Government to contract out NHS hospitals to the private sect

Labour sneeked this out the backdoor but the welfare state were in has caught it

The Guardian has had a story that the Government is to lease NHS buildings to private healthcare providers. So the private sector will take over NHS assets and do work under contract there for the NHS. The Guardian also says that rules on 'poaching' staff from the NHS will be relaxed.

I am not sure why this story has not been followed up in other newspapers. It would appear that it might be significant - especially if the policy were to become widespread.

As to whether it is a good policy or not, the obvious advantage is that the private sector will have every incentive to operate efficiently and without wasting money. It will want to do procedures instead of, like many NHS hospitals, having an incentive to avoid doing procedures or even closing entire wards.

Another plus is that this kind of thing will build up the critical mass of the private sector in the UK which has been too small. (That is why there is not any really big private sector hospital with the capacity to deal with a large array of emergencies. Such hospitals are commonplace in the USA where the private sector is much bigger.)

But the drawbacks of the plan are substantial:
the rest of the story can be found here

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