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The below Parliamentary question was asked by Clive Efford on 2016-10-07.

To ask the Secretary of State for Health, with reference to the 46th Report of the Public Accounts Committee, Session 2014-15, HC971, what steps he has taken to ensure that the public purse is not exposed to any losses in circumstances in which Circle Holding plc fails to fulfil its contractual obligations in the delivery of musculoskeletal services in Greenwich; and if he will make a statement.

Mr Philip Dunne

The procurement of local health services by means of competitive tendering is a matter for the local National Health Service.

We are advised by NHS England that NHS Greenwich Clinical Commissioning Group (CCG) has taken all reasonable steps to protect the public purse with regard to the contract for the provision of an integrated Musculoskeletal (MSK) service in Greenwich, which it awarded to Circle Health.

The contract is governed by the General Conditions of the NHS national Standard Contract, which require the service provider and commissioner to indemnify each other in respect of any losses.

With regard to contract expiry or termination, the conditions also provide for the protection of commissioners from excess costs (and their administration) incurred in procuring the services from another party, for a period of six months from termination.

We are also advised by NHS England that as part of the procurement process undertaken by Greenwich CCG, parties bidding to provide an integrated MSK service in Greenwich were required to provide a mobilisation plan within identified timescales, in line with the scope of service.

We understand that the CCG and Circle Health hold weekly mobilisation meetings to track Circle’s progress and to monitor the implementation and transition of the service up to the go-live date and the post go-live transition.

The below Parliamentary question was asked by Clive Efford on 2016-10-07.

To ask the Secretary of State for Health, with reference to the 46th Report of the Public Accounts Committee, Session 2014-15, HC971, An update on Hinchingbrooke Health Care NHS Trust, what the cost is to the public purse of Circle Holdings Plc’s withdrawal from delivery of its contract to run Hinchingbrooke Hospital; and if he will make a statement.

Mr Philip Dunne

The Trust paid no management fee to Circle under the contract. Costs incurred by the Trust as a result of the termination of the franchise were agreed as £130,000 and billed directly to Circle. Costs included recruiting to new Board positions and those filled by Circle partners; an expected increase in the scope of External Audit due to termination of the contract; time of the Department’s Legal and NHS England Estates teams; and removing the Circle branding from the hospital.

During the operation of the franchise agreement, the Trust received £5 million from Circle between 2012 and 2014 – the maximum deficit support payment required under the contract.

The below Parliamentary question was asked by Clive Efford on 2016-10-07.

To ask the Secretary of State for Health, what assessment he has made of (a) the performance of Circle Holdings Plc in the delivery of musculoskeletal services in Bedford and (b) whether Circle Holdings Plc is meeting its national access targets; and if he will make a statement.

Mr Philip Dunne

The assessment of the performance of musculoskeletal (MSK) services in Bedfordshire is a matter for the local National Health Service.

Bedfordshire Clinical Commissioning Group (CCG) advises that it monitors Circle’s performance closely through monthly contract meetings and Service Quality and Performance Reports.

The CCG advises that Circle Clinical Services Limited is the Prime Contract provider for MSK services for over 18s in the Bedfordshire area, and is responsible for managing the whole patient pathway. Circle itself does not provide clinical services to patients as part of this contract, but refers patients on to local hospital and community based providers subject to patient choice. Circle therefore does not submit data on national Referral to Treatment waiting time standards in relation to MSK services in Bedfordshire. Waiting times data is included in the data return from the patient’s hospital or community provider.

The below Parliamentary question was asked by Clive Efford on 2016-10-07.

To ask the Secretary of State for Health, what assessment he has made of the readiness of Circle Holdings Plc to deliver musculoskeletal services in Greenwich from 1 December 2016; and if he will make a statement.

Mr Philip Dunne

The procurement of local health services by means of competitive tendering is a matter for the local National Health Service.

We are advised by NHS England that NHS Greenwich Clinical Commissioning Group (CCG) has taken all reasonable steps to protect the public purse with regard to the contract for the provision of an integrated Musculoskeletal (MSK) service in Greenwich, which it awarded to Circle Health.

The contract is governed by the General Conditions of the NHS national Standard Contract, which require the service provider and commissioner to indemnify each other in respect of any losses.

With regard to contract expiry or termination, the conditions also provide for the protection of commissioners from excess costs (and their administration) incurred in procuring the services from another party, for a period of six months from termination.

We are also advised by NHS England that as part of the procurement process undertaken by Greenwich CCG, parties bidding to provide an integrated MSK service in Greenwich were required to provide a mobilisation plan within identified timescales, in line with the scope of service.

We understand that the CCG and Circle Health hold weekly mobilisation meetings to track Circle’s progress and to monitor the implementation and transition of the service up to the go-live date and the post go-live transition.