London Daily

Focus on the big picture.
Sunday, Oct 11, 2026

Non-NHS healthcare providers given £96bn in a decade, says Labour

Non-NHS healthcare providers given £96bn in a decade, says Labour

Exclusive: Analysis reveals amount of money flowing to for-profit firms, voluntary groups and not-for-profits
More than £96bn of health service funding has gone to non-NHS providers of care over the last decade, including private firms such as Virgin Care, research has revealed.

The amount of money flowing out of the NHS in England to for-profit companies, voluntary groups and not-for-profits has grown from £8.4bn in 2010 to £14.4bn last year – a 72% jump.

Private firms received £9.7bn of that £14.4bn for undertaking work such as planned operations, CT and other diagnostic scans, and community services such as district nursing, according to the Labour party analysis of NHS England’s annual reports and summarised accounts.

Justin Madders, a shadow health minister, said: “It’s clear that under the Conservatives, spending on private health companies has spiralled out of control.”

He said the £14.4bn figure represented 11.7% of the NHS’s total operating budget for 2019-20.

The true total for the decade will be higher than the £96.99bn identified by Labour as it found no available figures for 2011-12 and 2012-13. Given the £8.4bn figure for 2010-11, the headline total is likely to be well over £100bn.

The coronavirus pandemic and a 4.7 million-strong waiting list of patients needing hospital treatment, mainly surgery, is forcing NHS England to use the private sector more and more. Last year it signalled its intention to spend up to £10bn over the next four years outsourcing work to private firms in an effort to reduce delays for treatment such as hip and knee replacements, cancer care and cataract removals.

The proposed spending is less than the £400m a month the Treasury handed to the private sector in the early months of the pandemic last year. The NHS in effect block-booked the entire capacity of private hospitals – beds, equipment and staff – as a way of maintaining normal care while NHS facilities focused on treating people with Covid.

Doctors say patients who needed vital care quickly got it as a result, especially time-sensitive cancer and heart procedures. The NHS in London sent more patients to private hospitals than any other part of the country.

However, neither NHS England nor the private sector have published a detailed breakdown of how many health service-funded patients were treated in independent healthcare facilities, and the Treasury was so concerned about under-utilisation of such a costly contract that last year it refused to renew the deal on the same terms.

Boris Johnson and the heath secretary, Matt Hancock, have repeatedly pledged there will be no further privatisation of the NHS and that it is not for sale. The forthcoming NHS bill, due to be included in the Queen’s speech on 11 May, will contain proposals to scrap duties imposed on the NHS in England by the Health and Social Care Act 2012 to tender a wide range of contracts.

Labour’s analysis shows that the amount of the health service budget going to non-NHS providers has gone up every year since 2010, and notably after the 2012 legislation took effect in 2013. For example, the total of £11.5bn spent that way in 2014-5 was up £1.4bn, or 12%, on the year before.

Opinion polls have found that voters of all party allegiances oppose NHS care being outsourced. Last week dozens of MPs from across the major parties, including the Conservatives, attended a briefing on the issue by the campaign group EveryDoctor, a network of grassroots doctors.

Dr John Lister, the secretary of Keep Our NHS Public, said: “Upwards of £97bn has been literally siphoned out of an already inadequate budget, leaving NHS performance falling further behind. The reliance on private providers fragments and weakens the NHS, most notably in mental health where the extent of private provision is greatest, but also in elective surgery and many community health services.”

A government spokesperson said: “We have been always been clear that the NHS is not and never will be for sale to the private sector. The health service will always be free at the point of use and no one will ever be excluded from treatment because of the cost.

