Decision details

To approve the award of contract for integrated sexual and reproductive health services for residents, following successful negotiations with existing suppliers

RESOLVED:

1.  That the use of the open access pan-London contract that Lambeth Council have with Kings College Hospital NHS Foundation Trust (KCH) for the provision of integrated sexual health services, from 1 October 2017 to a maximum end date of 31 March 2022, producing an estimated maximum spend of £6,764,000 as detailed in paragraph 37 of the report be approved.

2.  That the use of the open access pan-London contract that Lambeth Council have with Guy’s and St Thomas’ NHS Foundation Trust (GSTT) for the provision of integrated sexual health services, from 1 October 2017 to a maximum end date of 31 March 2022, producing an estimated maximum spend of £13,450,000 as detailed in paragraph 38 of the report be approved.

3.  That it be noted that the total spend detailed in paragraphs 1 and 2 of the report includes costs for growth linked to the repatriation of patients into local services from clinics outside the area (as per paragraph 45 of this report), as follows:

a)  a maximum spend of £225,000 over the maximum 4.5 year contract duration, which equates to £50,000 per annum, for KCH; and

b)  a maximum spend of £450,000 over the maximum 4.5 year contract duration, which equates to £100,000 per annum, for GSTT.

These costs will only be paid if evidence of that repatriation (and attributable out of area cost savings) is provided.

4.  That the successful partnership working between Southwark Public Health, the two trusts, and the commissioners in Lambeth Council provides the council with significantly reduced contract costs in delivering integrated sexual health services be noted. Over the lifetime of the contracts contract values will be reduced by £9.31m. The annual contract cost of the KCH contract will reduce from £2.44m in 2016-17 to £1.60m in 2018-19.  For GSTT, the reduction is from £4.12m in 2016-17 to £3.04m in 2018-19.

5.  That it be noted some of these reductions in contract costs for integrated sexual health services will be reinvested in expanding the provision of online testing, as part of the transformation programme to deliver lower sexual health costs into the future.  This is in line with the gateway 1 report and subject to separate gateway 2 decisions. Moving asymptomatic testing out of clinic enables continuing cost efficiencies (online testing is cheaper than clinic testing), ensures a sustainable local sexual health system, and enables the council to continue to manage clinic demand and capacity. Early diagnosis also prevents onward infection (reducing the number of transmitted infections) and is essential in reducing the prevalence of infection within the population (and associated treatment costs, for which the council is responsible).