The 10-Year Health Plan seeks to introduce a wide range of reforms to NHS resourcing and budgets. These include significant financial restructuring, funding reforms, an entirely new operational framework, and updated workforce contracts.
Among these, funding reforms stand out, particularly the shift towards value-based funding. Central to this is the introduction of Value-Based Procurement (VBP), a purchasing model that prioritises procuring products, including MedTech, based on their effectiveness for patients rather than their upfront cost.
The Department of Health and Social Care (DHSC) is currently developing formal VBP guidance, expected to be published and implemented in spring 2026. As part of the preparations, DHSC has also announced the launch of 13 pilot projects across various NHS Trusts.
Early VBP trials have shown promising results, suggesting that VBP can deliver safer, more productive patient care while also enabling faster and more accurate diagnostics. This has a direct impact on the wider healthcare system: patients are discharged sooner, staff time is freed up, and the overall systems sees improvements.
However, successful adoption across the NHS is not guaranteed. For years, Integrated Care Boards (ICBs) and NHS Trust leaders have been encouraged to cut costs. In procurement, this often meant buying the cheapest product, regardless of whether its lower upfront cost would negatively affect patients and the wider healthcare system in the long term.
For example, opting for a cheaper absorbent pad might reduce spending in the short term. However, a lower-quality pad could be less absorbent or uncomfortable for patients, leading to secondary consequences caused by inadequate care management: patients may experience leakages, skin irritation, urinary tract infections (UTIs), and other complications. As a result, they may need to visit their GP or be readmitted to hospital, further increasing pressure on the healthcare system. In addition, patients may experience emotional distress – such as embarrassment or frustration – due to these preventable issues.
By contrast, if procurement teams prioritise selecting the most suitable pad for each individual based on clinical need rather than cost alone, patient outcomes could improve significantly. For instance, better absorbency reduces the likelihood of leakages, meaning staff spend less time changing pads or bedding. Similarly, if patients experience fewer UTIs because they are using a product suited to their specific needs and preferences, they will require fewer GP visits or hospital admissions.
While the development of VBP is welcome, its acceptance across the wider NHS remains uncertain. After a prolonged period during which ICBs and NHS Trust leaders have been instructed to reduce costs, including in procurement, where the cheapest option has often been prioritised, the introduction of VBP risks failure if proper training and behavioural change initiatives are not implemented across the workforce.
VBP may lead to a slight increase in costs at the procurement stage. However, its benefits are realised across the wider healthcare system and may not always be immediately visible within the department making the purchase. This underscores the need for a comprehensive workforce training programme – encompassing everyone from ICB and NHS Trust leaders to frontline clinicians – to ensure they understand what VBP is and the advantages it brings. Such training will help ensure that VBP guidance is effectively adopted throughout the NHS.
Experts in effecting change
At Whitehouse Communications, we bring deep expertise in health policy consultancy, partnering with organisations across the public, private and third sectors to influence strategy, shape regulation, and drive innovation in healthcare.
Our team understands both the policy landscape and the transformative potential of VBP to improve health outcomes across the UK.
Explore our case studies to learn more about how we’ve helped clients navigate complex policy challenges. If you’re looking for strategic support in health policy and communications, check out our health and social care services.
