• Favoured bid for MCP contract will be one which does not seek “excessive” profit says vanguard CCG
  • Dudley CCG sets out proposed service scope for MCP
  • CCGs will be able to terminate MCP contract if provider is not achieving agreed outcomes
  • Some adult social care and public health services to be included in MCP scope

The lead commissioner for a multispecialty community provider has said the successful bid for its multimillion pound contract is likely to be one that does not seek ’excessive’ profits and reinvests in the local health system.

In a consultation document published last month, Dudley Clinical Commissioning Group has said the preferred bidder for its MCP contract will be one that does not seek a “significant” profit.

The CCG also revealed details of the proposed MCP service scope, which is set to include some adult social care services, some public health services and almost all services provided by Dudley and Walsall Mental Health Trust.

Dudley CCG said earlier this year that it intends to start the procurement process for a MCP contract worth £244m a year, with the aim to have it signed by 1 April 2017.

The document, published on 29 September for an extraordinary board meeting, said: “Under the terms of the MCP contract, the provider would not be permitted to make excessive profits.”

Dudley CCG chief executive Paul Maubach told HSJ the CCG will not set profit margins for the contract at this stage, but “the provider that is most successful in the bid is probably going to be one that is not going to be seeking to generate significant profit”.

“We’re not saying at this stage that we exclude the opportunity of profit but when we go through the process of evaluating the response to our procurement, we are going to look for an organisation which is not geared towards making profit but is going to plough all of that back in to our local health system,” he added.

The draft procurement document said the winning provider will be expected to bear financial risk and the CCG will be able to “to impose sanctions and fines, and could ultimately choose to terminate the contract if the provider is not achieving the required outcomes”.

Also included is the proposed service scope for the MCP provider. It is intended that the following services will be included:

  • All mental health services provided by Dudley and Walsall Mental Health Trust, excluding inpatient bed services that will be subcontracted to the MCP.
  • All learning disability services provided by Black Country Partnership Foundation Trust.
  • Some adult social care services, which will be phased in over the contract period.
  • Some public health services, including health visiting and family nurse partnerships, sexual health services, substance misuse detox beds and NHS health checks.

HSJ understands that some responsibility for commissioning adult social care services will be delegated to the MCP provider by Dudley Borough Council, while the budget for other services will remain with the council. Dudley CCG is in discussions with the council over the potential secondment of their adult social care team to the MCP provider.

Whether the MCP will provide mental health and learning disability services or subcontract them will depend on the winning bid.

The CCG said there is no “legal barrier” to a non-NHS or out of area provider bidding for the contract but “any bidder for the MCP contract will require the buy-in of local GPs in order to be considered”.

Mr Maubach said: “The way in which we will be procuring [the contract] will give the flexibility to either be fully or partially integrated. The process does not require all practices on day one to decide to become fully integrated…

“It is perfectly possible for practices to choose not to participate but I think when they see what the benefits are to them as an individual practice from being a member of the MCP, I would be very surprised if the vast majority don’t want to be included.

“If there are any that choose to exclude themselves from it then they are still entitled to their GMS contract and the MCP will just wrap services around the practice.”