Patients will benefit from billions of pounds in savings as the government announces sweeping reforms to end duplication and slash NHS bureaucracy, redirecting funds to frontline care.
The Health Secretary confirmed that around 18,000 administrative posts will be abolished, saving over £1 billion – enough to fund 116,000 hip and knee operations. These changes will give local leaders more autonomy, stripping away unnecessary red tape so they can deliver better services for their communities.
The reforms follow years of rising costs and inefficiencies since the 2012 NHS reorganisation, which doubled the size of the centre and led to worse care at higher expense. Under the new plan, NHS England will merge with the Department of Health and Social Care within two years, ending duplication, whilst Integrated Care Boards will see headcounts cut by 50%, focusing on strategic commissioning and prevention. Alongside this, savings will be reinvested in frontline services, not cuts to patient care.
Health Secretary Wes Streeting, addressing the NHS Providers Conference:
“The government is protecting investment in the NHS at the Budget, worth an extra £29 billion to the health service. I want to reassure taxpayers that every penny they are being asked to pay will be spent wisely.
“We have already cut waiting lists for the first year in 15 years, recruited 2,500 more GPs, and cut ambulance waits for patients with conditions like heart attacks and strokes. Our investment to offer more services at evenings and weekends, arm staff with modern technology, and improve staff retention is working. At the same time, cuts to wasteful spending on things like recruitment agencies saw productivity grow by 2.4% in the most recent figures – we are getting better bang for our buck.
“We’re now pushing down on the accelerator and slashing unnecessary bureaucracy, to reinvest the savings in frontline care. It won’t happen overnight, but with our investment and modernisation, we will rebuild our NHS, so it is there for you when you need it once again.”
The announcement comes ahead of the Budget, which will prioritise cutting waiting lists, reducing national debt, and improving productivity across public services. The Chancellor has already secured a record £29 billion boost for the NHS, including:
- £10 billion for technology and digital transformation.
- Training thousands more GPs.
- Funding for 700,000 additional urgent NHS dentist appointments annually.
Sir Jim Mackey, CEO of NHS England, said:
“This is good news for NHS staff and patients – allowing our organisations to move forward and provide greater certainty about the future for all our staff and leaders.
“It will free up resources to invest in frontline services and reduce unnecessary bureaucracy that slows us down and gets in the way of the improving care.
“The NHS will continue to focus on the practical challenges ahead. We are pulling out all the stops to support the service through winter, making progress on elective and urgent and emergency care targets.”
Community diagnostic centres and surgical hubs are already helping reduce waiting times, with 100 centres open 12 hours a day, seven days a week. The Health Secretary will tell NHS leaders at the NHS Providers Conference in Manchester that every penny saved must count towards improving patient care.
Efficiency savings have already enabled above-inflation pay rises for NHS staff and will allow billions more to be invested in healthcare for the most deprived areas.
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