News

National Audit Office reviews the NHS National Programme for IT

16 May 2008

The National Audit Office (NAO) has published a review of progress in the NHS National Programme for IT since 2006 [1].

The NAO says that all elements of the Programme are advancing and some are complete, but the original timescales for the electronic Care Records Service, one of the central elements of the Programme, turned out to be unachievable, raised unrealistic expectations and put confidence in the Programme at risk.

The report concludes that the original vision remains intact and still appears feasible. However, it is likely to take until 2014-15 before every NHS trust in England has fully deployed the care records systems, four years later than planned.

In the North, Midlands and East area, the software has taken much longer to develop than planned, so some trusts have had to take an interim system. Completing development and deployment of the system and introducing it in this area "are significant challenges still to be addressed". In these regions the software to be deployed is iSOFT’s Lorenzo. The NAO says the the delays are attributed in part to an underestimation by all parties of the scale and complexity involved in building a new system from scratch.

The NAO says that there remains considerable uncertainty over the delivery schedule for Lorenzo. In March 2008, NHS Connecting for Health and CSC, the Local Service Provider for the area, agreed a memorandum of understanding, "with a view to achieving greater certainty over the delivery timescales for Lorenzo". The first release of the software is expected to be available for deployment at three early adopter trusts this summer, with full roll-out planned from autumn 2008.

The report notes that there is a shortage of appropriate and skilled capacity to deliver the systems required by the Programme, and the withdrawal of Accenture has increased the burden on other suppliers, especially CSC. The Department of Health is recommended to review with suppliers their capacity to deliver, and use the results of the review to engage, or to get suppliers to engage, additional capacity where required. The NAO recommends the Department should commission an urgent and independent review of the performance of Local Service Providers against their contractual obligations.

The NAO expressed concern that the use of only two major software suppliers could inhibit innovation, progress and competition. It says the Department of Health should seek to modify the procurement process under the Programme so that NHS organisation are able to select from a wider range of patient administration systems and clinical systems than are currently available, provided that these conform to national standards.

The NHS has already issued framework contracts for Additional Supply Capability and Capacity (ASCC). In January 2008 contracts were signed with 38 suppliers for non-clinical systems and services, and earlier this month it was announced that contracts had been signed with 61 suppliers for clinical information technology services [2].

The estimated cost of the Programme is £12.7 billion. The costs of the main contracts have remained broadly unchanged, aside from the purchase of increased functionality. Because of the delay in deployments, actual expenditure to date (£3.6 billion by 31 March 2008) has been much lower than expected. Planned ‘go live’ dates were missed for many of the first NHS trusts to take the new care records systems and the NHS and suppliers are now increasing their emphasis on establishing realistic timelines for deployments, reflecting the circumstances of each individual trust.

The NAO expressed concern that leadership of the Programme has focused too narrowly on the delivery of IT systems, at the expense of optimising use of IT to deliver the process of business change. It says frequent changes in the leadership of the Department’s work to engage NHS organisations and staff have damaged the Programme and convey that the Department attaches a low priority to this task.

According to the report, the success of the Programme will depend on the commitment of NHS staff. The Department’s latest survey, conducted in spring 2007, showed that 67% of nurses and 62% of doctors expected the new systems to improve patient care (though 16% of nurses and 7% of doctors had never heard of the Programme). Identifying and realising the benefits of the systems are essential to raising confidence further and convincing all staff of the value of the Programme. The Department reported on the benefits of the Programme for the first time in March 2008.

Tim Burr, head of the National Audit Office, said: "The scale of the challenge involved in delivering the National Programme for IT has proved to be far greater than envisaged at the start, with serious delays in delivering the new care records systems. Progress is being made, however, and financial savings and other benefits are beginning to emerge. The priority now is to finish developing and deploying care records systems that will help NHS Trusts to achieve the Programme’s intended benefits of improved services and better patient care."

References

1. The National Audit Office. The National Programme for IT in the NHS: Progress since 2006. London, The Stationery Office. May 2008.
(Vol 1) : www.nao.org.uk/publications/nao_reports/07-08/0708484i.pdf

The National Audit Office. The National Programme for IT in the NHS: Project Progress Reports. London, The Stationery Office. May 2008.
(Vol 2): www.nao.org.uk/publications/nao_reports/07-08/0708484ii.pdf

2. NHS Connecting for Health Additional Supply Capability and Capacity (ASCC) website:  www.connectingforhealth.nhs.uk/industry/ascc

 

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