Digital transformation of the NHS and social care is expected to cost £21 billion over the next five years, according to research by BIVDA member PA Consulting for the Health Foundation. The investment would fund electronic health records, cloud systems, cybersecurity, and reliable wi-fi, along with workforce training.
This shift is part of the Government’s broader plan for the NHS, which also includes moving care into communities and focusing on prevention.
The report estimates £8 billion in capital costs (£5 billion for England) for infrastructure, and £3 billion in one-off revenue (£2.25 billion for England) for planning, training, and implementation. Additionally, £2 billion in annual recurring costs (£1.5 billion for England) over five years is needed for ongoing support and maintenance—costs likely to continue beyond that period.
While some funding could come from existing budgets, further government investment is expected. It is estimated that poor IT systems currently cost NHS staff over 13.5 million hours a year.
