MPs call for ‘reality check’ on revised 2.0 new hospital programme

Aaron Morby 9 months ago

Spending watchdog MPs have raised doubts about the Government’s ability to deliver its revised hospital programme of 40 new hospitals by 2030.

New Moorfields eye hospital site where work started this summer
New Moorfields eye hospital site where work started this summer

Public accounts committee MPs challenged plans for the revised new hospital programme warning that spending and delivery timeframes ‘didn’t stack up’.

NHS procurement chiefs revealed the new hospital programme was costed on the basis that contractors using modern methods of construction would build 25% cheaper and 20% quicker than previous hospital projects.

But final standardised 2.0 hospital designs will not completed until next May. These are critical because they will rely heavily on offsite assembly and use of repeat components and specifications across the programme.

MPs were also concerned about the further impacts the RAAC concrete crisis would have on the ambitious plans.

At least 23 more hospitals have been identified with RAAC problems needing mitigation works budgeted at £685m on top of the seven RAAC hospitals recently moved into the new hospital programme for complete rebuilds.

PAC chairwoman Meg Hillier warned that the National Audit Office had already declared it believed only 32 hospital could be delivered.

NHS officials said the programme would cost £21bn, although broad costings of the five cohorts of projects to be built added up to £38bn, warned Sir Geoffrey Clifton-Brown MP.

So far the first two hospitals in the new hospital programme – the National Rehabilitation Centre and Moorfield Eye Hospital – are due to be delivered in 2025 and 2027 with the remaining due to be started and completed in the next seven years.

Procurement chiefs are planning to share the vast programme between just four contractors, which Sir Geoffrey warned would cause inflationary pressures.

He called on the NHS chiefs to set out a fully costed and timetable list of projects to clarify the delivery plan.

Shona Dunn, permanent secretary, Department of Health and Social Care, said: “This is a very big and complex major Government programme that is not just building 40 hospitals, it is attempting to shift the way in which we build hospital infrastructure.

“I completely accept therefore this is a period of time at the outset of that major programme where we are delivering hospital 2.0, we are changing the approach to the delivery of that infrastructure and you are quite right to say we rely on that change of approach being successful in order to build to these time frames.

“So what I am saying is the recent past needs not to be an indicator of what happens over the next seven years.”

Commenting on the programme delivery plans, Mark Francois MP said the department’s confidence that it could build the remaining 39 hospitals in just seven years after only delivering one in the first three years “defied logic”

“This is truly worse than the MoD and that is saying something,” he added.


Latest news

McAlpine pulls out of £55m Carlisle Citadels project

University of Cumbria starts hunt for replacement contractor
2 days ago

Strabag UK suffers further big trading loss

Austrian contractor is gearing up for major presence in the UK market
2 days ago

Durham Uni picks UPP for £130m student scheme

Firm will deliver 1,000 self-catered bed spaces
2 days ago

Architects now upbeat after 10-months of work gloom

Larger practices see rising workloads in next three months
2 days ago

Motorist dies after collision with road paver

Police Scotland investigating fatal crash
2 days ago

McLaren Living appoints HG Construction for £69m scheme

Build to Rent scheme will transform former vacant car park site in Leeds city centre
2 days ago

Squibb liquidator probes £2m of “missing” plant

Machinery, cars and scrap metal have disappeared at demolition specialist
3 days ago

Galliford Try to re-enter affordable homes market

Contractor sets out new five-year plan to build margin to 4%
3 days ago

Former Sellar chief to lead civils contractor Kilnbridge

Owen Dannatt joins as new CEO as founder Dermot McDermott becomes Chairman
3 days ago

Hunt starts for nuclear fusion plant construction partner

Fusion energy plant to be built at West Burton coal power station site.
3 days ago

National Grid raises £7bn for big infrastructure upgrade

Rights issue to fund a major round of capital investment in energy infrastructure
2 days ago

Grenfell police probe to last at least until end of 2025

19 companies and 58 individuals could eventually face charges
3 days ago

Mace confirmed on £100m London office retrofit

Work underway on Helical's 100 New Bridge Street job near Ludgate Circus
3 days ago

Wylfa chosen for next big nuclear power station build

Government names Anglesey site for a large-scale gigawatt nuclear power plant.
3 days ago

Bowmer & Kirkland trading profit halves

Contractor buys HVAC specialist Adcock despite challenging market
4 days ago

Piling specialist Van Elle plans further job cuts

Piling specialist plans further cost savings in face of lower demand
4 days ago

Civils contractor A Catlow files administration notice

High voltage cable specialist lodges court notice
4 days ago

Green light for ARC Oxford lab campus

Work to start later this year on £40m Ascent building job
4 days ago

Stonehenge tunnel hit by another legal delay

Court upholds latest appeal against £1.7bn scheme by campaigners
4 days ago

Plans go in for huge Olympic Park construction hub

Bow Goods Yard could deliver 3.5m tonnes of materials a year to sites across London
4 days ago

40% affordable homes target for Labour’s new towns

Labour pledges to select new town sites by end of first year
4 days ago

Plan for £100m Liverpool Baltic station

Construction work could begin next year
5 days ago

Surgo Construction went down owing £4.5m

Biggest creditor is Bellway Homes after dispute on housing job
5 days ago

Vistry seals £157m West London housing deal

Around 575 homes to be built at Merrick Place scheme in Ealing
5 days ago

Streamlined Watkin Jones returns to profit in first half

Multi-room specialist sees secured work pipeline hit £1.4bn
5 days ago

Bellway hires ex-brickie as group construction chief

James Griffin to oversee move to the Future Homes Standard and timber frame.
5 days ago

Persimmon under fire for delays to £10m relief road

West Suffolk Council serves Breach of Condition Notices after timetable slips again
5 days ago

BAM wins £33m Kent secondary school job

Replacement Swanley academy to be built at live school site
5 days ago

Aluminium cladding specialist collapses

Melton Mowbray-based firm worked for several main contractors
6 days ago

Brickwork contractor Lee Marley returns to profit

Affordable and rental homes demand lifts brickwork contractor
6 days ago

Contractor services