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Focus on funding for Information Management and Technology - 3rd update

April 2004

• Annex A - DoH guidance issues to PCTs
• Annex B - Letter - IT for general practices
• England
• Enquiries and information
• Guarantee of IT funding
• IT items GPs can expect to be funded
• LMCs: what can you do?
• Overall funding for IT
• Scotland, Wales and Northern Ireland

This is the third guidance note produced by the General Practitioners Committee to help GPs and Local Medical Committees understand the funding arrangements for Information Management and Technology under the new GMS contract, and is part of a series of guidance notes on the new contract. The guidance will be updated as progress is made throughout the implementation discussions and negotiations. We would advise all GPs to read the contract document and supporting documentation, available on the BMA website. The GPC has produced a list of frequently asked questions and answers which can also be found on the website.

England
Overall funding for IT
In 2003/04 the following funding has been allocated to PCTs in England:

- £50 million – recurrent funding, the estimated figure which is in existing PCT baseline budgets
- £20 million recurrent funding
- £30 million one off payment – this funding was based on the bids received by the Department of Health from PCTs and has therefore been allocated according to local IT needs.

This IT funding has been issued with clear guidance to PCTs (annex A). This Department of Health guidance states that the additional £30m has been ‘allocated on the provision that the £50m which Primary Care Trusts spend through baseline funding continues to be used for general practice IM&T’ This means that the pre-existing spending on IT in general practice must be maintained.

This funding is for both GMS and PMS practices. John Hutton has written to all GPs, on 17th February 2004, detailing the exact sums of money allocated by the Department of Health to his or her PCT for new GMS IT (annex B). LMCs can obtain a listing of the financial allocations for all English PCTs from the GPC office. Any queries relating to these allocations should be directed to local PCTs.

Guarantee of IT funding
The Department of Health guidance to PCTs, at annex A, states that ‘the financial allocation confirmed in this paper must only be used for the purposes outlined in this paper’ (i.e. spent on general practice IT), that the use ‘must’ comply with the definitions in the nGMS contract and that PCTs ‘must’ ensure that major upgrades are funded.

We believe that the allocations and accompanying guidance to PCTs from the Department of Health should be enough reassurance for GPs and LMCs alike as to whether or not the promises of the new GMS contract for IT have been delivered.

IT Items GPs can expect to be funded
Paragraph 4.41 of the new GMS contract (blue book) states that ‘work is continuing to develop a minimum functionality specification for practice systems that defines the information requirements to deliver integrated care and meets the requirements of the new GMS contract’.

The GPC, Department of Health and NHS Confederation have agreed the IT items which practices can expect to receive funding for and these are listed in annex A. Items have been categorised as ‘core’ and ‘additional’. Core items are those for which PCTs will be expected to fully fund. Additional items are a lower priority and should be funded subject to the availability of funding and the submission of a business case.

However, page 3, paragraph 4 of Annex A secures pre-existing spending on IT, whether considered core or otherwise. It states that ‘it is important that any funding which has already been agreed and made available locally for core and or additional items should not be reduced or removed as a result of the new GMS contract.’ This is in effect saying that PCTs cannot withdraw funding for any IM&T system they have historically funded prior to the new GMS contract.

Scotland, Wales and Northern Ireland
The first and second Focus on funding for Information Management and Technology detailed the funding which has been made available in the Celtic countries. The list of core and additional items, which has been agreed in England, is currently being considered by Scotland, Wales and Northern Ireland. We will provide an update when further information is available.

LMCs: what can you do?
Ensure that this information is cascaded to practices so that GPs are aware of the IT items they are entitled to receive funding for under the new GMS contract.

Enquiries and Information
Please email enquiries and/or information about information management and technology to the GPC office at rmerrett@bma.org.uk