COMMERCIAL: Monitor will not investigate the awarding of a £190m mental health contract in Yorkshire, despite saying the commissioner ‘could have done more to mitigate a conflict of interest’.

As reported last month, Leeds and York Partnership Foundation Trust wrote to the regulator with its concerns about a tender process run by Vale of York Clinical Commissioning Group.

The five year contract was awarded to Tees, Esk and Wear Valleys Trust.

Leeds and York Partnership NHS Foundation Trust

Leeds and York Partnership will prepare to transfer services to TEWV

Leeds and York’s concerns focused on the CCG’s mental health lead, Louise Barker, who was a member of the assessment panel despite her partner working as a consultant psychiatrist for TEWV.

Monitor said in a statement: “We looked into this complaint and it does appear that the commissioner could have done more to mitigate a conflict of interest.

“We will reflect the lessons from this matter into our future advice to CCGs and NHS England to make sure conflicts are better managed across the system in future.

“However, we have to use our resources in a way that has the greatest benefit for patients and having looked at this complaint it doesn’t seem like there is much to gain for local patients by investigating formally – from the information we’ve seen it looks like both trusts involved are able to provide a good service to patients.”

Leeds and York chief executive Chris Butler said he was “surprised and concerned” by Monitor’s response, but his staff would continue to prepare to transfer services to the new provider.

A CCG spokeswoman said “categorically” that Dr Barker’s partner has not been involved in or directly benefited from the procurement. She said it was “not true” that Dr Barker’s conflict of interest was not registered in every meeting where the procurement was discussed, as had been claimed.

Asked to respond to the claim that Dr Barker’s assessment scores for TEWV were “significantly higher” than those given by other panel members, the spokeswoman said five out of nine panel members had given TEWV higher scores.

She said the margin between the combined final scores for the two bids, which accounted for quality and financial aspects, was 0.5 per cent.

The contract, which covers mental health and learning disability services in the Vale of York, was awarded in May and takes effect from 1 October.