NHS overhaul to keep services firms in good health

TechMarketView predicts the move to GP consortia could fuel a spike in shared services and outsourcing

The government's sweeping plans to reform the NHS could provide lucrative opportunities to software and IT services (SITS) providers with local government expertise, according to analyst TechMarketView.

Last week the government published its 184-page response to its consultation on the Equity and Excellence: Liberating the NHS white paper. The response reiterated the coalition's plans to get rid of primary care trusts and strategic health authorities.

About four-fifths of the health sector's budget will be given to new GP consortia, which are to be launched over the next 18 months.

TechMarketView research director Tola Sargeant (pictured) claimed the need for local authorities to ensure services including health and social care operate in a cohesive way could provide SITS opportunities.

"This could create opportunities for SITS suppliers with domain expertise in local government, health and social care," she said. "The likes of Civica, OLM Group, Advanced Computer Software and Northgate Information Solutions are all obvious candidates."

One possible revenue stream could come from helping the NHS and adult social care units share data, added Sargeant. SITS suppliers could look to provide a jointly accessible, secure and effective software-as-a-service case management offering, she explained.

Helping GP consortia fulfil their broad remit is also "a significant area of opportunity", according to TechMarketView. The new bodies could lean heavily on outsourced support, claimed Sargeant.

"[GP consortia] are undoubtedly going to need support as they take on this extra responsibility, whether that means better financial and business intelligence software or, potentially, the outsourcing of entire business processes," she said.

With the NHS examining how the changes will affect IT systems and staff next year, SITS specialists should be working on their game plan, advised the analyst.

"SITS suppliers hoping to benefit from this disruptive change will need to be busy doing the groundwork next year," said Sargeant.