Engagement on 2016/17 National Tariff proposals

Gateway publication reference 03823, 03540, 03541

NHS England and Monitor are engaging on plans for the 2016/17 National Tariff.

On 6 August a letter was published setting out plans to engage with commissioners and providers over the coming months on proposals for the 2016/17 National Tariff.

On 14 August we published a package of materials setting out the currencies that we intend to set prices for, and how we intend to set national prices. Draft price relativities for 2016/17 are included in this package, which is available on the Monitor website.

On 20 August we published a document explaining our proposed changes to the rules concerning national variations, the rules for locally determined prices and the method for determining applications for local modifications. Further information can be found on the Monitor website.

We are also separately working with a small number of providers and commissioners to undertake an in-depth assessment of the impact of the draft 2016/17 prices, using the more up-to-date activity data that is held locally.

The feedback that we receive will be important in helping to shape the final proposals that will be subject to statutory consultation.

We are awaiting the outcome of the forthcoming Government Spending Review before finalising proposals on the efficiency factor, cost base and service development, which will enable us to set final price levels.

A further document will follow later in the year seeking feedback on proposals around reimbursement arrangements for specialised care. These proposals will be informed by ongoing work being led by an independently-chaired working group.

We have been working with the Mental Health Taskforce to ensure that their priorities for system improvement will be supported through further development of the payment system. We will be engaging with commissioners and providers of mental health services over the coming months to understand the challenges they face in adopting more transparent payment approaches and to capture the learning from new payment models being currently adopted. This will help inform the development of the guidance and additional support materials which we intend to launch by the end of the year. In the meantime, we welcome feedback on materials we have recently produced to support local health and care economies in developing and implementing potential new payment approaches for mental health services.

Further information on this engagement exercise, including webinar and workshop dates, can be found on the Monitor website.