Strategically Engaging the NHS in 2026: Navigating the New 10-Year Health Plan

Jul 18, 2025By Nelson Advisors

I. Executive Summary
  
The National Health Service (NHS) in England is embarking on a profound transformation, spearheaded by its new 10-Year Health Plan. This ambitious strategy aims to fundamentally reshape healthcare delivery by 2026 and beyond, driven by three pivotal shifts: from hospital-centric care to community-based services, from analogue processes to digital-first operations, and from reactive treatment to proactive prevention. 
  
Central to this evolution is the establishment of "neighbourhood health services" as the new frontline of care. For suppliers, understanding these strategic imperatives is not merely an academic exercise but a critical prerequisite for successful market engagement. The evolving procurement landscape, characterised by a focus on social value, net-zero commitments and outcomes-based contracting via the Provider Selection Regime (PSR), necessitates a sophisticated and adaptive sales approach.

Success in this new NHS environment will hinge upon a supplier's ability to align their offerings directly with these transformative priorities, demonstrate tangible contributions to system-wide efficiency and patient outcomes and navigate a decentralised yet interconnected commissioning structure. This report provides a comprehensive guide for businesses seeking to strategically position themselves within this dynamic and opportunity rich market.
 


II. Introduction: The Evolving Landscape of the NHS in 2026 

The National Health Service in England is at a critical juncture, facing an acknowledged need for profound systemic reform. The recently unveiled 10-Year Health Plan serves as a direct response to the recognition that the existing health system is no longer deemed "fit for purpose". This comprehensive blueprint calls for "radical change, major surgery, not sticking plasters," signalling a decisive departure from incremental adjustments. 
  
The overarching objective is to restore the NHS to a robust and sustainable footing, ensuring its continued capacity to provide universal care, free at the point of use, based on clinical need, from "cradle to grave". This necessitates a fundamental reimagining of care delivery, empowering patients with greater choice and control over their health journeys. The urgency of this transformation is underscored by the plan's assertion that the NHS must reform or face an increasingly unsustainable future.

The Three Fundamental Shifts: Hospital to Community, Analogue to Digital, Sickness to Prevention

At the very core of this transformative agenda lie three interdependent shifts, designed to fundamentally alter the NHS's operational model and the very fabric of care provision

From Hospital to Community: This shift aims to decentralise care, moving services out of traditional acute hospital settings and into local communities, closer to where people live. A key manifestation of this is the planned establishment of new Neighbourhood Health Centres (NHCs) across the country.

From Analogue to Digital: Recognizing that the NHS has lagged technologically, this transition seeks to replace outdated, siloed analogue systems with a "digital by default" approach. The objective is to harness new technologies to streamline administrative burdens for staff, enhance operational efficiency, and empower patients through improved access and self-management tools.

From Sickness to Prevention: This represents a proactive reorientation of healthcare, emphasising early intervention and the prevention of illness rather than solely reactive treatment.1 The goal is to make healthy choices more accessible and to address health challenges before they escalate, thereby reducing the burden on acute services.

These three shifts are not isolated initiatives; they are explicitly defined as the "core components of our new care model" Their successful implementation requires a concerted, rapid effort across the entire NHS system.

Why Understanding These Shifts is Crucial for Market Engagement

For any organisation contemplating engagement with the NHS market in 2026, a comprehensive understanding of these strategic imperatives is non-negotiable. The 10-Year Health Plan explicitly champions "innovation and reform," indicating that new approaches and solutions will be actively sought and integrated across the NHS. Technology, in particular, is positioned as central to overcoming the NHS's most significant challenges. Consequently, suppliers whose products and services demonstrably align with, and actively contribute to, these transformative priorities will be uniquely positioned for success. Market entrants and existing suppliers must move beyond a transactional sales mindset to one that articulates how their offerings enable the NHS to achieve its ambitious vision for the future of healthcare.
  
