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NHS fraud investigations cost three times more than they recover says Lamb

Mon, 28 Dec 2009

Counter fraud services in the NHS cost three times more than the money they recover, research by the Liberal Democrats has revealed.

Figures from a Parliamentary Question show that over the past three years the NHS Counter Fraud Service has cost over £30m. Over the same period, only £10m has been recovered.

Key findings include:

  • Over the past three years, the budget of the NHS Counter Fraud unit was £32.4m

  • Over the past three years, the NHS Counter Fraud Unit recovered £10.1m

  • Over the past three years the NHS Counter Fraud Unit has secured 188 convictions. The average cost per conviction is over £172,000

Commenting, Liberal Democrat Shadow Health Secretary, Norman Lamb said:

“Tackling fraud and ensuring that every penny spent by the NHS can be accounted for is a vital task. There must be serious question marks over whether this unit is working effectively.

“It is clear from these figures that the current approach isn’t working. The NHS needs to work more closely with the police to tackle fraud at a local level and ensure that every penny possible goes to frontline services.

“These figures raise serious questions about whether a dedicated NHS Counter Fraud Unit is the best way to tackle this complex issue. We need an urgent review of how fraud is investigated.”

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