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Tuesday 25th June 2019

Hospital productivity falls

17th December 2010

A National Audit Office report has found that productivity in the NHS has decreased over the last ten years.


The NAO report also revealed that billions of pounds meant for improvements to hospitals has been spent on salaries. 

The report concluded that "the measure of output per pound spent" had gone down by 14% since 2000.

Over that decade the annual budget for the health service had gone up from £60 billion to £102 billion, an increase of 70%.

The report, Management of NHS Hospital Productivity, said that the health service's output did not tally with the amount of funding it received.

It said that productivity, defined as "the ratio between the volume of resources going into the NHS and the quantity of healthcare provided by the NHS", had decreased.

Amyas Morse, head of the National Audit Office, said: "Over the last 10 years, there has been significant real growth in the resources going into the NHS, most of it funding higher staff pay and increases in headcount."

"The evidence shows that productivity in the same period has gone down, particularly in hospitals."


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