Question to the Department of Health and Social Care:

To ask the Secretary of State for Health and Social Care, what steps the Department is taking to (a) improve value for money, (b) prevent profiteering, (c) remove conflicts of interest in referral practices and (d) otherwise improve (i) oversight and (ii) regulation of private companies delivering NHS-funded eye care.

All National Health Service patients must receive safe and high-quality care, whether being treated by private providers or directly by the NHS. While the independent sector has a role to play in tackling the waiting list backlog, we will not tolerate any overpriced or sub-par care. We will also not tolerate any distortion of patient choice, and the recently published Partnership Agreement between NHS England and the Independent Healthcare Providers Network commits to ending incentives that can lead to this, supporting equal access and genuine choice for all patients. We are now working together to deliver on this.

Improving value for money is a priority across all NHS pathways, not just in eyecare. This has been emphasised in various documents such as the Provider Selection Regime, the NHS Standard Contract and most importantly the Independent Sector Agreement, published in January 2025.

NHS-funded eye care is funded based on national prices and funded equitably across all providers with no opportunities to gain increased payment; prices are adjusted each year to reflect expected improvements in efficiency and are set to cover costs but not margins.

To prevent profiteering, providers are paid based on national prices, based in turn on the average cost of providing the service and adjusted to reflect the complexity of the procedure and the patient. This ensures that the provider is appropriately reimbursed, and they do not make excess profits by targeting the simplest cases.

NHS England expects all its providers to support patient choice and to act in accordance with the Law, with Good Practice and this is supported by the requirements of the NHS Standard Contract, the NHS Provider License, the General Ophthalmic Services contract and the Law itself. The NHS Standard Contract gives a useful overview of the Provider Selection Regime, which are the regulations the NHS must adhere to when commissioning health care services, including conflict of interest declarations.

Finally, private companies are commissioned and managed by integrated care boards under the terms of the NHS Standard Contract which applies the same standards of oversight and regulation as are applied to NHS providers.