Source · Select Committees · Public Accounts Committee
Recommendation 31
31
Accepted
Hospitals removed from the shortlist face critical infrastructure risks due to growing maintenance backlog.
Conclusion
We asked witnesses about the implications for the seven schemes that had been removed from the shortlist. For example, it was reported that in August 2023 a ceiling at the hospital in Doncaster collapsed and that there was a risk of the facility closing. NHS England told us that the NHS had to manage these and other risks, such as flooding and fire, “day in, day out”. This was linked to the big increase in the maintenance backlog and NHS England had other funds available to help with these situations. It would though continue to argue for increased investment.70 69 Commons Committee of Public Accounts, Local economic growth, Fifth Report of Session 2022–23, HC 252, 8 June 2020 70 Qq 111–113 18 The New Hospital Programme 3 Future funding, use of consultants and transfers of capital Future funding
Government Response Summary
The government states it is providing record capital funding to the NHS and that decisions to switch capital budgets are only made in exceptional circumstances, following usual processes. It commits to providing more certainty for NHS capital through rolling investment programmes, indicating the recommendation is already implemented through ongoing work.
Government Response
Accepted
HM Government
Accepted
8.1 The government agrees with the Committee’s recommendation. Recommendation implemented 8.2 The government recognises the importance of capital investment in the NHS and the role it plays in an effective and productive healthcare system. The department is providing the NHS with record amounts of capital, including £12 billion of operational capital between 2022-23 and 2024-25 to address the most pressing priorities. 8.3 The decision to switch capital budgets to revenue is only made in exceptional circumstances. When such switches are enacted, capital programmes with forecasted underspends are prioritised for a switch rather than proactively delaying programmes. The department also enacts some adjustments where, to meet the same programme aims, the currency of spend has changed from capital to revenue. 8.4 Although the government agrees with the Committee’s recommendation in principle, it is right that the department regularly assesses its priorities so that budgets are targeted effectively. Therefore, the government suggests that the usual processes when advising Ministers of the impact of financial decisions, including switching of capital budgets, continue to be followed. The department will continue to make these considerations clear as part of Ministerial advice, with any switches then being approved by HM Treasury. 8.5 Looking forward, the government is committed to providing more certainty for NHS capital through rolling programmes of investment in NHS infrastructure.