§ Mr. CranTo ask the Secretary of State for Health whether the study produced for her in 1993 by PE Consultants assessed the difference in projected savings and efficiency increases likely to arise from integrated facility management of the entire NHS supplies authority function as against separate market testing of some NHSSA functions with private sector contractors co-ordinated by the existing NHSSA management; and whether she will commission independent research to assess which supplies model will deliver best service and value for money to the NHS.
§ Mr. SackvilleNo. The study concluded that some of the functions of the national health service supplies authority should be contracted out to make best use of private sector skills and experience; and some functions needed to be rationalised at lower cost to match the standard of commercial best practice elsewhere. The NHS supplies authority has been charged to deliver programmes of market testing and rationalisation in the areas of logistics, information management, purchasing, and customer services, while maintaining continuity of services to all NHS customers. It is also required to match commercial best practice standards by April 1997. Their progress towards these targets is reviewed each year, and progress to date has been encouraging. NHS supplies has also been invited to work in co-operation with the NHS trust federation to identify ways to improve NHS supplies organisation, operation and accountability. This joint work is at an early stage. The National Audit Office will also be reporting in the first half of 1995 on its study of NHS supplies progress since the earlier NAO study of 1991.