New NHS procurement reform plans outlined

The government has outlined new NHS procurement strategy plans in order to unlock major savings in the way the health service operates its purchasing.

Hospital trusts are to be encouraged to implement new ways of buying goods and services such as gloves, sutures, catering and energy, with the aim of saving at least 1.2 billion pounds over the next four years.

Meanwhile, a 300 million pound fund is also being set up to enable the NHS to bulk-buy large equipment such as MRI scanners and ultrasound machines, allowing the health service to make better use of its collective purchasing power.

By accomplishing these changes, it is hoped that significant amounts of money can be unlocked and reinvested into patient care.

Health minister Simon Burns said: "This is the first step to better, smarter procurement in the NHS and we will be working closely with hospital trusts over the next six months to help them save even more money."

The plans have already been welcomed by business organisation the CBI as demonstrating the benefits of collaborative procurement.