NHS hospital productivity starting to rebound, IFS finds

NHS hospital productivity in England has begun to improve, according to new analysis by The Institute for Fiscal Studies (IFS).

(c) Luis Melendez/Unsplash

(c) Luis Melendez/Unsplash

The research found hospital activity across a range of measures in 2024 is substantially higher than in 2023.

Olly Harvey-Rich, a research economist at IFS and an author of the report, said: ‘NHS hospital productivity has fallen substantially since the start of the pandemic, but that trend may now at last be reversing. Staffing numbers increased over the last year, but the amount of treatment provided in hospitals has increased even faster, suggesting that those staff are being put to good use.

‘While undoubtedly positive news, we should remember that NHS productivity is still below where it was pre-pandemic and will require a further period of improvement before the post-pandemic productivity hit is fully unwound. Nonetheless, this is a welcome development, particularly as the NHS heads into winter.'

Comparing January to July 2024 with the same period in 2023, the English NHS has 3.6% more consultants and 6.4% more nurses and health visitors but managed to deliver 10.3% more elective admissions and 9.2% more outpatient appointments.

The IFS cautioned this had not translated in full to additional numbers of patients being treated from the waiting list, however, and the NHS was lagging behind its elective recovery plan, but ‘at least heading in the right direction'.

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