Marketisation of Health and Staff Co-ops

Back to all Motions

Conference
2006 Health Care Service Group Conference
Date
28 December 2005
Decision
Carried as Amended

Conference opposes the break-up of the NHS and introduction of a health market involving private businesses, foundation trusts, charities and community interest companies (co-ops). Conference recognises that staff co-ops may appear attractive to certain groups of workers who believe that they can win market share against huge, well-resourced health companies. However, healthcare is not a cottage industry. Workers co-ops typically raise capital by asking their members to buy into the co-op and members often pay in thousands of pounds. Of the co-op fails to win contracts the workers lose their job and also their savings. While producer co-ops may survive temporarily in niche markets by using the methods of big business: that is cutting costs by worsening pay and conditions, by deskilling and by providing poorer services, the fate of their members is likely to be disastrous.

Conference opposes the government’s proposal to set up a Social Enterprise Unit within the Dept of Health. Conference believes this is a wasteful misuse of funding which should be used within the NHS. The Unit will use NHS funds to help establish small businesses (whether commercial or not-for-profit) to take over NHS services, and could encourage staff to leave NHS employment to work for such ‘enterprises’.

Conference opposes the use of community interest companies in our sector and calls on all regional health committees and health branches to oppose their set up and warn members of the likely consequences of participation. Our position remains the defence of the NHS and total opposition to the marketisation of health.