NHS spends 10 million on 175 consulting firms

18 November 2011 Consultancy.uk

The English public healthcare organization, the National Health Service (NHS), has spent more than €10 million over the past financial year on external consultants. Noteworthy is that as many as 175 different consulting firms and freelancers were hired. Despite the large variety of suppliers, 6 consulting firms received more than 60% of total revenues. This is evident from an analysis by Consultancy.nl based on released figures from the NHS.

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More than € 6 million to six consulting firms

KPMG claimed nearly 50% of revenue, followed by PwC, PA Consulting Group, Ernst & Young, McKinsey and Deloitte Consulting.

More than half to organisation and change management

The data, provided following a freedom of information request from politicians, reveals that the NHS spent £5.5 million (56%) on “organisation and change management consultancy”. 18% was spent on project management, 11% on Legal, 8% on Marketing & Communication. Strategy consulting accounted for less than 0.5%.

The publication of the figures and the high expenditure has caused a lot of criticism in the English politics. Health secretary Andrew Lansley said in a response that the NHS will halve its spending on consulting firms in the coming year.