PPI hospitals 'critical' to survival of NHS

The role of private companies is becoming more crucial to the survival of the NHS.

That is the suggestion of two experts from law firm CMS Cameron McKenna, who highlighted the increasing need for public-private partnership (PPP) hospitals as the NHS struggles to cope with what it calls a funding crisis.

Writing for the Lawyer, healthcare partners Jason Zemmel and Jonathan Lisle said most experts believe state funding for the NHS will fall in the next few years as the government wrestles with its public debt.

However, they suggested such a development should be seen as an opportunity for private companies rather than a signal of impending collapse.

"There will be more investment of private funds, more joint ventures between public and private sector operators and also more acquisitions of NHS hospitals by private companies," the pair wrote.

If the sector progresses along these lines, then private health insurance could become more important for people requiring access to the best levels of care.

The government is currently involved in the biggest hospital building programme in living memory, thanks in part to private funding.

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