ICB pays consultants £230,000 to help it escape deficit

Mid and South Essex ICB has spent £230,000 on PA Consulting in a contract spanning two months’ work, according to a notice published this week.

The firm has been hired as a “strategic partner” to develop a medium-term plan for the system.

It aims to “develop options for the future of health and care in Mid and South Essex, to support the system to improve its financial position and [to] support Mid and South Essex Foundation Trust to exit NOF4”.

The acute trust was placed in level four of the national oversight framework – which replaced “special measures” and involves “mandated intensive support” – last year, due to financial problems.

The system was one of the first nine to have consultants sent in by NHS England to tackle overspending under the national “investigation and intervention” regime, early in 2024-25. A contract notice shows a different firm, PwC, was paid £200,000 for this work.

The ICB told HSJ the new contract with PA Consulting would build on recommendations from the urgent review of its finances carried out by PwC, which focused on interventions and help to deliver its financial plan this year.

The PA work, meanwhile, will create a three- to five-year plan “to address clinical, operational, and financial sustainability across the wider system”.

The ICS is planning a £96m deficit at the end of 2024-25, which has been covered by additional NHSE “deficit funding”, but had further overspent against this plan by just under £30m, at the end of 2024. 

MSEFT was also approached for comment.