Hinchingbrooke Hospital is to lose the private firm that runs it. Photo: YouTube screengrab
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The NHS privatisation experiment is unravelling before our eyes

As Circle Holdings, the first private firm to manage an NHS hospital, looks to leaving its contract, we have a depressing example of how privatisation can go badly wrong.

What a difference (less than) a year makes. In a press release back in February last year, private healthcare company Circle Holdings spun that it had, “transformed services at Hinchingbrooke”. The hospital, it boasted, “is now secure for the future”.

Which would make the news today that it was walking away two years into a 10-year contract to run Hinchingbrooke – the UK’s only privately-run NHS hospital – a shock, were it not for the sheer, abject predictability of it.

The fact that Circle is dumping the contract on financial grounds, citing a lack of funding and pressure on the casualty department, is certainly no surprise to many, not least the National Health Action Party founding member and Save Lewisham Hospital veteran Dr Louise Irvine.

She says: “This is exactly what we warned and predicted would happen and illustrates the folly of private sector involvement in our NHS. When the going gets tough, the private sector gets going - and dumps NHS patients. The privatisation experiment has lamentably failed”.

It isn’t unexpected, not least because in September last year, when Health Service Journal obtained a damning report by the Care Quality Commission (CQC) in which a litany of shocking failings were revealed, the writing was on the wall.

It was a miserable list. The CQC found, “little internal or clear external oversight of how the trust managed risks to the quality of care”; a lack of “clarity or coherence” over who was “responsible for the oversight and scrutiny of the trust’s quality agenda”; poor hygiene standards; “poor care provided to patients”, and, perhaps most damning of all, a “blame approach, rather than that of a supportive and patient focused approach”.

Circle had been held up as a shining example of a private company stepping in to triumph where the NHS had failed. It’s impossible to see how this rhetoric can be maintained with any integrity given this monumental failure; the privatisation experiment is unravelling before our eyes.

And what’s striking about this example is that it is not only a failure of patient care standards, but in hard-nosed economics as well. As I pointed out in October, one of the many severe consequences of marketisation – one totally overlooked in Simon Stevens’ big rescue plan – is that when private companies bin their contracts with the NHS in such a self-serving fashion, it is the trusts’ time and precious taxpayer funds that end up being wasted on picking up the pieces.

What cost will Circle’s walking away be to Cambridgeshire and Peterborough? I shudder to think. And, thanks to the Health and Social Care Act, the next chapter in this woeful saga will have to be another gruelling and costly tendering process, administrated by the trust.

And it goes full circle – if you’ll excuse the pun. Why are A&E departments in crisis? It’s extremely complex, but it would help if the limited resources trusts are being asked to survive on weren’t wasted in such gross examples of false economics, and privatisation going so drastically wrong.

Benedict Cooper is a freelance journalist who covers medical politics and the NHS. He tweets @Ben_JS_Cooper.

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Our union backed Brexit, but that doesn't mean scrapping freedom of movement

We can only improve the lives of our members, like those planning stike action at McDonalds, through solidarity.

The campaign to defend and extend free movement – highlighted by the launch of the Labour Campaign for Free Movement this month – is being seen in some circles as a back door strategy to re-run the EU referendum. If that was truly the case, then I don't think Unions like mine (the BFAWU) would be involved, especially as we campaigned to leave the EU ourselves.

In stark contrast to the rhetoric used by many sections of the Leave campaign, our argument wasn’t driven by fear and paranoia about migrant workers. A good number of the BFAWU’s membership is made up of workers not just from the EU, but from all corners of the world. They make a positive contribution to the industry that we represent. These people make a far larger and important contribution to our society and our communities than the wealthy Brexiteers, who sought to do nothing other than de-humanise them, cheered along by a rabid, right-wing press. 

Those who are calling for end to freedom of movement fail to realise that it’s people, rather than land and borders that makes the world we live in. Division works only in the interest of those that want to hold power, control, influence and wealth. Unfortunately, despite a rich history in terms of where division leads us, a good chunk of the UK population still falls for it. We believe that those who live and work here or in other countries should have their skills recognised and enjoy the same rights as those born in that country, including the democratic right to vote. 

Workers born outside of the UK contribute more than £328 million to the UK economy every day. Our NHS depends on their labour in order to keep it running; the leisure and hospitality industries depend on them in order to function; the food industry (including farming to a degree) is often propped up by their work.

The real architects of our misery and hardship reside in Westminster. It is they who introduced legislation designed to allow bosses to act with impunity and pay poverty wages. The only way we can really improve our lives is not as some would have you believe, by blaming other poor workers from other countries, it is through standing together in solidarity. By organising and combining that we become stronger as our fabulous members are showing through their decision to ballot for strike action in McDonalds.

Our members in McDonalds are both born in the UK and outside the UK, and where the bosses have separated groups of workers by pitting certain nationalities against each other, the workers organised have stood together and fought to win change for all, even organising themed social events to welcome each other in the face of the bosses ‘attempts to create divisions in the workplace.

Our union has held the long term view that we should have a planned economy with an ability to own and control the means of production. Our members saw the EU as a gravy train, working in the interests of wealthy elites and industrial scale tax avoidance. They felt that leaving the EU would give the UK the best opportunity to renationalise our key industries and begin a programme of manufacturing on a scale that would allow us to be self-sufficient and independent while enjoying solid trading relationships with other countries. Obviously, a key component in terms of facilitating this is continued freedom of movement.

Many of our members come from communities that voted to leave the EU. They are a reflection of real life that the movers and shakers in both the Leave and Remain campaigns took for granted. We weren’t surprised by the outcome of the EU referendum; after decades of politicians heaping blame on the EU for everything from the shape of fruit to personal hardship, what else could we possibly expect? However, we cannot allow migrant labour to remain as a political football to give succour to the prejudices of the uninformed. Given the same rights and freedoms as UK citizens, foreign workers have the ability to ensure that the UK actually makes a success of Brexit, one that benefits the many, rather than the few.

Ian Hodon is President of the Bakers and Allied Food Workers Union and founding signatory of the Labour Campaign for Free Movement.