At the recent British Healthcare Trades Association (BHTA) Conference 2024, Barney Willis, Deputy Head of Life Sciences at the Department for Business and Trade (DBT), explained how DBT provides practical support to UK medtech SMEs with exporting.
The BHTA Conference 2024 focused on the UK healthtech landscape over the next five years. It was a chance for BHTA members to hear from senior government and NHS speakers about how the changes made today will impact the future of the health service.
Barney began by explaining what the DBT does. The department brings together business and trade in a single department. Export and investment are the two pillars of the department. DBT also opens up new markets for businesses by removing barriers and negotiating trade deals, which can lead to practical opportunities opening up.
Barney provided some insightful UK medtech sector statistics. See them in the slide below.
Despite the UK having an innovative, productive, and fast-growing medtech sector, UK medtech exports are low relative to international comparators, he said. The UK imports more than it exports.
The key point from Barney’s presentation is that the DBT provides practical advice and support to SMEs to help them grow and export, which involves non-stop engagement. Barney outlined some of the practical support available to SMEs in the slide below.
Barney said: “We will competitively recruit between 10 and 14 companies, which will be UK SMEs that have got something competitive that we think has a chance of being successful in an overseas market.
“For example, I’m flying to Saudi Arabia with about 10 companies, which we recruited from across the assistive tech and medtech sectors, and we will use the convening power of the British Embassy to get them into rooms they wouldn’t otherwise get into.”
Importantly for SMEs, DBT has a network of international trade advisers across the south, midlands, and north of England, Barney explained. These advisers provide businesses with free and impartial export support. Additionally, they can help firms develop their export strategy, access masterclasses, link firms to specialist export advisers, and help firms make the most of DBT’s global network so they can grow their business overseas.
DBT’s overseas network spans over 100 markets with a global reach in more than 170 countries. These include Canada, the US, Germany, UAE, Japan, Spain, New Zealand, China, and more.
Barney added: “DBT has embedded staff in most of the markets you’re likely to care about, and certainly the large ones. These will be, in many cases, specialists who know the sector in their country. They will often be locally engaged.”
At the recent British Healthcare Trades Association (BHTA) Conference 2024, Andrew New, CEO of NHS Supply Chain, explored how NHS Supply Chain will change over the next five years to make it better to work in and with.
The BHTA Conference 2024 focused on the UK healthtech landscape over the next five years. It was a chance for BHTA members to hear from senior government and NHS speakers about how the changes made today will impact the future of the health service.
Andrew explained the fundamentals of the organisation: “NHS Supply Chain exists to try to simplify the way marketplaces work; to try to engage trusts on a collective basis so we get consistent decision-making, and it’s not sporadic as it has been historically; and to make these markets work more effectively.
“We’ve been doing a lot over the last year or so to reorganise the way we work at the same time as continuing to run very fast in delivering the benefits that all of our supply base offer to the NHS. None of this can be done without the whole system working together, and that’s a key principle of everything we’ve done.”
Andrew highlighted that NHS Supply Chain initially started out doing a fantastic job of focusing on what it was asked to do but not doing the job the NHS needs in the future. The slide below details some of the areas where NHS Supply Chain has built on solid foundations to ensure it is fit for the future.
In one year, NHS Supply Chain and suppliers have achieved a lot, Andrew explained. Headline achievements include:
He underlined that there is an opportunity to save £40 million across the NHS, but there is a backlog of work, and it requires clinical intervention.
Andrew shared NHS Supply Chain’s strategy and corporate priorities. See the slide below for further details.
One key point from Andrew’s presentation was around NHS Supply Chain’s work to enhance the clinical voice across the organisation.
“We need to enhance that voice both in the conversations we have with trusts as well as with suppliers,” he continued. “We’ve brought in a new national clinical director, Michelle Johnson, who is bringing together a clinical community to make sure we have clinically led decision-making everywhere. That is hugely valuable to us as an organisation, and we’re already seeing the benefits.”
NHS Supply Chain is going to clinically segment products in terms of priority, importance, value, and making a difference in healthcare outcomes. The organisation also wants to simplify prices so that there are not 10 different prices for the same thing.
See the slides below for an outline on the work NHS Supply Chain is doing to transform its commercial capabilities, strengthen the supply chain, and improve processes.
At the recent British Healthcare Trades Association (BHTA) Conference 2024, Fiona Hilton, Director of Commercial Best Practice & Engagement for NHS England, discussed The Procurement Act 2023 and the Strategic Framework for NHS Commercial.
