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Founder Circle of Health, which has more Hinchingbrooke Hospital next year, plans to do more in the health sector

The head of the first private company in the history of the NHS for the right to offer a full range of services from the hospital says he is "absolutely ready to do more" in the health sector - revived the debate on the professional use in the delivery of government services.

Ali Parsa, founder of the Circle of Health, said the first round to focus on Hinchingbrooke Hospital in Huntingdon, Cambridgeshire, when the company took over management of the service in February. The government signed a decade-long Wednesday in a deal valued at 1 billion pounds.

The hospital, which is currently predicting a loss of 5 million pounds this year on turnover of ? 90m, has accumulated a debt of 40 million pounds. Parsa said Hinchingbrooke did not attract enough patients and staff needed to be "freed from the bureaucracy."

noted that there were 5000 patients who live within a "few miles from the hospital that we do not. It's £ 5 million in revenue is lost each patient's years. "

Although private companies already operating units within the NHS - as centers hip replacement -. Circle, a value John Lewis Partnership style around £ 120m, is the first to support an entire hospital

The inauguration is not considered a full privatization of the buildings remain in public hands and the employees retain their salaries and pensions under the present conditions. Although the circle is given a free hand to reduce its staff, major changes in services requires the agreement of local health leaders, and A & E and maternity units should be maintained.

However, the circle is seen by ministers as a model "common" 49% of your property is in the hands of staff, and Parsa further 5%. Circle has a system to allow more actions that can be achieved by a system of performance-related rewards. Significantly, which allows doctors to accept lower profits -. And Hinchingbrooke agreement, the government hopes will lead to other problems of liquidity NHS hospitals to consider outsourcing its management to private companies

The market for real estate managed by the state of acute worth £ 8 billion and hospitals forced to look for savings each year, experts warn that many will have to consider the aid to private achieve efficiency. Two NHS trusts are considering management options for private sector: the Royal National Orthopaedic Hospital and Whiston Hospital St Helens

Andy Burnham, Secretary of Labour shadow health, said the decision "has worrying consequences for the future of our NHS." When I was Secretary of Health, said, "no decision has been working on the future management of the hospital."
"This government has shown signs of a completely different approach to these questions. Your health and well-being of controversial law is firmly based on the principle of competitive bidding. The NHS will open in a commercial market in the decision. "

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