East Suffolk and North Essex NHS Foundation Trust: Procurement
The question
To ask the Secretary of State for Health and Social Care, whether (a) his Department and (b) the Cabinet Office is required to sign off procurement of services over £20m by the East Suffolk and North Essex NHS Foundation Trust.
Answered by Karin Smyth
The Department is not involved in the approval of the procurement of services by National Health Service trusts. Cabinet Office Commercial Spend Controls require that organisations in scope must provide a pipeline of all future commercial activity that is £20 million or more excluding VAT over the contract life before they publish a procurement or enter into a contract. The Cabinet Office reviews this pipeline and will determine whether activity requires full Cabinet Office review at outline business case and contract award stages.
The Cabinet Office Commercial Spend Controls have operated across Government for some time, but NHS trusts received a healthcare exemption until 2022. This exemption was removed in October 2022, and in agreement with the Cabinet Office, the controls have been rolled out to all NHS trusts over a two-year programme, phased by region. Currently the controls operate across all NHS trusts in six of the seven regions and were rolled out to all NHS trusts in the East of England region, which includes the East Suffolk and North Essex NHS Foundation Trust, in February 2024. Procurements that are live or in development at the point of rollout are deemed out of scope.
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