The BHTA Conference 2024 focused on the UK healthtech landscape over the next five years. It was a chance for BHTA members to hear from senior government and NHS speakers about how the changes made today will impact the future of the health service.
Fiona highlighted the NHS Commercial portfolio and how it all links together. This revolves around four central initiatives: the NHS Central Commercial Function (CCF) service offers, the Commercial Efficiencies Programme, the Procurement Act, and the Strategic Framework for NHS Commercial. See the slide below for further details.
“We’re trying to link the NHS much more into how the whole of central commercial government works, so that we can collaborate and engage with some of the standard practices that are already in place,” Fiona said.
One key point from Fiona’s presentation is that healthcare procurement is set to transform in 2024 with the introduction of two new procurement regimes: the Procurement Act 2023 and the Provider Selection Regime (PSR).
Fiona emphasised that the NHS believes that the Procurement Act 2023 is key to transforming procurement in the medtech sector. The Act will go live on 28 October 2024.
“We believe that the Procurement Act is a fundamental catalyst to enable change,” added Fiona. “It’s really key for us to be able to establish what we want to do on innovation, working with SMEs, and enabling greater transparency with our suppliers.”
The Procurement Act 2023, she said, will introduce a new competitive and flexible procedure that will enable the NHS to work innovatively and faster with suppliers. It simplifies the regulations that govern public procurement and promises increased commercial flexibility.
Additionally, within the Act, the Competitive Flexible Procedure will allow contracting authorities to design processes that best suit their needs, rather than follow suboptimal standardised procedures.
Importantly, Fiona stressed that the Act will give the NHS an enhanced to take into account poor performance suppliers and the potential debarment of those that do not improve, which will help the NHS improve outcomes.
Additionally, Fiona encouraged medtech suppliers to become familiar with the PSR, which launched in January 2024. It represents a new set of rules governing healthcare services in England. The PSR exempts healthcare contracts from the formal public procurement regime. Fiona added that the regime enables a more flexible, proportionate process when awarding healthcare contracts.
Another important topic from the presentation was around the Strategic Framework for NHS Commercial, which aims to be globally renowned, supporting the delivery of the world-class Commercial Function in healthcare, in patient care, and in outcomes. See the slide below for more information.
Fiona explained: “The Strategic Framework was put together originally in order to be able to support the whole of commercial healthcare for outcomes, not just about value for money upfront. It was about benefitting the whole of the life cycle, and the outcomes across all of commercial.”
At the recent British Healthcare Trades Association (BHTA) Conference 2024, David Lawson, Director of MedTech for the Department of Health and Social Care (DHSC), presented an engaging presentation on value-based procurement and a MedTech Strategy update.
The BHTA Conference 2024 focused on the UK healthtech landscape over the next five years. It was a chance for BHTA members to hear from senior government and NHS speakers about how the changes made today will impact the future of the health service.
In his presentation, David remarked that it is a very active time in the procurement and medtech sectors, and that there is a genuine desire for DHSC to engage with industry, including BHTA members, to ensure its proposals are grounded and well thought-out.
David reflected on the ‘The medical technology strategy: one year on’ report, which reflects on the MedTech Strategy and provides an update on where the medtech sector is headed. Since the MedTech Strategy was published, there are multiple medtech initiatives in flight, such as the Innovative Devices Access Pathway (IDAP).
One of the central themes in David’s discussion was around value-based procurement. He stressed that the lowest price does not always equal best value.
He also highlighted some of the key problems DHSC is trying to solve in the medtech sector. See the slide below.
One issue David particularly emphasised with evaluating procurement is around validating evidence submitted by suppliers.
He said: “Can we believe the claims from industry? How do we validate that? How do we trust the information? Having good data is part of that validation process.
“At the moment, there’s an absence of clarity in terms of validation. That leads to a lack of consistency. Different trusts across the country apply value-based procurement assessment of medtech in different ways. There isn’t a methodology to set a common way of doing this. That makes it inefficient for everyone.
“It’s quite difficult to do validation on medtech, because medtech doesn’t stand still. A product is developed, it then gets iterated, more data is collected, and more evidence is collected. It’s quite hard to make a validation process that’s dynamic and that reflects the way that medtech operates, alongside the scope and scale of medtech.”
David underlined that it may take a while for DHSC to come up with an appropriate, robust, and sustainable process for validating medtech.
In addition, David outlined potential options to move work forward. See the slide below.
