Procurement
The NHS in England spends £20 billion a year on products and services. Decisions about how this money is spent can have a huge impact on sustainable development. They can influence the way that suppliers think about their environmental impacts, or the fairness of their supply chains. And they can support the local economy, with knock-on benefits for the health and wellbeing of the community.
Through the vast scale of its procurement, the NHS can drive innovation and shift markets towards more sustainable modes of operation. This is not simply a desirable characteristic of NHS organisations: it is a critical element of their corporate citizenship, and the country relies upon them to lead by example.
The NHS Sustainable Procurement Action Plan sets out how, in the next 5 years, the health and social care sector will use sustainable procurement to achieve improved health and well-being for people, the environment and the economy.
Sustainable procurement means:
- Buying what is needed, and seeking innovative, lower impact products and services
- Understanding demand to ensure most efficient delivery of outcomes
- Specifying environmental and social standards through the procurement process to influence supply chains and drive innovation
- Basing procurement decisions on whole life rather than short-term costs and benefits
- Providing business opportunities and supporting skills development amongst supplier communities
- Making sure procurement supports and facilitates a reduction in resource use and waste
Benefits
Protecting the environment – by reducing demand for natural resources, producing less waste and minimising transportation
Promoting fairness and good working conditions through supply chains
Reducing costs – through demand management and by challenging wasteful practices
Meeting carbon reduction targets (as set out in the Climate Change Act)
Supporting a strong and sustainable local economy by involving local suppliers in procurement opportunities
Upholding expectations of staff, patients, visitors and the wider community
Facts
- Goods and services procured by the NHS account for 60% of the NHS carbon footprint
- The NHS in England spends around £500 million on food every year – that’s 300 million meals in 1,200 hospitals
Essential reading
Policy and legislation
» Procuring for Health and Sustainability 2012 - NHS Sustainable Procurement Action Plan
» Saving Carbon, Improving Health - NHS Carbon Reduction Strategy
Guidance documents
» Buy Green And Make A Difference (OGC)
» Sustainable Food – A Guide For Hospitals (Department of Health)
» Waste Electrical and Electronic Equipment (WEEE) Procurement Guidance
» Buying a Better World: Sustainable Public Procurement (Forum for the Future)
» Ethical Procurement for Health Guidance (NHS PASA)
» Ecolabelled Products and Services in the UK (DEFRA)
Sustainable Procurement Tools
» Sustainable Procurement Task Force Flexible Framework
» Sustainable Procurement Risk and Opportunity User Tool (SPROUT)
» Energy Efficiency Assessment for Electrical Medical Devices Tool (NHS PASA)
» Buying a Better World: Sustainable Public Procurement (Forum for the Future)
» Grey Fleet Toolkit (NHS PASA / OGC)
Wider policy
The following wider policy areas benefit from sustainable procurement
» Sustainable Communities Act 2007: A Guide
Contact us to let us know about other useful resources and guidance