHS Providers, which told us that national governance and oversight arrangements remained fragmented and ambiguous, with many trust leaders still unsure where responsibilities sat between NHSX, NHS Digital and NHSE&I.20 The Department, … Read more

Government response AI summary
The government agrees with the committee's conclusion, recognising the importance of clear governance. It states that the new digital strategy, due in Spring 2021, will set out a clear vision for how national digital bodies will work together and outline their distinct roles and responsibilities. …
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HM Treasury
13 Conclusion Twenty-Second Report - Digital transfor… Accepted

NHSX is not a statutory body and does not prepare financial statements for audit.

NHSX is not a statutory body and does not prepare financial statements for audit. We asked how the Department was tracking the performance of NHSX and ensuring that money was being well used given that NHSX was not audited. The Department explained that NHSX’s funding came from the budgets of … Read more

Government response AI summary
The government agrees with the committee's findings and commits to addressing them through a new digital strategy (Spring 2021), which will establish baselines, track digital maturity, collect cost/benefit data, and publish a full economic assessment of digital transformation value.
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HM Treasury
14 Conclusion Twenty-Second Report - Digital transfor…

NHSX was responsible for the initial development of a new NHS COVID-19 app, before this...

NHSX was responsible for the initial development of a new NHS COVID-19 app, before this responsibility transferred to the newly-established NHS Test and Trace. The app, which was initially due to be launched in May 2020, alerts people who have had close contact with someone who has tested positive for … Read more

HM Treasury
15 Conclusion Twenty-Second Report - Digital transfor… Accepted

The NHS Long-Term Plan includes some challenging ambitions for digitising the NHS, including the target...

The NHS Long-Term Plan includes some challenging ambitions for digitising the NHS, including the target that all trusts reach a ’core level of digitisation’ by 2024. However, the NAO found that there was no digital implementation plan which set out how digitally enabled care will be rolled out across the … Read more

Government response AI summary
The government agrees with the committee's conclusion, recognising the importance of a clear digital strategy and implementation plan. It plans to accelerate the completion and publication of a comprehensive digital strategy and implementation plan by Spring 2021, which will set out a clear plan to …
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HM Treasury
16 Conclusion Twenty-Second Report - Digital transfor… Accepted

In response to our questions about when there would be an implementation plan, NHSX told...

In response to our questions about when there would be an implementation plan, NHSX told us that it had intended to produce a digital strategy during the first eight months of this year. It put out for consultation the vision part of its digital strategy in February 2020, which was … Read more

Government response AI summary
The government agrees with the conclusion, recognising the importance of a clear digital strategy and implementation plan. It plans to accelerate the completion and publication of a comprehensive digital strategy for the entire health and social care system by Spring 2021, which will set out …
Read full response →
HM Treasury
17 Conclusion Twenty-Second Report - Digital transfor… Accepted

The National Audit Office found that arrangements for ensuring trusts’ technology spending was consistent with...

The National Audit Office found that arrangements for ensuring trusts’ technology spending was consistent with the national strategy were still being developed.29 We asked NHSX what levers it had to influence trusts’ digital investments, and whether there were any circumstances where it would intervene in local systems if they were … Read more

Government response AI summary
The government agrees with the committee's observation and states that the new digital strategy (Spring 2021) will strengthen national digital spend controls, ensure investments align with national standards, and detail intervention circumstances if local systems deviate.
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HM Treasury
18 Conclusion Twenty-Second Report - Digital transfor… Accepted

Patient records are fragmented across thousands of local organisations that provide patient care, including 227...

Patient records are fragmented across thousands of local organisations that provide patient care, including 227 NHS trusts and NHS foundation trusts, around 7,000 GP practices and around 18,500 adult social care providers.32 NHSX acknowledged that to deliver its digital strategy, local organisations would need the necessary skills and capacity, as … Read more

Government response AI summary
The government agrees with the conclusion, recognising the critical importance of digital skills. The new digital strategy, due in Spring 2021, will set out a clear plan to address the digital skills gap by strengthening existing staff, attracting new talent, building a diverse workforce, and …
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HM Treasury
19 Conclusion Twenty-Second Report - Digital transfor… Accepted

The Global Digital Exemplar (GDE) programme, run by NHSX, aims to create a cadre of...

