Voluntary sector could be 'crowded out' of NHS contracts, says Sir Stuart

16 Jun 2011 News

A joint response by the King's Fund and NCVO to the government's Health and Social Care Bill has outlined challenges for the voluntary and community sector if it is implemented.

Stuart Etherington, chief exective, NCVO

A joint response by the King's Fund and NCVO to the government's Health and Social Care Bill has outlined challenges for the voluntary and community sector if it is implemented.

The voluntary and community sector in health - implications of the proposed NHS reforms report says that while the Bill outlines a “significant role for the voluntary and community sector” there were “widespread uncertainties about the impact the reforms will have”.

Increased competition for health service contracts is at the heart of the government’s proposals but the report highlights concerns that voluntary and community organisations, especially smaller ones, may not have the resources to compete for contracts.

Sir Stuart Etherington, chief executive of NCVO, said: “The health reforms have great potential for the sector, but there is a risk that a gap between rhetoric and reality will lead to voluntary organisations being crowded out of the market.”

The joint report stated that: “There is an urgent need for the sector and national policy-makers to work together to explore innovative funding models such as social investment.”

Sir Stuart added: “We urge the government to strengthen the measures in the Bill to ensure that the sector’s intelligence and value is harnessed effectively, and local organisations have the support they need to adapt to the changes ahead.”

Recommendations for the voluntary sector

In order to have a role in the future provision of services the report recommends that the sector streamline communications to ensure that commissioners understand its capability.

Organisations must also become more transparent by finding ways to measure and demonstrate its value and introduce robust governance structures to “convince commissioners that it is a viable and long-term partner”, according to the report.

Recommendations for national-policy makers

The report suggests that to effectively engage with the sector, policy makers should require new GP consortia to involve a wide range of organisations and clarify the roles and responsibilities on health inequalities.

Sufficient transition funds also need to be made available as well as mechanisms to determine social value.

Commissioners will also need to be properly trained on how to work with the sector, it adds.

Recommendations for local bodies

The report suggests that relationships between GP consortia, other local bodies and the sector should start being developed now and establish sources of support for the transition.

It also recommends that local statutory boards and health and wellbeing boards be established to map and assess the provision of services in relation to the community needs.