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Written question asked by Justin Madders (Labour) on Monday, 9 March 2026, in the House of Commons. It was due for an answer on Wednesday, 11 March 2026. It was answered by Karin Smyth (Labour) on Wednesday, 18 March 2026 on behalf of the Department of Health and Social Care.

NHS Trusts: Subsidiary Companies

Question

To ask the Secretary of State for Health and Social Care, what steps have been taken to ensure NHS England enforces the guidance around the formation of subcos.

Answer

Outsourcing transactions which involve the creation of new subsidiaries, or material changes to existing subsidiaries, including any proposals in the North West, are reportable to NHS England for review in line with its published subsidiary transaction guidance.

NHS England wrote to the sector on 26 September 2025 to highlight a change in national policy on subsidiaries given concerns about transferring National Health Service staff into new organisations, which is seen as undermining the concept of a single NHS workforce.

NHS England will shortly consult on updating the subsidiary transaction guidance to confirm that subsidiaries involving the transfer of NHS staff will now only be approved in a limited number of circumstances, and only where there is clear local union support and protection of NHS terms and conditions, including pension access.

All subsidiary transaction proposals involving the transfer of NHS staff are paused while NHS England undertakes this consultation, unless they are supported by local unions. This includes any proposals in the North West.

Secondary information

Type
Written question
Reference
118798
Session
2024-26
Grouped for answer
Yes
Subjects
NHS trusts Subsidiary companies
Link
View this Written question on www.parliament.uk