Blog: What’s Next for NHS Procurement?

10 Jul 2024

Judith Hughes, Associate Director of Procurement (MCIPS), HQIP, shares her reflections from Procurement 4 Health 2024

Attending the Procurement 4 Health (P4H) event in Birmingham this September was a reminder of just how crucial healthcare procurement is to the overall functioning of the NHS. What really stuck with me was a staggering statistic:

25% of all NHS spending is on procurement, over £30 million annually

It’s an eye-opener, especially when you consider the immense pressure on the NHS budget. That figure highlights why effective procurement isn’t just a financial concern – it’s about ensuring that every pound spent translates into better patient outcomes. Unsurprisingly one of the hot topics on everyone’s mind at the event was the delay in the implementation of the Procurement Act. How are you feeling about the Act? Optimistic? Or perhaps a little overwhelmed at everything that needs to be done? The potential for streamlined processes and improved supplier engagement is undeniable, and I’m eager to see how it will impact the way we work. However I do know that many of us are secretly pleased that the Act is delayed, as it gives us more time to digest and implement these changes into our organisations. The day kicked off in the Keynote Arena with a welcome from the Chair Tracy Cramond, Commercial Advisor to NHS Shared Business. Tracy emphasised the need for collaboration across the NHS, something that really shouldn’t be as difficult as we make it.

This resonated deeply with me. Healthcare procurement is not a siloed activity. It requires partnerships, cross-departmental co-operation, and – frankly – a shared commitment to do what’s best for patients.

This collaboration bleeds into supplier relationships and partnership working, and it’s a key focus for HQIP and our supplier base. We work closely together to deliver the best patient outcomes throughout the lifecycle of the contracts. The sector is clearly on a journey, but it has already come a long way in terms of innovation and best practice. Zones dedicated to digital transparency, infrastructure and sustainability were buzzing with ideas, with the NHS Commercial and Procurement Pavilion a particular hive of activity. There were an array of topical presentations in the different areas, but one thing I noted that was missing from the event was any kind of focus on the patient and the linkage between procurement and patient outcomes. I took the opportunity to attended the following presentations:

How will the Procurement Act Support Better Engagement in the NHS Supply Chain? This was presented by Sarah Coldrake, Associate Director of Commercial Governance and Policy, NHS England (see, I knew the Procurement Act would get a mention…).
Social Value in Action, presented by Michelle McCann, Chief Sustainability and Innovation Officer, NHS London Procurement Partnership. A thought-provoking presentation, with good points to note and learn from. Michelle made it clear that we must act now to integrate social and environmental value into our procurement decisions. As someone who believes that procurement has a direct impact on patient care, I found her points compelling.
Provider Selection Regime: A Six Month Progress Review, presented by Lucy Probert, Senior Associate, Hill Dickinson. This was very interesting. The Provider Selection Regime (PSR) came into force in January 2024 and focuses on the procurement of healthcare services. The PSR applies to the procurement of goods or non-healthcare services and the uptake of the PSR seems to be slow.
Making Sustainability Real in Procurement, presented by Neil Hind. Neil stated that “the climate emergency is a health emergency”, supporting his presentation with strong facts and figures. As a procurement professional, this resonated with me and was a timely reminder of the sheer volume of the challenges we face.

I specifically wanted to touch base with the Health Care Supply Association (HCSA). I caught up with Alan Hoskins, who I’ve known for quite a number of years, and we had a chat about the HCSA conference, 13-14 November. HQIP are going to have a stand at this event to promote our procurement consultancy services that offer something quite unique. We combine our expertise in procurement, patient engagement and quality improvement to enable those we work with to achieve better value and outcomes. Alan also referred me to the HCSA Women’s Network, which I look forward to following up on. Whilst HQIP are not part of the NHS, we do provide pivotal healthcare insights and support through our work. I also caught up with Hannah Quinn-Hill, NHS Business Director from Michael Page, who HQIP have partnered with on a thought leadership event on 17 October. As guest speakers, we will be highlighting the importance of the patient voice in procurement. Registration for this free event is open to all NHS procurement leaders. Patient engagement in procurement is a topic that HQIP is passionate about and it has been reassuring to see patient voice referenced strongly in Lord Darzi’s recent report on the pathway to NHS reform. Our CEO, Chris Gush, shares his thoughts on this and other key themes from the report in his recent blog post. The day flew by and before I knew it, the conference was over. Having started the day looking forward to attending the event, it certainly did not disappoint. I met many great people who are as passionate as me about healthcare procurement and the changes that we can bring – through our combined expertise and insight – into the market.