III. Understanding the NHS's Strategic Imperatives for 2026
  
A. The 10-Year Health Plan: Vision and Core Shifts

The "Fit for the Future: 10 Year Health Plan for England" articulates a bold vision for the NHS, aiming to transform it into a "fully digital, patient-focused service". This ambitious strategy extends beyond clinical care, seeking to propel the NHS into a position of "global leadership" within science, innovation, and academia. A cornerstone of this ambition is the goal to establish the NHS as the "most artificial intelligence enabled care system in the world" and a frontrunner in the "global genomics revolution". This technological leadership is intended to foster precision medicine and enable earlier intervention in health challenges.

Underpinning these aspirations is a commitment to a "value-based approach," designed to optimise resource allocation for superior health outcomes and, in turn, generate broader economic benefits for the UK, including supporting workforce participation. This signifies a shift where the NHS is viewed not merely as a recipient of economic investment but as an "engine for economic growth".

Key operational objectives derived from this plan include:

Financial Rebalancing: A strategic reallocation of health spending is anticipated, with a projected decrease in expenditure on hospital care and a proportional increase in investment in out-of-hospital services over the next three to four years.

Enhanced Primary Care Access: The plan aims to eliminate the "8am scramble" for GP appointments by significantly increasing the number of General Practitioners and enhancing online advisory services via the NHS App, with a goal of same-day appointments for those requiring them.

New Primary Care Models: New contractual frameworks will be introduced to incentivise GPs to collaborate across broader geographical areas and to lead new neighbourhood healthcare providers.

Patient Empowerment: Patients will be increasingly supported to become active participants in their own care through the expansion of personal health budgets (PHBs) and the comprehensive functionality of the NHS App, enabling appointment booking, communication with professionals, access to advice, care plan management, and self-referral to local services.

Neighbourhood Health Centres (NHCs): A central tenet is the establishment of an NHC in every community. These centers are envisioned as "one-stop shops" for patient care, serving as operational bases for multidisciplinary teams and operating for at least 12 hours a day, six days a week.

Expanded Role for Community Pharmacy: Community pharmacies are slated to play a significantly larger role in the management of long-term conditions, with a crucial integration point being their linkage to the Single Patient Record.

Community-Based Urgent Care: A fundamental shift in urgent care delivery is planned, moving more services into the community, including patients' homes and NHCs, with the long-term goal of transforming traditional hospital outpatient services by 2035.

Performance Improvement: The plan seeks to restore the 18-week elective treatment standard and expand same-day emergency care services.

Mental Health Investment: Dedicated mental health emergency departments will receive up to £120 million in investment to ensure rapid, appropriate access to specialist support.

AI Integration in Hospitals: All hospitals are targeted to be fully AI-enabled within the lifespan of this 10-year plan.

 
A crucial aspect of this strategic direction is the understanding that the 10-Year Health Plan represents more than a mere set of healthcare initiatives. It functions as a declaration of radical, system-wide reform with explicit economic and societal ambitions that extend beyond the immediate delivery of healthcare services. The plan envisions the NHS as an "engine for economic growth," capable of "unlocking broader economic benefits for the UK" and actively contributing to "getting people back into work". 
  
This implies that suppliers are not simply offering a product or service; they are presenting a contribution to the NHS's broader strategic narrative of national transformation and economic revitalisation. Consequently, suppliers must articulate their value proposition not only in terms of clinical efficacy, technological advancement, or direct cost effectiveness but also by demonstrating how their offering contributes to the NHS's role as an economic catalyst, helps to address health inequalities, or supports the long-term sustainability of the workforce. This requires a more sophisticated, values-aligned pitch that resonates with the NHS's macro-level objectives and the broader governmental agenda.
  
B. Neighbourhood Health Services: The New Frontline of Care Delivery

Neighbourhood health services are poised to become the cornerstone of the NHS's strategy to deliver care closer to home, actively working to prevent hospital admissions and enhance access to care. These services are envisioned as "one-stop shops" for patient care, designed to integrate various health and social support functions.
  
