'Jaw-dropping' £58.2bn set aside to cover medical negligence

Mistakes made by the NHS are hurting patients and leaving taxpayers with a “jaw-dropping” multi-billion pound bill, a major report warns today. Nearly £60billion has been set aside by the Department for Health and Social Care to cover “clinical negligence”, according to Parliament’s powerful public accounts committee.

The MPs warn that an “astronomical” 19% of cash awarded to claimants goes to their lawyers. This equated to "£536 million of the total £2.8 billion paid to claimants in 2023-24". The cross-party group urges the Government to set out a plan in the next six months to stop patients being harmed and improve their safety – particularly in maternity services.

Sir Geoffrey Clifton-Brown, who chairs the committee, said: “The fact that Government has set aside tens of billions of pounds for clinical negligence payments, its second most costly liability after some of the world’s most complex nuclear decommissioning projects, should give our entire society pause. This is a sign of a system struggling to do right by the people it is designed to help.

“It must be a priority of the highest order for government to reduce tragic incidences of patient harm, and lay out a mechanism to reduce legal fees to manage the jaw-dropping costs involved more effectively.”

Today’s report states the department “set aside an astounding £58.2billion to cover the potential costs of clinical negligence” – with £9.3billion to cover events in 2023-24 alone.

It adds: “Behind these jaw–dropping amounts lie many tragic incidents of patient harm... In addition, the department says that an astronomical 19% of the money awarded to claimants goes to their lawyers, on top of the fees payable for the department’s defence team. We are disappointed that huge improvements still need to be made to better protect both patients and public money.”

The MPs demand the Government brings in a “mechanism” to reduce legal fees within the next six months.

They are also highly concerned about the state of Britain’s defences against infectious diseases and “eye-watering” costs.

The report warns that the “high containment laboratories” run by the UK Health Security Agency (UKHSA) are “central to protecting the population against potentially highly infectious diseases”.

The MPs say the facilities at Porton Down and Colindale are “nearing the end of their life” but there is “little to show for the £400million spent so far on the development of Harlow Health Security Campus”. The cost has risen from an “initial estimate of £530million to an eye-watering projected £3.2billion”.

Damningly, the report states: “This is an example of a poorly overseen project to replace the UK’s critical public health infrastructure.”

It notes UKHSA has an “alternative proposal” to modernise the existing facilities at Porton Down and Colindale. The MPs are concerned “delays could risk leaving the nation without adequate protection against emerging new diseases”.

Committee chairman Sir Geoffrey said: “Of all the projects to have been poorly overseen, the lack of clear direction on a critical piece of infrastructure designed to keep us all safe from infectious disease is particularly alarming.”

The MPs also raise concerns about the Government’s handling of the decision to scrap NHS England, warning staff and patients have been left with “high levels of uncertainty”.

The report states: “With over 1.7 million patient interactions per day and 1.5 million staff in the NHS, we are concerned about the impact that this uncertainty may have on both patients and staff.”

A Department of Health and Social spokesperson said: “Patient safety is the bedrock of a healthy NHS and social care system. This government will ensure the country has the best system in place to keep patients safe by overhauling the overly complex bureaucracy of healthcare regulation and oversight and we will examine the drivers of costs, how to manage spending on clinical negligence and the potential merits of reform options.

“Serious reform is also needed to tackle the broader challenges facing the NHS, which is why we are bringing NHS England back into the department - eliminating wasteful duplication and freeing up hundreds of millions for the frontline.”