News From The Web

Non-medical NHS staff are being transferred to subsidiary firms in bid to make savings

Growing numbers of hospital trusts are transferring staff into newly created private subsidiary firms in a move health unions warn will create a “two-tier workforce” in the NHS.

NHS trusts are starting to see subsidiaries as a way of saving money after seven years of below-inflation annual budget increases and mounting financial problems due to an increased demand for healthcare.

Nineteen NHS trusts in England have already established a wholly owned subsidiary and begun transferring thousands of non-medical staff to them.

Sixteen other trusts are considering doing the same in a fast-growing change in practice that they insist is intended to save money as employers, especially through paying less VAT.

Read more in The Guardian.

Bookmark and Share

Post a Comment

Enter this security code

Submit Comment for Moderation