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NHS to tender £100m UK property panel

By James Buckley - Wednesday, June 13, 2018 15:00

The NHS is to appoint a panel of property advisers to a £100m contract to help the Department of Health deliver on its targets to release £2bn of assets for reinvestment and to deliver land for 26,000 homes.

NHS Commercial Solutions has begun a process to procure, through a framework agreement, a panel of agents to provide what it calls “property and estates strategy development and management".

The overall contract will be worth £100m to the appointed agents, who will help support NHS organisations in developing strategies to deliver the recommendations of the NHS Property and Estates report, published in April.

The report found that the NHS can release £2bn of assets and deliver 26,000 homes,increasing the property receipts to more than £5bn in the longer term.

It added: “The general consensus is that the current NHS capital investment is insufficient to fund transformation and maintain the current estate. We estimate that Sustainability and Transformation Plans (STP) capital requirements might total around £10bn, with a conservative estimate of backlog maintenance at £5bn and a similar sum likely to be required to deliver the 5YFV.

“This could be funded through property disposals, private capital (for primary care) and from HM Treasury. However, the NHS needs to develop a robust capital strategy to determine the final investment requirements through the STP plans …The allocation of additional public funds should be proportional to the amount received from property disposals.”

jbuckley@costar.co.uk

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