The Global Digital Exemplar (GDE) programme, run by NHSX, aims to create a cadre of high-performing trusts which other trusts can follow (in particular partner trusts, known as ’fast followers’). Despite the variation between the digital maturity of trusts, the National Audit Office found that the GDE programme had focused … Read more

Government response AI summary
The government agrees with the conclusion, recognising the need for a comprehensive support offer for all trusts to achieve a core level of digitisation by 2024. The new digital strategy, due in Spring 2021, will set out how to achieve this by introducing clear baselines, …
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HM Treasury
20 Conclusion Twenty-Second Report - Digital transfor… Accepted

In our 2018 report on the WannaCry Cyber-attack on the NHS, we found that the...

In our 2018 report on the WannaCry Cyber-attack on the NHS, we found that the Department and its arm’s-length bodies were unprepared for the relatively unsophisticated WannaCry attack and had a lot of work to do to improve cyber-security for when, and not if, there was another attack.39 We asked … Read more

Government response AI summary
The government agrees with the conclusion, detailing NHS Digital's ongoing commitment and existing efforts to improve cyber security across the health and care system, including the Data Security Centre and various national services. They acknowledge the enduring risk and state NHS Digital will continue to …
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HM Treasury
21 Conclusion Twenty-Second Report - Digital transfor… Acknowledged

NHSE&I expects that trusts will need to contribute £3 billion, under matched- funding arrangements, between...

NHSE&I expects that trusts will need to contribute £3 billion, under matched- funding arrangements, between 201920 and 2028–29 to meet its current plans for a digital transformation.42 However, in their written evidence to us NHS Providers, the Royal College of Midwives and the NHS Confederation all raised concerns about the … Read more

Government response AI summary
The government agrees with the conclusion, recognising the importance of understanding the whole-life costs and benefits of digital transformation. The new digital strategy, due in Spring 2021, will set out how to achieve this, and a full economic assessment will be published with the strategy …
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HM Treasury
22 Conclusion Twenty-Second Report - Digital transfor… Accepted

Of the £8.1 billion estimated to be needed to deliver its digital transformation ambitions, NHSE&I...

Of the £8.1 billion estimated to be needed to deliver its digital transformation ambitions, NHSE&I expects that £5.1 billion will be funded by national bodies. This includes £2.2 billion of revenue funding, which covers day-to-day activities, and £2.9 billion of capital funding, which covers investments in new buildings or equipment.47 … Read more

Government response AI summary
The government agrees with the implied need for clear cost/benefit understanding, stating its new digital strategy, due Spring 2021, will detail how robust cost data will be collected, and will include a commissioned economic assessment of digital transformation.
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HM Treasury
23 Conclusion Twenty-Second Report - Digital transfor… Accepted

The National Audit Office found that NHSX was unclear about the whole-life costs and benefits...

The National Audit Office found that NHSX was unclear about the whole-life costs and benefits of the different approaches to digital transformation at a local level.50 For example, NHSX expected trusts to take one of three approaches to replacing their electronic patient records: • an enterprise-wide commercial system, which can … Read more

Government response AI summary
The government agrees with the conclusion, recognising the importance of understanding whole-life costs and benefits. The new digital strategy, due in Spring 2021, will detail how to achieve this through baselines, tracking digital maturity, collecting cost/benefit data, and providing tools and guidance. A full economic …
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HM Treasury
24 Conclusion Twenty-Second Report - Digital transfor… Accepted

We noted that having a clear grasp of the costs and benefits of digital transformation...

We noted that having a clear grasp of the costs and benefits of digital transformation will be essential to ensuring trusts are on board. We therefore asked what NHSX was doing to address this and help trusts see the long-term potential savings from its plans.51 NHSX recognised that engaging with … Read more

Government response AI summary
The government agrees with the importance of understanding costs and benefits, committing to a new digital strategy by Spring 2021 that will detail how robust data will be collected and include a full economic assessment to drive future investment.
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HM Treasury

Oral evidence sessions

1 session
Date Witnesses
17 Sep 2020 David Williams · Daily Mail, Matthew Gould CMG MBE · NHSX, Sarah Wilkinson · NHS Digital View ↗

Who gave evidence

3 witnesses
WitnessOrganisationSessions
David Williams · Journalist Daily Mail 1
Matthew Gould CMG MBE · CEO NHSX 1
Sarah Wilkinson · CEO NHS Digital 1