David said: “This question about validation of evidence, our thinking at the moment is that we need a system solution. We need some sort of portal where suppliers can submit their information, there’s a validation process, and it can be updated.”
Moreover, David underlined some of the key issues DHSC is trying to iron out to make the medtech sector work more seamlessly. See the slide below.
“From a UK perspective, the majority of our medtech industry is SME-based, so we need to make sure that at a government level and a system level that we are doing everything we can to support SMEs, not make it harder,” he commented.
The British Healthcare Trades Association (BHTA) recently hosted another successful conference that brought together healthcare leaders and suppliers to discuss how the changes made today will impact the future of the health service.
The sellout BHTA Conference 2024, ‘Health Tech in the UK: The next 5 years’, took place at the Northampton Town Centre Hotel on 21 May and was sponsored by Verlingue.
Boasting an impressive roster of key government and NHS speakers, engaging presentations throughout the day included topics on the MedTech Strategy one year on, the Procurement Act 2023, late-stage medical device assessments, practical export support for UK SMEs, UK medical device regulation changes, and much more.
Attendees had the chance to ask the speakers important questions during two Q&A panel discussions throughout the day.
The conference kicked off with a welcome from BHTA CEO David Stockdale, who highlighted some of the BHTA’s successful campaigns, how the BHTA lobbies to government to ensure its members’ voices are heard, and an overview of the BHTA Conference 2024.
Next, Lord Markham, Parliamentary Under-Secretary from the Department of Health and Social Care (DHSC), shared his opening remarks. Lord Markham outlined that the UK has massive potential to transform the medtech landscape over the next five years and highlighted relevant and successful government initiatives like Innovative Devices Access Pathway (IDAP), the MedTech Strategy, and late-stage medtech assessments.
David Lawson, Director of MedTech for DHSC, delivered a presentation titled ‘Value Not Cost’. He discussed the ‘The medical technology strategy: one year on’ report, the issues DHSC is trying to solve when it comes to the medtech sector, and value-based procurement.
Fiona Hilton, Director of Commercial Best Practice & Engagement for NHS England, discussed the Strategic Framework for NHS Commercial. Her presentation delved into how the Procurement Act 2023 will significantly change how the NHS works with suppliers and the Strategic Framework for NHS Commercial.
Andrew New, CEO of NHS Supply Chain, presented ‘One Year On – More to Come’. He talked about how NHS Supply Chain will change over the next five years to make it better to work with, and how it aims to enable an optimised, resilient, and sustainable supply chain.
Mark Chapman, Interim Director Medical Technology Digital & Diagnostics at NICE, commenced the afternoon presentations. His presentation was titled ‘NICE HealthTech Assessment: Focus on What Matters Most’. Mark explained the NICE HealthTech Assessment lifecycle approach and late-stage medical device assessments.
Barney Willis, Deputy Head of Life Sciences for the Department for Business and Trade (DBT), explained how DBT provides practical support to UK medtech SMEs with exporting. Barney provided an insight into how DBT promotes innovative UK medtech companies in key global export markets.
Before the closing remarks, Laura Squire, Chief Healthcare Quality & Access Officer at Medicines and Healthcare products Regulatory Agency (MHRA), delivered the final BHTA Conference 2024 presentation. Her talk, ‘How Regulation of Medical Devices in the UK is Changing’ explored where UK medical device regulation is at now and what the future looks like, alongside international recognition of medical devices.
Positive feedback from the day included:
“An excellent set of speakers and some thought-provoking questions. Given the make-up of BHTA membership, it was good to see several references to the importance of SME business from the speakers.”
“A very good event with really good Q&A sessions. The speakers and the topics they covered should have been of real value to members. I always go looking for 3 or 4 golden nuggets at a day like this, and there were several.”
“It was a really informative day, great speakers, content, location, room, and lunch.”
“It was obvious from how well it went that a lot of work has gone into it, so I hope all the team involved are justifiably proud of the day.”
New data reveals that the NHS is missing out on procurements savings amounting to tens of millions of pounds.
In a report published today, the Public Accounts Committee (PAC) warns that NHS Supply Chain, which was created to save the NHS money through pooling hospitals’ purchasing power, has failed to persuade NHS trusts to use it to make billions in purchases.
The full report, ‘NHS Supply Chain and efficiencies in procurement: Twenty-Fourth Report of Session 2023–24’, can be read here.
NHS Supply Chain was created to solve the known problem that the NHS was not making the most of its collective buying power to get the lowest prices for its purchases.
