National bodies avoid revolt over 2016-17 tariff

Monitor and NHS England said on Friday that the objection threshold, for the proportion of organisations rejecting the tariff offer, had not been met following a consultation.

The tariff offer for 2015-16 was rejected by the provider sector, which forced an improved offer and around 30 trusts remaining on prices from the previous year.

However, next year’s proposals were more favourable for providers, following the frontloaded settlement for the NHS in November’s comprehensive spending review.

The Department of Health had also moved to increase the objection threshold, effectively withdrawing the veto power held by providers.

National tariffs set many of the prices under which providers are paid for the care they deliver, and govern a large proportion of their income.

The proposal for 2016-17 would increase the operating revenue for most trusts by an average of 1.6 per cent, with a range between 0.5 per cent and 2.3 per cent.

For the 30 trusts that remained on 2014-15 prices this year, which are mainly providers of specialised services, the average increase would be 2 per cent, with a range between -0.3 per cent and 3.8 per cent.

Although the objection threshold was not met, there could still be some changes to the proposals as a result of the consultation responses.

A statement published on the consultation website said: “We can confirm that the statutory objection thresholds have not been met.

“We are currently reviewing all of the responses with a view to publication of the 2016/17 tariff which will offer stability for the NHS. We will continue to keep you updated as the process develops.”

Responses are still being analysed, so details of the number of objectors have not been disclosed.