UK’s NHS extends contract with DHL
The NHS Business Services Authority has announced that the current NHS Supply Chain service contract with DHL has been extended by two years, from 2016 until 2018. As part of the agreement to extend the contract, however, revised terms will come into play from 1 October 2015 and operate for three years until 30 September 2018.
According to a statement issued by the NHS Business Services Authority on Thursday (20 August): “These terms include a revised reward structure where DHL will be incentivised to deliver more value to NHS customers and cost savings to the tax payer.
“A cash releasing savings target of £150m has been agreed for delivery by October 2018 in addition to the £150m target already set for March 2016.”
The NHS Business Services Authority added that NHS Supply Chain “has to date already achieved savings of £96.5 million against the March 2016 target”.
Commenting on the extension and revised terms, NHSBSA’s Director of Change and Commercial Delivery Steven Pink said: “This agreement provides a step change in savings delivery for the NHS. We’re really looking forward to working closely with NHS Customers, Suppliers and DHL to secure the £300m savings target.”
