Proposals for the future of the hospital

In February 2007, Cambridgeshire Primary Care Trust (now known as NHS Cambridgeshire) launched a public consultation to look at how hospital services might be delivered in Huntingtonshire. 

The consultation ran until May 2007, and the outcome was a commitment that a full range of high quality acute hospital services, including A&E and maternity, will continue to be provided for local people at Hinchingbrooke.  As well as securing the future of services provided by Hinchingbrooke hospital, the consultation also identified that different management arrangements would be required in the future.

A summary of the 2007 consultation can be found in the Information Centre, by clicking here, or by calling freephone 0800 923 3001.

The preferred option for future management arrangements - the operating franchise

Senior staff from across Hinchingbrooke hospital, including clinicians, worked with NHS Cambridgeshire, NHS East of England and the Department of Health to analyse a range of possible management options.  An operating franchise was seen to be the preferred option.

The proposed operating franchise is unique and will have to be created by an Intervention Order, signed by the Secretary of State for Health. Under the Order, Hinchingbrooke Health Care NHS Trust will enter into an agreement with a third party (the franchisee) which will then have operational control of the hospital.  While the franchisee would have management control of the staff and assets, both will remain within the remit of the NHS. The franchise will last for a limited period, the exact length of which is still to be established. Patients wil continue to receive NHS services.

Identifying an organisation to operate the franchise is involving a competitive process, which has been open to both the NHS and the independent sectors, and should ensure that the best deal is identified for patients and the taxpayer – delivering safe and sustainable services to the people of Huntingdonshire.  It will also ensure that both staff and assets are protected.

This preferred option has been presented to the local Overview and Scrutiny Committee, responsible for identifying whether changes to health services are in the best interest of local people, and publicised in the local press. The Department of Health gave its permission to the NHS East of England Strategic Projects Team to develop the detail of the franchise.  The exact nature and scope of the proposed operating franchise is being developed in response to feedback from the public and organisations seeking to become the partner of Hinchingbrooke hospital.

The organisation that wins the franchise, the franchisee, will be required to continue to deliver the full services that are currently being provided and enshrined in the 2007 consultation for as long as they are commissioned by NHS Cambridgeshire. The franchisee will also need to offer flexibility to accommodate evolving needs and requirements.

Services provided by other organisations on the Hinchingbrooke site under contract to NHS Cambridgeshire, such as Cambridgeshire Community Services, are not included in this franchise.

Any changes in the scope of services will be subject to a separate public consultation.

It is currently anticipated that the:

• franchise contract will be for a minimum of seven years.
• franchisee will pay an annual fee which will be used to reduce the existing NHS debt.
• franchisee will not be able to make material decisions which may affect the long term viability of Hinchingbrooke hospital, like the sale of land, without Trust Board specific approval.
• franchisee will operate by the same rules as an NHS provider and not be given guarantees of future revenue by the NHS.
   

The proposal does not mean that Hinchingbrooke hospital is being privatised.  The land and assets are not being sold, and staff will continue to be employed by the NHS.  An operating franchise will not change the fact that it is an NHS hospital and patients will continue to receive free healthcare as part of the NHS at Hinchingbrooke.

The franchise proposal will transfer responsibility for service delivery - finding ways to improve patient experience and make the healthcare services more efficient.  The franchisee will be expected to achieve the same quality of care as the hospital is currently obliged to deliver, but will also be expected to promote further beneficial innovation at Hinchingbrooke.  Bidders for the franchise are being expected to suggest new ideas for how to better manage the hospital, and these ideas are being assessed as one of the factors in selecting the appropriate partner for Hinchingbrooke.

The franchisee will be subject to robust and regular reviews, like all other hospitals.
 

The role of the Secretary of State

A contract delegating functions from Hinchingbrooke Health Care NHS Trust to the franchisee can only be lawfully entered into by the Secretary of State, using an Intervention Order.  This Order specifies which functions of the Trust will be performed by the franchisee. The franchisee would then be able to conduct the health service functions on behalf of the Trust. The franchisee would have to comply with the same legal requirements as other NHS providers, and also with any particular provisions of the franchise contract or which are  specified in the Intervention Order.

How the process works

An open and transparent competitive market tender is taking place to find the best partner to operate a franchise for Hinchingbrooke hospital.

Organisations seeking to become the franchisee are having to demonstrate their capability in the healthcare sector and make bids showing how they intend to best deliver the current (and any suggested additional) services at Hinchingbrooke. If no acceptable partner is found, the franchise will not go ahead and an alternative solution will be sought.

So, who is bidding? 

To see more about the organisations bidding, visit the press release page, by clicking here.
 

Scenes from Hinchingbrooke hospital