Nigel Edwards, director of policy at the NHS Confederation which represents over 90 per cent of NHS organisations, said:
"We welcome the consultation on the future of Payment by Results. The experience of two years of PbR means that the time is now right to see how the system can be developed to deal with some of the challenging emerging issues including the treatment of people with long term conditions, shifting care outside of hospitals and improving the overall quality of patient care.
"The consultation paper is useful in its focus on the basic building blocks of PbR and in providing the service with an opportunity to engage in the important debate about its future.
"Payment by Results must be fit for purpose for the different types of integrated services we want to provide for the future, as well as sustaining and supporting highly specialised services. However, PbR is only a tool and we need to pay equal attention to deciding how we use it to change service delivery. This means shifting PbR from a tool used by directors of finance to a mechanism used by clinicians."