Source · Select Committees · Public Accounts Committee
Recommendation 28
28
Accepted
Require NHS England to provide data on exit package trends and legal costs for tribunals.
Recommendation
NHS England’s Annual Report and Accounts and the Consolidated NHS Provider Accounts show that there were 3,877 exit packages in the NHS in 2023–24, costing a total of £98 million. We asked NHS England whether the use of exit packages had been increasing or decreasing. NHS England was unable to provide this information in our session but told us that it would confirm the precise number separately. Some 96 exit packages arose following employment tribunals or court orders against NHS England, NHS Trusts or NHS Foundation Trusts, at a cost of £1.3 million. We observed that there was no breakdown of the legal costs relating to employment tribunals and exit packages at NHS bodies within the Department’s or NHS England’s Annual Reports and Accounts. We requested that the Department provide this information to enable us to determine whether these were a good use of public funds.46 42 Q 69; Department of Health and Social Care Annual Report and Accounts 2023–24, HC 476, 17 December 2024, pages 38–39 43 Department of Health and Social Care Annual Report and Accounts 2023–24, HC 476, 17 December 2024, page 78; The NHS Long Term Plan, January 2019, page 7 44 Qq 28, 72 45 Qq 28, 72 46 Q 53; NHS England Annual Report and Accounts 2023–24, HC 251, 10 October 2024, pages 96–97; Consolidated NHS Provider Accounts 2023/24, HC 399, 26 November 2024, pages 82–83 20 Lack of timeliness of reporting
Government Response Summary
The government commits to improving its 2024-25 Annual Report and Accounts to include a breakdown of legal costs relating to employment tribunals and exit packages, and will provide an update to the Committee by September 2025.
Government Response
Accepted
HM Government
Accepted
2.1 The government agrees with the Committee’s recommendations. Target implementation date: September 2025 2.2 The department is committed to the continuous improvement of its Annual Report and Accounts (ARA) to ensure the content is as transparent and informative as possible, both in the specific areas to which the Committee refers and in other emerging areas of public and parliamentary interest. 2.3 The department plans to cover the areas listed in recommendations 2a and 2b in its 2024-25 ARA. The department will update the Committee on progress alongside its update to the Committee on recommendation 5 in September.