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§ Policy Briefing · 02

NHS and Workforce.

Funding the service the country wants to keep.

Diagnosis: What the NHS Crisis Actually Is.

The political conversation treats NHS dysfunction as a funding question. It is partly that, but the deeper diagnosis is that the NHS suffers from four compounding structural problems that funding alone cannot fix.

1. Workforce crisis. The NHS cannot recruit or retain staff. Junior doctors emigrate (primarily to Australia, Canada, New Zealand, Ireland). Nurses burn out. GPs retire early or go part-time. Social care cannot fill posts at all. This is partly a pay issue but significantly a housing issue: clinical staff cannot afford to live near the hospitals they work in, particularly in London, the South-East, and university-town teaching hospitals.

2. Infrastructure neglect. Hospital estates are physically degrading. Much of the estate is 1960s–70s build with known reinforced autoclaved aerated concrete (RAAC) issues. A&E capacity has not kept pace with population growth. Community health infrastructure (step-down beds, rehabilitation, mental health) has been hollowed out, pushing demand back into acute settings.

3. Procurement and administrative dysfunction. The NHS pays multiples of market price for commodity goods. The Lord Carter reviews documented this for over a decade with minimal follow-through. Consultancy spending has ballooned to ~£2bn/year with unclear value. Private contractors (Palantir, McKinsey, Deloitte, Accenture) have captured functions that should be internal capability.

4. Demographic wave. The baby boomer cohort is entering the high-health-cost years (75+). This is predictable, it is happening, and the system is not sized for it. Social care integration has been promised for thirty years and not delivered.

Funding alone does not fix (2), (3), or (4). A credible NHS platform addresses all four.

Core Policy Platform.

Workforce Expansion and Retention.

Medical education funding

  • Zero tuition fees for UK students entering medical school, dentistry, nursing degrees, and allied health professions (physiotherapy, paramedic science, midwifery, radiography, pharmacy)
  • In exchange: minimum 10-year NHS service commitment post-qualification
  • Tapered clawback if service commitment broken: 100% in first 3 years, decreasing thereafter
  • Applies to new entrants from Y1; existing students offered retrospective conversion with proportional commitment

Rationale: Germany, France, and the US (via military scholarships and HRSA programs) all use variants of this model. The UK currently trains doctors at ~£250k state cost per graduate, then loses 20–30% to overseas emigration within 5 years. Tying the subsidy to service retention is both fair and fiscally rational.

Annual cost: Approximately £2.5bn/year at full scale (all medical and allied health students funded). Phased in over 5 years, reaching £2.5bn by Y5.

Workforce pay uplift

  • Targeted above-inflation pay rises for clinical staff, prioritising shortage specialties (emergency medicine, paediatrics, psychiatry, oncology, general practice, geriatrics)
  • Restoration of junior doctor pay to 2008 real-terms baseline over 4 years (current campaign by BMA)
  • Nurse pay similarly restored to 2010 baseline
  • Social care pay: statutory minimum aligned with NHS Band 3 (currently social care workers earn below median UK wage)

Annual cost: £4bn/year by Y3, scaling to £6bn/year by Y5.

Housing for clinical staff

  • Key worker housing programme integrated with Common's housing construction commitments
  • Explicit priority allocation near major hospitals for NHS staff
  • Shared ownership scheme at concessional rates for NHS staff with 5+ years service
  • This is not a separate spend: it is an allocation rule on existing housing construction programme

Annual cost: Marginal, absorbed within existing housing programme.

Infrastructure and Estates.

Hospital construction and refurbishment

  • RAAC remediation programme (already partially underway, underfunded)
  • New hospital programme: genuine replacement of 40+ hospitals identified as structurally failing (the previous "40 new hospitals" pledge was a political fiction, we need an honest one)
  • A&E expansion in high-pressure trusts
  • Community hospital and step-down bed capacity restoration

Funding source: Capital budget, separated from revenue. Committed £5bn/year capital spend for 10 years, partially funded through the Productive Investment Visa proceeds (productive infrastructure investment qualifies).

Annual cost: £5bn/year capital for 10 years. Revenue implications (staffing, maintenance) approximately £1.5bn/year by Y5.

Procurement Reform.

Immediate actions

  • NHS Supply Chain consolidation: all trusts moved to single procurement framework for commodity goods within 2 years
  • Reference pricing for commodity pharmaceuticals (no trust pays more than reference price; reference price set by independent body benchmarking international prices)
  • Public publication of all NHS contracts above £1m, trust-by-trust, searchable
  • End of "framework agreement" abuse that has allowed inflated pricing

Target saving: £3–5bn/year by Y3, confirmed by Lord Carter reviews as achievable. Credit this as fiscal positive.

Consultancy and Private Sector Reform.

Position

  • Palantir's Federated Data Platform contract: terminated at earliest contractual opportunity
  • McKinsey, Deloitte, Accenture, EY, PwC consultancy engagements: subjected to public-interest review; all non-essential terminated; remaining engagements capped
  • New rule: no consultancy engagement above £1m without published business case
  • Target: reduce NHS consultancy spend from ~£2bn/year to <£500m/year by Y3

Replacement capability

  • Build sovereign NHS data platform internally. We have the skills in NHS Digital, academic centres, and UK tech sector.
  • Partnership with UK-based tech firms (Oxford Nanopore, Cambridge-based firms, academic medical centres) for data infrastructure
  • Explicitly not Palantir, explicitly not US big tech
  • Capital investment £200–400m over 4 years; operational cost £50–100m/year thereafter

Net fiscal impact: Savings of £1–1.5bn/year by Y3 after replacement investment.

