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NHS trusts turn to ‘no win, no fee’ approach on fraud

BBC Health - 8th October 2009 10:28 am

The NHS is turning to no win, no fee legal representation - despite being a persistent critic of the practice.

The health service has spent the last few years complaining the no win, no fee culture has led to a rise in costs incurred in medical negligence cases.

But the NHS Counter Fraud Service is now embracing the system after reaching an agreement with a law firm in a bid to recoup more money lost to fraud.

About £6m a year is returned to the NHS following legal action against fraudsters - although the true value of the crime is much higher. Fraud cases can run into hundreds of thousands of pounds with some of the biggest crimes involving companies with NHS contracts for things such as cleaning, catering and buying, incorrectly billing for work and health workers, such as GPs, pharmacists and dentists, falsifying charge sheets.

Patient groups accused the NHS of double standards.

Half of the medical negligence cases the NHS deals with now are brought on a no win, no fee basis whereby lawyers get paid only if they win the case, which some believe encourages more legal actions.

Nonetheless, the Fraud Service, which supports individual trusts in bringing action, believes the agreement with law firm Capsticks will help the service recoup money.

Read more at BBC Health.

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