“Spending on healthcare by commissioners with non-NHS bodies, as quoted, includes spending with charities and local authorities, not just private-sector providers. All healthcare providers are legally required to register with the Care Quality Commission and follow a set of fundamental standards of safety and quality. Their sole focus is the delivery of high-quality medical care for anyone who needs it.”
Newsletter

Related Articles

0:00
0:00
Close
UK Government Rejects US-Russia Diesel Agreement and Reaffirms Sanctions Against Moscow
UK and Germany Agree to Deepen Security and Economic Cooperation Following Berlin Talks
British Prime Minister Burnham Pledges Closer EU Ties During Visit to Germany
UK Announces New Sanctions on 17 Russia-Linked Entities During Foreign Secretary's Ukraine Visit
UK and Germany Finalize Kensington Treaty to Strengthen Defense and Technology Cooperation
Britain Maintains Diplomatic Mission in East Jerusalem Despite Israeli Closure Deadline
English Councils Push Government to Rethink Proposed Funding Cuts
Scottish Homebuilding Falls to Lowest Level in 11 Years
BBC Chief Matt Brittin Defends Restructuring as Staff Challenge Job Cuts
UK Finance Warns High Energy Costs and Bond Yields Are Complicating Fiscal Outlook
UK Adopts All 44 Recommendations on Regulating AI in Healthcare
Chancellor John Healey Prepares Autumn Budget as Borrowing Costs Strain Public Finances
UK Investigators See Strong Indications of Iranian Link After RAF Fairford Security Operation
Laura Trott Pledges Tighter Controls on Political Activism in UK Classrooms
Welsh Ministers Launch Long-Term Review of North Wales and Anglesey Crossings
Welsh Government Orders 18-Month Study of Road Solutions Around Newport
Reform UK MP Sarah Pochin Faces Scrutiny Over £800,000 Second Home Purchase
British Households Grow More Concerned About Fuel and Energy Prices
NHS Leaders Warn of Rising Winter Pressure on Emergency Departments
Kemi Badenoch Proposes £2.3 Billion Employer National Insurance Cut for Young Workers
Middle East Conflict Could Erase UK Fiscal Headroom, Economists Warn
Manchester City Found Guilty of Multiple Premier League Financial Rule Breaches
UK Security Services Find Strong Indications of Iranian Role in RAF Fairford Incident
Costa Coffee Returns to Operating Profit on Iced Drinks and Menu Changes
Asos Warns Customers After Unauthorized Access to Retail App and Data
Kemi Badenoch Puts Growth and Deregulation at Center of Conservative Conference
Campaigners Warn of Deepening Social Care Crisis for Disabled Adults
Study Finds Rising Early-Onset Cancer Rates Among Adults Under 50 in Britain
UK Coach Operators Warn High Diesel Prices Could Force Route Cuts
FCA Opens Independent Review Into Handling of Epstein-Linked Whistleblower Case
Argentina Vows to Block Falkland Islands Offshore Oil Development
UK Chancellor Prepares Fiscal Measures and Welfare Reforms Ahead of Autumn Budget
Sainsbury’s and Morrisons Explore Potential Multi-Billion-Pound Merger
UK Weighs Tariffs on Chinese Electric Vehicles to Align With European Union
UK Threatens Diplomatic Expulsions Over Planned Closure of East Jerusalem Consulate
UK Energy Price Cap Hits Three-Year High as Middle East Conflict Raises Costs
Seventh Arrest Made in Suspected Terror Plot at RAF Fairford
Systemic Education Collapse Sparks Mass Student Uprisings in France
Green Party Faces Backlash Over Resolution Equating Zionism With Racism
Conservatives Debate Scrapping Environmental Rules for New Homes
Cornwall Insight Warns UK Energy Bills Could Approach £2,000 This Winter
UK Coach Operators Warn of Service Cuts as Diesel Prices Exceed £2
Scottish Parliament Approves £68 Billion Budget With New Tax and Property Measures
FCA Opens Independent Review Into Handling of Epstein Whistleblower
UK Government Drops Plan to Suspend Jury Trials in England and Wales
Bank of England Holds Interest Rate at 3.75% as Markets Watch November
Two Iranian Nationals Charged Over Alleged Plot Targeting Manchester Jewish Community
UK Fiscal Headroom Halves to £11 Billion Ahead of Budget, EY Warns
US Bomber Withdrawal From RAF Fairford Prompts UK Security Review
Sarah Wakfer Appointed Chair of Northern Ireland’s Health and Care Regulator
×