111 Service and Patient Access Reform.

Current state: 111 is phone-based, human-operated, inefficient, and creates bottlenecks that push patients to 999 or A&E inappropriately.

Reform

  • Primary access via online symptom assessment portal (using NHS-owned triage algorithms, not third-party)
  • AI-assisted triage for routine symptom assessment, with human escalation
  • Phone service maintained for accessibility (elderly, disabled, non-English speakers)
  • Direct booking of primary care appointments and urgent care slots from the portal
  • Integration with GP practice records (subject to patient consent)

Technology approach

  • Built in-house via NHS Digital / sovereign capability
  • Explicitly not procured from US big tech or Palantir-style vendors
  • Open standards, auditable, under UK data jurisdiction

Annual cost: £200–400m capital, £100–150m/year operational. Offset by reduced 999/A&E pressure (estimated saving £300–500m/year at steady state).

Social Care Integration.

Position: Genuine integration of health and social care funding, under NHS strategic direction but with local commissioning.

Mechanism

  • Unified budget at Integrated Care System (ICS) level
  • Social care workforce integrated into NHS pay bands and professional development
  • End of the perverse incentive where hospitals cannot discharge because social care cannot accept
  • Care at home as default, residential care where clinically needed

Annual cost: £3–5bn/year additional by Y5. This is real money and we are committing to it.

Social care reform has been promised by every government since Blair. The reason it has never happened is that it is genuinely expensive and politically thankless. Our position is that it is required, and we will pay for it. The LVT receipts scaling over time fund this directly: this is what the scaling commitment referenced.

Cost Summary and Headroom Impact.

Annual spending commitments.

ItemY1Y3Y5Y10
Medical/nursing education (net of saved training costs)£0.5bn£1.5bn£2.5bn£2.5bn
Workforce pay uplift£2bn£4bn£6bn£6.5bn
Hospital capital (rev + cap)£5bn£5.5bn£6bn£6bn
Procurement savings (credit)−£0.5bn−£3bn−£4bn−£4bn
Consultancy savings (net of replacement)£0.2bn−£1bn−£1.2bn−£1.2bn
111 / digital reform£0.3bn£0.1bn−£0.2bn−£0.2bn
Social care integration£1bn£2.5bn£4bn£5bn
NET ANNUAL SPEND£8.5bn£9.6bn£13.1bn£14.6bn

Comparison to commitment envelope.

  • Committed: £10bn/year Y1, scaling with LVT receipts
  • Y1 actual cost: £8.5bn, under envelope, buffer available
  • Y3 actual cost: £9.6bn, within envelope
  • Y5 actual cost: £13.1bn, requires +£3bn scaling from LVT receipts (plausible, LVT is fully operational by Y5)
  • Y10 actual cost: £14.6bn, requires +£4.6bn scaling (comfortable within £46bn headroom)

Headroom impact.

Starting adjusted headroom: Y5 ~£19bn / Y10 ~£46bn. NHS commitment: Y5 ~£13bn / Y10 ~£15bn. Remaining headroom after NHS: Y5 ~£6bn / Y10 ~£31bn.

This is tight at Y5 but workable at Y10. Significant remaining spending commitments (defence, police, legal aid, nuclear) must fit within remaining £6bn Y5 / £31bn Y10.

Risks.

Workforce pay uplift risk: The £6bn/year by Y5 is at the low end of what the BMA, RCN, and social care sector are demanding. If pay demands escalate (strikes, political pressure), this number rises. Commitment capped at "restoration to baseline year X" rather than open-ended commitments.

Construction bottleneck: £5bn/year hospital capital depends on construction capacity. Our industrial policy is building this capacity, but Y1–Y3 capital spend may be constrained by deliverability rather than money.

Social care demand: Demographics mean social care demand will rise throughout the parliament regardless. The £4bn/year Y5 figure is a commitment level; the actual need may be higher. Explicit commitment to "fund to need, capped at £5bn by Y5" with mechanism for review.

Palantir contract exit: Depending on contract terms, early termination may carry penalties. Budget £100–200m as contingency for exit costs.

Political risk on waiting lists: NHS performance will not improve immediately even with all this investment. Staffing takes years to train; construction takes years to deliver. We will be in office 2–3 years before the benefits become visible. A clear communication strategy manages expectations without undermining the investment case.

Strategic Framing.

The NHS is politically owned by Labour. Any new party attempting to displace Labour needs a credible NHS offer that is neither "more money" (which voters don't believe) nor "reform it" (which voters hear as "destroy it").

Common's pitch is: "The NHS has been starved of investment and captured by consultants. We'll pay it properly, build what it needs, kick out the parasites, and give it back to the people who actually work in it."

This lands differently from either existing party's offer. It is pro-worker (pay rises, proper training funding), pro-patient (infrastructure, access reform), anti-establishment (consultancy purge, Palantir out), and rooted in the housing theory (key worker housing, social care integration). It also costs real money and we are committing to it honestly, which distinguishes us from Reform's approach.

The candidate pitch to NHS staff writes itself: "We will pay you properly. We will build you the facilities you need. We will get the management consultants out of your way. And we will house you near the hospitals you work in. That's the deal."

COMMON
Policy Briefing · 02 · v0.1
A country held in common.