Unlocking global investment in the NHS

The NHS faces mounting pressures from growing patient demand, limited resources, and workforce challenges, yet its potential to attract high-quality inward investment remains largely untapped. Browne Jacobson's recent white paper with Healthcare World, developed through roundtable discussions with health leaders, policymakers, legal experts, and private sector representatives, offers a roadmap for advancing international investment into the UK health sector. The report's recommendations are aimed at supporting a streamlined process to enable inward investment to the UK health system.

Summary of key recommendations:

• Develop a structured framework for international investment, modelled on successful schemes like VPAG.
• Introduce Public-Private Utilisation (PPU) models and risk-sharing agreements with transparent, NHS-aligned contracts.
• Require reinvestment of a portion of international investor profits back into the NHS.
• Simplify and standardise procurement across NHS Trusts and Integrated Care Boards to reduce fragmentation.
• Incentivise social value in procurement, including job creation, local partnerships, and sustainability.
• Create a unified 'NHS Front Door' to streamline foreign investor engagement.
• Establish a central NHS business development unit to manage trade and investment conversations.
• Align investment strategy with national health data initiatives and remove legal barriers to international data sharing.

Frameworks supporting ethical investment

The White Paper advocates for a 'smart investment strategy' that goes beyond financial contributions, leveraging expertise, innovation, and social impact to ensure sustainable partnerships, with emphasis on addressing social and economic goals while contributing to the government's three aims of hospital to community, sickness to prevention, and analogue to digital. 

Central to this is establishing a structured framework for international investment, similar to the Voluntary Scheme for Branded Medicines Pricing, Access and Growth (VPAG) agreement with the Association of the British Pharmaceutical Industry (ABPI), to ensure private sector investment delivers tangible public benefits. Public-Private Utilisation (PPU) models and risk-sharing agreements are proposed as effective mechanisms, with contracts required to be straightforward, transparent, and aligned with NHS priorities, potentially including clauses requiring a portion of international investors' profits to be reinvested into the NHS.

Procurement reform and accessibility

The lack of clarity surrounding NHS procurement pathways currently hinders effective engagement, with over 1,400 procurement frameworks being available to NHS Trusts/FTs and Integrated Care Boards a highly fragmented system has been created that deters potential partners. Simplifying and standardising NHS procurement processes across NHS Trusts/FTs and Integrated Care Boards is essential to improve accessibility for investors, with reforms recommended to incentivise social value by rewarding commitments to job creation, partnerships with local businesses, and investments in sustainable solutions.