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Serco's GP out-of-hours service in Cornwall 'substandard', say MPs Serco's GP out-of-hours service in Cornwall 'substandard', say MPs
(2 months later)
Serco, the leading private contractor of services to the public sector, has come under attack for its "substandard" GP out-of-hours service in Cornwall, in a report published by the influential parliamentary public accounts committee on Thursday.Serco, the leading private contractor of services to the public sector, has come under attack for its "substandard" GP out-of-hours service in Cornwall, in a report published by the influential parliamentary public accounts committee on Thursday.
The company falsified figures on its performance 252 times, making it look better than it was, so that serious failings in the service only came to light thanks to whistleblowers, MPs say, yet the company's response was "bullying and heavy-handed".The company falsified figures on its performance 252 times, making it look better than it was, so that serious failings in the service only came to light thanks to whistleblowers, MPs say, yet the company's response was "bullying and heavy-handed".
The NHS primary care trust that had oversight of the contract was "deeply ineffective" in writing and managing it, did not impose any penalties when the failings were discovered, and instead made bonus payments to Serco even though it fell well short of required standards.The NHS primary care trust that had oversight of the contract was "deeply ineffective" in writing and managing it, did not impose any penalties when the failings were discovered, and instead made bonus payments to Serco even though it fell well short of required standards.
Serco has responded to the damning findings by agreeing to pay £85,000 of bonus payments, awarded for 2012, back to the new Kernow Clinical Commissioning Group which took over responsibility for Cornwall services as part of the government's NHS restructuring earlier this year.Serco has responded to the damning findings by agreeing to pay £85,000 of bonus payments, awarded for 2012, back to the new Kernow Clinical Commissioning Group which took over responsibility for Cornwall services as part of the government's NHS restructuring earlier this year.
The PAC's chair, Margaret Hodge MP, said it was "disgraceful" that the public had to rely on whistleblowers to find out that the Cornwall GP out-of-hours service was short-staffed and that data was being manipulated by Serco.The PAC's chair, Margaret Hodge MP, said it was "disgraceful" that the public had to rely on whistleblowers to find out that the Cornwall GP out-of-hours service was short-staffed and that data was being manipulated by Serco.
The scandal came to light following a Guardian investigation into allegations made by whistleblowers that the service was so short-staffed as to be unsafe, and Serco had lied about performance data.The scandal came to light following a Guardian investigation into allegations made by whistleblowers that the service was so short-staffed as to be unsafe, and Serco had lied about performance data.
Serco told the committee that two managers who no longer worked for the company had been responsible for altering data but gave "no convincing explanation" for why they would do so since they were not paid bonuses, according to the MPs. The two managers had been gagged by confidentiality clauses when they left, which the committee also condemned.Serco told the committee that two managers who no longer worked for the company had been responsible for altering data but gave "no convincing explanation" for why they would do so since they were not paid bonuses, according to the MPs. The two managers had been gagged by confidentiality clauses when they left, which the committee also condemned.
In addition, the quality of the Serco service declined significantly when a new computer-based "NHS Pathways" system for answering calls was introduced in May 2012, because Serco underestimated the number of staff needed to run it.In addition, the quality of the Serco service declined significantly when a new computer-based "NHS Pathways" system for answering calls was introduced in May 2012, because Serco underestimated the number of staff needed to run it.
There was a substantial increase in numbers of calls being passed to the local ambulance service rather than dealt with by out-of-hours staff, raising concern that, as the same system for the new 111 service is rolled out around the country, other private contractors may experience the same problems.There was a substantial increase in numbers of calls being passed to the local ambulance service rather than dealt with by out-of-hours staff, raising concern that, as the same system for the new 111 service is rolled out around the country, other private contractors may experience the same problems.
"The failures in this contract matter," Hodge said, "because the NHS will be making increasing use of private providers to deliver NHS services. We must have confidence in the ability of NHS commissioners to contract effectively, monitor rigorously, extract appropriate penalties, and where necessary terminate contracts. None of these conditions were met in Cornwall.""The failures in this contract matter," Hodge said, "because the NHS will be making increasing use of private providers to deliver NHS services. We must have confidence in the ability of NHS commissioners to contract effectively, monitor rigorously, extract appropriate penalties, and where necessary terminate contracts. None of these conditions were met in Cornwall."
Local Lib Dem MP Andrew George described the repayment of the bonus for 2012 as a "PR gesture" which was inadequate as a penalty for the failures. These were alleged to have taken place not just in the brief period Serco chose to audit – when it knew it was under scrutiny yet still found 252 instances of data falsification – but also for years previously, he said.Local Lib Dem MP Andrew George described the repayment of the bonus for 2012 as a "PR gesture" which was inadequate as a penalty for the failures. These were alleged to have taken place not just in the brief period Serco chose to audit – when it knew it was under scrutiny yet still found 252 instances of data falsification – but also for years previously, he said.
NHS Kernow said it would respond to the PAC in detail but was confident that the service had improved recently.NHS Kernow said it would respond to the PAC in detail but was confident that the service had improved recently.
Serco said in a statement that an unannounced visit by the regulator, the Care Quality Commission, last month found the service now met all standards. "The PAC report refers to a number of issues that we faced last year. When we discovered these problems we took swift action to put the situation right and apologised to the people of Cornwall."Serco said in a statement that an unannounced visit by the regulator, the Care Quality Commission, last month found the service now met all standards. "The PAC report refers to a number of issues that we faced last year. When we discovered these problems we took swift action to put the situation right and apologised to the people of Cornwall."
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