
The UK Government has announced a timetable and confirmed funding for the New Hospital Programme, aiming at delivering essential projects.
This announcement follows a review that identified the previous government’s plan to construct 40 new hospitals by 2030 as behind schedule and unfunded.
In its annual report, the Infrastructure Projects Authority (IPA) rated the previous scheme as red, indicating major issues with the schedule and budget.
However, an independent review by IPA recently upgraded the New Hospital Programme to an amber rating.
Despite the previous government announcing more than £20bn ($20.78bn) of investment in May 2023, the funds were not delivered.
The current government has pledged to rebuild the National Health Service (NHS) and restore trust in government operations.
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By GlobalDataThe new plan, described as ‘affordable and honest’, will receive £15bn in fresh investment for consecutive five-year periods, averaging £3bn annually.
Health and Social Care Secretary Wes Streeting said: “Not a single new hospital was built in the past five years, and there was no credible funding plan to build forty in the next five years.”
As part of the government’s Plan for Change, creating an NHS estate fit for the future is essential to improving health services and reducing waiting times.
The Chancellor has announced at the Budget that NHS capital spending will reach a record £13.6bn by the 2025-26 fiscal year.
Projects already underway with approved full business cases (Wave 0) will continue as scheduled. The remaining projects will be divided into three waves.
Wave 1 projects are set to commence construction between 2025 and 2030, prioritising hospitals constructed using reinforced autoclaved aerated concrete (RAAC) due to safety concerns.
Projects in Wave 2 are anticipated for a 2030-2035 start while Wave 3 projects are expected to commence between 2035 and 2039.
Support for hospitals in later waves will be provided in the development and early construction phases to ensure readiness for main construction.