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Department of Health Commercial Directorate

  • Last modified date:
    8 February 2007
Information on the remit of the Department of Health Commercial Directorate.

Question

Would you please let me have a copy of the terms of reference and remit of the Department of Health's Commercial Directorate (CD).

Response

The CD functions as the central point in securing best value as well as achieving greater levels of effectiveness for the Department of Health (DH) and the NHS through the use of best commercial practices and better commercial relationships.  This involves:

* ensuring commercial and procurement excellence across the DH and NHS;

* promoting the adoption of best commercial practices where and when they significantly improve the effectiveness and efficiency of the NHS;

* facilitating the adoption and integration of commercial innovations to improve quality of care and exploit commercial opportunities resulting from innovations within the NHS;

* developing and managing links with the independent sector; and,

* providing sound commercial input to assist Departmental strategic reviews and policy decisions.

The directorate is responsible for a number of programmes and provides commercial advice to other DH programmes.  These include:

* independent sector (IS) procurement - expanding the clinical capacity of the NHS, and facilitating choice, through the strategic use of the independent healthcare sector;

* Supply Chain Excellence Programme - a rigorous approach to generating savings for the NHS by better procurement and delivery of the £14 billion it spends annually on goods and services;

* arm's length bodies (ALBs) - providing commercial expertise and business analysis as part of the overall review of ALBs;

* Care Services Efficiency Delivery Programme - working with local authorities to identify efficiencies in the delivery of adult social care to improve the service and release savings; and,

* senior Departmental sponsor for NHS Purchasing and Supply Agency and NHS Logistics Authority.

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