PAC’s report finds that the organisation has so far failed to demonstrate that it is the answer the NHS needs. Of the £7.9 billion spent by NHS trusts on medical equipment and consumables, £3.4 billion is outside of NHS Supply Chain. This means that it is only achieving around 57 percent of market share to a target of 62 percent (a target revised down from an original 80 percent by 2023-24).
Trusts’ satisfaction with NHS Supply Chain is low and in steady decline (down to 54 percent in 2023-24 from a peak of 67 percent in 2021-22), according to the report. Over two-thirds of trusts say they shop elsewhere because of limited availability through NHS Supply Chain.
The report further raises concerns that a focus on costs may impact on the quality of outcomes for patients. The report, which finds that clinicians are not convinced that NHS England (NHSE) and NHS Supply Chain value quality over price, calls for clinicians to be involved in purchasing choices to ensure that better patient care is considered alongside value and cost.
David Stockdale, Chief Executive at BHTA, has underlined that the association and its members will continue to work alongside NHS Supply Chain to ensure procurement works for the whole of the medtech supply chain to ensure better patient outcomes.
“The BHTA and our members continue to be ready to work with NHS Supply Chain and the broader UK medtech supply chain to ensure procurement works for the whole of the supply chain, to ultimately deliver the patient outcomes we all want,” said David.
“We recognise the healthcare landscape is challenging for all parties currently and continue to believe that genuine engagement from all stakeholders will lead to the best outcomes.”
The report also questions the level of savings NHS Supply Chain reports it has made for the NHS. NHSE shared the organisation’s reported savings with it but using two different methods which generated two very different figures – £3.3 billion from 2016-17 to 2022-23, and £1.7 billion for the same period, risking confusion over how much NHS Supply Chain has actually saved. Trusts do not always recognise the savings that NHS Supply Chain reports, causing frustration and mistrust, PAC states.
PAC’s confidence in savings claimed by NHS Supply Chain is further undermined by the fact that the cumulative £3.3billion claimed has not been validated by either the UK Government or NHSE, with the organisation effectively marking its own homework.
Dame Meg Hillier MP, Chair of the Committee, said: “The problem NHS Supply Chain was created to address is well-established. Given the scale of the NHS’ collective billions of pounds worth of collective spend on procurement, ensuring the best value for money for the taxpayer is essential. But our report finds that trusts do not have the requisite confidence in NHS Supply Chain to utilise its services, leaving it at risk of being an answer to a question no-one is asking.
“Cost is of course only one factor when making high-stakes decisions around which equipment to use for patients, and it is essential that clinicians are given a seat at the table so that better patient care is considered alongside best value. All agree that high-quality equipment must be readily available to NHS trusts at the best possible price. The hard yards must now be put in to build trust in the systems that are there to deliver these outcomes.”
In response to PAC’s report, an NHS Supply Chain spokesperson stated: “We are committed to realising the full potential of NHS Supply Chain to deliver greater savings and efficiencies alongside a broader value proposition focussing on supply chain resilience, product safety, enabling access to innovation, social value, sustainability, and ethical considerations.
“We have redesigned NHS Supply Chain’s operating model and embarked on a major modernisation programme to upgrade key infrastructure and IT systems. We need to further improve and integrate our platforms to provide a more consistent experience for colleagues across the NHS and suppliers. As the NAO report highlighted our funding is managed on a year-by-year business cycle in line with NHS England’s business planning process.
“We are continuing to work together with the Department of Health and Social Care (DHSC), NHS England, NHS trusts, suppliers, and other system partners across the country to improve procurement in the NHS. This will be achieved through ongoing collaboration, partnership working and innovation.
“Over the last year we have been strengthening our engagement with our NHS partners to improve our understanding of their needs through our quarterly national and regional advisory forums, various panels and working groups. We are continuing to develop these engagement forums to ensure that they bring the voice of NHS colleagues and patients into the heart of our organisation. These engagement forums support our goals to make substantial improvements in satisfaction with our services by ensuring our business plans focus on those matters that will make the greatest difference to the NHS.
“NHS Supply Chain is clear that we can deliver over £1 billion of value by 2030. This can only be achieved by working in collaboration with all groups within the NHS, national bodies, industry associations, suppliers and NHS England. We have worked with NHS England and national representatives of the NHS trusts to develop a new standard saving methodology for the entire NHS and it’s expected that this method will be ready for all parties to use to calculate savings from April 2024. Our programme is aligned to this approach and reporting method.”