NHS needs structural reform, not just short term cash injections


Lifestyle Economics

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IEA reacts to Government's announcement of funding boost for the NHS

Commenting on the Government’s plan to increase NHS funding, Jamie Whyte, Research Director at the Institute of Economic Affairs, said:

“The Conservatives are kicking an extremely expensive can down the road by refusing to couple increased healthcare spending with fundamental reform of the NHS.

“Any injection of cash would give a short-term boost to the NHS, but without structural reform and efficiency gains, it will remain an unsustainable system, characterised by waiting lists, rationing, and mediocre patient outcomes.

“If the Prime Minister is committed to improving patient outcomes – especially in serious areas such as cancer survival rates – she will need to move the NHS towards the social health insurance systems of Europe, which provide more choice to patients through a combination of public and private services.

“The Government is dangerously close to treating the Brexit dividend as their own version of the ‘magic money tree’. Make no mistake – both taxes and public borrowing will increase to make good on these funding promises.”

Notes to editors:

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For more on the IEA’s work on healthcare spending & reform, click here.

The mission of the Institute of Economic Affairs is to improve understanding of the fundamental institutions of a free society by analysing and expounding the role of markets in solving economic and social problems and seeks to provide analysis in order to improve the public understanding of economics.

The IEA is a registered educational charity and independent of all political parties.

Further IEA Reading: Universal healthcare without the NHS