Exclusive: Watchdog says new hospital building programme is ‘unachievable’

According to sources, the New Hospitals Programme – which was created to deliver the key manifesto pledge – has been downgraded to a “red” rating by the Infrastructure and Projects Authority following a review of the programme and its leadership.

A spokesman for the Department of Health and Social Care said it was “usual for there to be areas for development at this early stage of the programme”. 

HSJ understands that the IPA has carried out two reviews of NHP in the last six months, with the latest review – completed in July – resulting in the “red” rating.

The previous published rating for the programme was in March this year, when the IPA gave an “amber/red” rating.

According to the IPA’s annual report for 2020-21, an “amber/red” rating means the successful delivery of the project is “in doubt”, while a “red” rating means it “appears to be unachievable”.

The “red” rating means there are “major issues with project definition, schedule, budget, quality and/or benefits delivery, which at this stage do not appear to be manageable or resolvable”.

One source told HSJ the downgraded rating has triggered a further assessment into the performance of the programme’s leadership team. The IPA is also part of this assessment, HSJ understands.

There have been several changes to NHP’s leadership team this autumn in the wake of the IPA’s reviews.

HSJ reported earlier this month that Peter O’Dowd and Morag Stuart were appointed programme director and chief programme officer respectively. Previous programme chief Craig McWilliam announced in summer he was leaving by the end of this year, just 15 months after being appointed.

Another source told HSJ that a Cabinet Official named Becky Wood – a former transport infrastructure chief in Australia - has been drafted in to help NHP’s progress.

The programme’s senior responsible officer is Natalie Forrest, who was appointed to the role last year.

NHS trusts selected to take part in NHP are still waiting for allocated funding to start the construction on their new or refurbished buildings. 

Earlier this year HSJ revealed that trusts had been asked to submit plans to NHP which included cheaper options, while the DHSC has insisted that each project is described as a “new hospital” – despite some projects previously being described as “hospital upgrades” by Boris Johnson or not described as hospitals by the trusts themselves.

The DHSC spokesman said: ”The NHP is addressing the IPA’s recommendations in detail, building on work already underway to develop the programme. We are fully committed to the delivery of all 48 hospitals by 2030, transforming the way we deliver healthcare infrastructure in the NHS.