NHS Supply Chain saves £6.3m

4 July 2007

5 July 2007 | Antony Barton

NHS Supply Chain has announced a £6.3 million saving, made within the first five months of its procurement contract with the NHS.

This is the first audited saving to be reported and was audited by the NHS Business Services Authority.

It was achieved on behalf of more than 200 NHS hospitals in England with the procurement of foetal scanners in February. The NHS Antenatal Foetal Anomaly Ultrasound Screening Programme was allocated £12 million in 2006 to replace old equipment, and approached NHS Supply Chain for procurement support.

The saving resulted from the first national imaging e-auction in the NHS and was achieved through volume purchasing, with some suppliers also providing extended warranties and extra software.

NHS Supply Chain, managed by DHL Logistics, was created last October when the NHS outsourced its buying. It claims it will generate £1 billion savings over the 10-year contract on the purchase and delivery of more than 500,000 products.

The first meetings of the NHS Supply Chain's Product Councils - made up of procurement experts, clinicians and nurses - will take place in the next few months to discuss products that could save NHS money.

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