SCW’s response to the 2019/20 payment reform proposals


Providing an insightful response to NHSI/E's national consultation survey for ourselves and our customers

NHS Improvement, in partnership with NHS England, (NHSI/E) published details of some of the principal changes they are proposing to the payment system in 2019/20, in October 2018 which included changes to:

The duration of the tariff

  • Payment approach for emergency care, proposing a blended approach

  • Outpatient attendances payments

  • Market forces factor (MFF)

  • Maternity payment pathway.

  • Mental health and community payments

These changes to the payment system are being proposed to:

• Support a more effective approach to resource and capacity planning that focuses commissioners and providers on making the most effective and efficient use of resources to improve quality of care and health outcomes

• Provide shared incentives for commissioners and providers to reduce avoidable A&E attendances and non-elective admissions by providing the right care in the right place at the right time – and shared financial responsibility for levels of hospital activity

• Fairly reflect the costs incurred by efficient hospitals in providing care and provide incentives for continuous improvements in efficiency

• Minimise transactional burdens and provide space to transform services

To collect feedback on the proposals the regulators conducted a joint survey, which closed on 29th October.

SCW’s support

SCW responded to the survey on our own behalf and also for a large number of the commissioning based organisations we work with.  Our multi-disciplinary teams are expert in assisting CCGs and other commissioning organisations contract for their strategic plans, secure health and care services that are focused on the local populations need, and secure continuously improving patient safety, quality and experience.

Recognising that the evolving NHS architecture is changing we used  our experience in supporting the standard NHS contract form as well as delivering new contracting approaches including Alliance Contracts, Aligned Incentive Contracts and Prime Provider Contracts’, to provide clear insight to inform these responses.

We are pleased to share our responses in the attached documents to the Payment Reform Proposals and also the Market Forces Factor proposed updates. NHS Improvement and NHS England will be using the consultation feedback to finalise the proposals that they will include in the statutory consultation on the new tariff which commences on 17th January 2019.

Payment reform proposals survey responses

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Market Forces Factor proposed updates response

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Liam Williams, SCW’s Director of Commissioning Performance commented “SCW’s contracting team was pleased to be able to support our customers in completing this important response relating to future payment mechanisms. We felt it was important to ensure that the views of our customers and our expert experience in working with a full range of payment mechanisms was fully represented to the national team as they launch the guidance for what will be a challenging planning round”

If you would like further information on how SCW can support you with system governance and support, including our response to the proposed payment reform proposals, contact Liam Williams, Director of Commissioning Performance

Key Contacts