A large NHS body has spent millions of pounds on management consultants for a plan designed to save money – but which could cost more than £1bn to put into practice.
Over the past six years, the North West London Clinical Commissioning Groups has spent £66m on 41 different management consulting firms – including the big four: McKinsey, EY, Deloitte and PwC – for a five-year programme to improve healthcare in the area while closing a £1.4bn budget gap forecast by 2021. However, costs have ballooned and the trust said it now needs £1.3bn to implement the programme. It declined to quantify the savings that have been made to date.
It is just one example of the huge sums being spent on management consultants across the health service, despite growing concerns that they do not deliver value for money. Research from the University of Bristol and Warwick Business School suggested higher spending on management consultants made hospital trusts less, rather than more, efficient….read more
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