Magazine article Public Finance

Consultants Provide 'Value for Money' for NHS

Magazine article Public Finance

Consultants Provide 'Value for Money' for NHS

Article excerpt

The Management

Consultancies Association has said diat die £300m spent by the NHS on work by its members last year is 'demonstrably value for money'.

The MCA report, Improving care, reducing cost, published on September 15, found that die NHS spent just 0.3% of its budget on management consultancy during 2008. The report also said that the majority of the consultancy projects in the NHS have saved more than they cost.

The report added that: total NHS spending on management consultants in 2008 was £300m - with current total NHS spend more than £100bn; the amount spent on consultancy by the NHS per employee is roughly one-tenth of that spent by large private sector organisations; and most spending on consultancy is associated with significant programmes that lead to improved patient care and greater efficiency.

MCA chief executive Alan Leaman said: 'Management consultancy has recently been caught in the crossfire of the arguments between supporters of reform in the NHS and their opponents.

'Those who attack the use of management consultants by the NHS are undermining efforts to increase efficiency and improve patient care. The public rightly demands high-quality services and value for money. Those who attack the role of management consultants would deny them both. …

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