The operational model for these services centres on pioneering multidisciplinary teams. These teams will comprise a diverse range of professionals, including nurses, doctors, social care workers, pharmacists, health visitors, palliative care staff, and paramedics. The intent is to foster a truly integrated approach, with some teams even co-locating entirely under one roof within local communities. The long-term vision for these neighbourhood health centres includes extended operating hours, aiming for at least 12 hours a day, six days a week.
  
Beyond traditional medical care, these integrated services will encompass a broader spectrum of support. This includes bringing historically hospital-based services, such as diagnostics, post-operative care, and rehabilitation, directly into the community. Crucially, they will also address wider social determinants of health by offering services like debt advice, employment support, stop smoking programs, and weight management. An illustrative example of this integrated approach is "Team Up Derbyshire," which effectively connects GPs, social workers, home carers, and nurses to provide comprehensive home-based support.
  
The rollout strategy for neighbourhood health services prioritises the most deprived areas first, specifically targeting working-class communities and coastal towns where healthy life expectancy is lowest and health inequalities are most pronounced. The government has already initiated this rollout, inviting health chiefs and local authority chief executives to submit applications for Phase 1 of the programme. From September 2025, the first 42 sites are set to immediately begin implementing their neighbourhood health programmes, with support and clear metrics for reporting progress. 
  
A joint task force, co-chaired by Sir John Oldham, has been established between the Department of Health and Social Care and NHS England to drive this progress, involving key figures from the NHS, local authorities, and the voluntary sector.
  
In terms of commissioning and local empowerment, the shift from hospital to community necessitates increased investment in out-of-hospital care. Integrated Care Boards (ICBs), which have largely superseded Clinical Commissioning Groups (CCGs), are now responsible for commissioning the majority of hospital and community NHS services within their local areas, ensuring that the diverse healthcare needs of the local population are met. These ICBs serve as strategic commissioners, primarily responsible for driving this "left shift" of care. Local leaders within these ICBs are empowered to determine how services are best delivered at scale and are held accountable for outcomes rather than rigid adherence to specific structures.
  
Place-based partnerships, typically serving populations of 250,000-500,000, are considered the "engine rooms" for integration, where much of the practical delivery of integrated care services occurs. Various flexible delivery models are emerging, including Vertical Models (where the ICB contracts with each place, potentially delegating commissioning), Pooled Budgets (where budgets are combined across NHS bodies and local authorities for integrated commissioning), and Lead Provider Models (where a single provider leads the commissioning and delivery of services, often devolved to local neighbourhoods).
  
C. From Acute to Community: Decentralising Care

The strategic shift from acute to community care is fundamentally driven by the imperative to alleviate pressure on hospital systems and improve patient flow, thereby addressing persistent challenges such as excessive waiting times. The 2025/26 NHS Planning Guidance sets ambitious targets: a reduction in elective care waiting times, aiming for 65% of patients to wait less than 18 weeks by March 2026, and 72% for a first appointment by the same date. Furthermore, the proportion of patients waiting over 52 weeks for treatment is targeted to fall below 1% by March 2026, and performance against the 62-day cancer standard is set to reach 75%.
  
Improvements in ambulance response and A&E waiting times, with a minimum of 78% of patients seen within four hours, are also critical objectives. A significant component of this decentralisation is the growth of virtual wards, urgent community response (UCR) services, and various forms of home-based care. These initiatives are designed to reduce avoidable ambulance dispatches and conveyances, and to improve access to urgent care services directly in the home or community setting.8 The aim is to deliver more urgent care outside of hospitals, ultimately transforming traditional hospital outpatient services by 2035. This includes improving "hear and treat" rates for ambulance calls and ensuring clinical navigation and triage for lower-category calls.
  
