Litigation > ‘Savings’

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7. Litigation - Savings

Ministers claim nearly £1bn saved in 2024/25 by cracking down on agency spend. On paper, it looks like grip. In reality, the NHS paid out £3.1bn in clinical negligence compensation the same year, with future liabilities of £60.3bn sitting on the books.

Suppressing agency does not suppress demand. Staff shortages, exhausted rotas, and delayed care increase harm. Litigation is the invoice for unsafe staffing, and it dwarfs any “savings” ministers claim. Maternity services alone accounted for £1.3bn of last year’s payouts lifelong injury costs that reflect fragile staffing, supervision, and escalation.

Meanwhile, costs have not disappeared; they have been displaced into banks, overtime, MSP contracts, and insourcing all often more expensive than agency. True value for taxpayers isn’t moving one column on a spreadsheet down; it’s reducing harm so the liability bill doesn’t keep climbing.

If patients were asked to choose between declining services with rising negligence payouts, or a diverse, flexible, well-staffed ward, the answer is obvious. Yet government policy is delivering the opposite: suppressing flexible staffing while paying billions in harm. Safe staffing isn’t a luxury, it is the only way to stop patients and taxpayers footing a growing bill for failure.

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