Measures taken to target “rip-off” staffing agencies used by NHS

The government has announced that sanctions are being put in place to clamp down on expensive agencies being used by the NHS to plug staffing gaps.

A maximum hourly rate will be set and the amount that trusts can spend is to be capped.

£2bn was spent last year on agency staff by NHS foundation trusts in England, which is more than twice the forecasted amount.

Health Secretary Jeremy Hunt said that agency staff costs had spiralled out of control. In one example, the cost to the NHS for an agency nurse was £2,200 for a 12 hour shift, and £3,700 for an agency doctor’s 30 hour shift.

It has also emerged that hospitals are appointing expensive management consultants, which last year cost the NHS nearly £600m.

The sanctions, which will be introduced over the next few months, include placing a cap on all management consultancy contracts of £50,000, and agencies which charge over the rates negotiated by central government will be barred from use.

Mr Hunt said “Expensive staffing agencies are quite simply ripping off the NHS. It is outrageous that taxpayers are being taken for a ride by companies charging up to £3,500 a shift for a doctor.

“The NHS is bigger than all of these companies, so we’ll use that bargaining power to drive down rates and beat them at their own game.”

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Posted by Tony May, Partner/head of Clinical Negligence Department, Chadwick Lawrence LLP (tonymay@chadlaw.co.uk ), Medical negligence lawyers and clinical negligence solicitors in Huddersfield, Leeds, Wakefield and Halifax, West Yorkshire.

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