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Lord Carter of Coles was asked to undertake a review by the government to look at productivity within the NHS. Today (Friday 5 February) the full report, as a result of his review, was announced.

In response, Dr Jennifer Dixon, Chief Executive of the Health Foundation, commented:

'We welcome Lord Carter’s review. The emphasis on workforce and transparency is sensible, as is the focus on reducing unnecessary variation between hospitals.

'Effective management and back office services play an important role in making change happen, as today’s report highlights. A crude cap on admin costs may save money in the short-term, but will be a false economy if it damages the NHS’s ability to reform and improve.

'Although a positive step, Lord Carter’s recommendations and supporting initiatives are only the tip of the iceberg. They won’t be enough to deliver on the £22bn efficiency savings needed by 2020/21. What is now needed is a coherent national plan to deliver on these initiatives.

'For Lord Carter’s review to be turned into reality, we need both a supportive working environment to motivate staff and a dedicated resource. Only this will enable change at scale and pace.'

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