Source · Select Committees · Public Accounts Committee
Recommendation 9
9
Accepted
Discrepant budget timings impede joint strategic planning between local authorities and NHS bodies.
Conclusion
We asked how local authorities and NHS bodies could be expected to work together and deliver a joint strategy when local authorities receive provisional budgets in December, and final ones by February, but NHS 8 C&AG’s Report, paras 1.6 and 1.8 9 C&AG’s Report, para 2.9 10 Q 57 11 Q 57 12 Q 59 13 Qq 65, 68 9 colleagues receive their budgets months later.14 DHSC said it would ideally provide NHS bodies with budget certainty before Christmas each year, but this might not necessarily be exactly the same day as local authority settlements.15 However, it reiterated that, in the event of big external shocks, a judgement call would still be needed about whether these figures would be realistic and therefore helpful.16 Short-term funding decisions
Government Response Summary
The government agrees with the Committee’s recommendation and will continue to work together and with HM Treasury to improve the planning process and ensure timely publication of guidance to the system, and earlier agreement of priorities and financial allocations for future years, with a target implementation date of December 2025.
Government Response
Accepted
HM Government
Accepted
The government agrees with the Committee’s recommendation. Target implementation date: December 2025 1.2 NHS England publishes planning guidance as soon as funding is finalised and approval is received by Government, in recent years this has been actioned on the same day. NHS England (NHSE) and the Department of Health and Social care (DHSC) continue to work together to enable planning guidance to be published well in advance of the start of the financial year, and ideally before Christmas. 1.3 Having published 2025-26 planning guidance on 30 January 2025, NHSE is working with Integrated Care Boards (ICBs) and providers to have full plans developed before the start of the 2025-26 financial year. 1.4 NHSE and DHSC will continue to work together and with HM Treasury to improve the planning process and ensure timely publication of guidance to the system, and earlier agreement of priorities and financial allocations for future years.