This strategic reorientation presents substantial opportunities for suppliers. Solutions that facilitate community diagnostics, post-operative care, and rehabilitation are highly sought after, as these services are increasingly being delivered within neighbourhood health settings. This extends to a wide array of products and services, including daily living aids, moving equipment, and specialised beds and mattresses suitable for home use, which support patient safety and enable timely discharge. Specific areas of demand include continence home delivery services, wheelchair products and services, and a comprehensive range of community health services such as musculoskeletal (MSK) services, podiatry, audiology, phlebotomy, and community dentistry.
  
Furthermore, solutions for the management of long-term conditions—including respiratory, diabetes, tissue viability and wound care, lymphoedema, heart failure, and neurological conditions—are critical as care for these conditions shifts into community settings. Community rehabilitation, covering neurology, pulmonary, stroke, and cardiac rehab pathways, alongside intermediate care services (both home and community bed-based), are also key areas of focus.
  
The strategic shift to community care is not merely about relocating services; it is fundamentally about reducing acute demand and optimising patient flow across the entire health system. The ambitious waiting time targets for elective care, A&E, and cancer treatment are direct drivers for this decentralisation. This means that suppliers offering solutions that can demonstrably reduce hospital admissions, shorten the length of patient stays, or facilitate earlier and safer discharge will be exceptionally valued. Such solutions include advanced virtual care platforms, remote monitoring technologies that enable proactive management of chronic conditions, and comprehensive home-based support services. For instance, a virtual ward solution that reduces the need for inpatient beds directly contributes to meeting elective waiting list targets by freeing up capacity. Therefore, suppliers whose solutions contribute to these critical outcomes, by alleviating pressure on acute settings, directly address a core NHS performance imperative, making their offerings significantly more attractive and strategically relevant.
  
D. From Treatment to Prevention: A Proactive Health Agenda

The shift from reactive treatment to proactive prevention is a fundamental pillar of the NHS's 10-Year Health Plan, aiming to foster a healthier society and alleviate the strain on the healthcare system. Within the NHS context, 'prevention' encompasses a broad range of actions taken by NHS organisations that directly or indirectly contribute to preventing ill health and premature mortality within the population.This includes primary prevention (preventing a health problem from developing), early detection of disease for timely intervention, and actions to minimise adverse consequences from existing conditions.
  
The NHS is actively implementing various key prevention programmes. Notable examples include the successful NHS Diabetes Prevention Programme, which resulted in a 7% reduction in new type 2 diabetes diagnoses in participating areas. Other significant initiatives include the Digital Weight Management Programme for adults with obesity and co-morbidities, targeted support to reduce tobacco and alcohol dependency, and comprehensive screening and treatment for infectious diseases such as Tuberculosis (TB), HIV, Hepatitis B, and Hepatitis C. The Antimicrobial Resistance (AMR) National Action Plan is also a critical component, aiming to reduce antibiotic use and prevent infections.

Community health services, particularly General Practices (GPs) and pharmacies, are integral to achieving this preventative health strategy. The role of community pharmacy is set to increase significantly in the management of long-term conditions, with plans to link them to the Single Patient Record. The burgeoning consumer health market also plays a complementary role, with a multitude of tests available online, from pharmacies, and from health and beauty retailers, empowering individuals to monitor various health aspects, including chronic conditions and viral infections. This has boosted the market for over-the-counter (OTC) medications, supplements, and medical technologies like smartwatches and glucose monitors, facilitating self-management of minor ailments.
  
This strategic focus opens numerous opportunities for suppliers. Technologies that enable early detection, support self-management, and facilitate lifestyle interventions are highly relevant. This includes solutions for population health management, which can identify at-risk groups and tailor preventative interventions. NHS England also directly commissions certain public health services, indicating specific procurement pathways for preventative solutions.
  
A critical dimension of the prevention agenda is its deep interconnection with the objective of reducing health inequalities. The NHS explicitly recognizes that prevention activities must be carefully planned and delivered to avoid inadvertently widening existing disparities, as uptake often tends to be lowest among those who already face poorer health outcomes and greater challenges in accessing healthcare. Therefore, suppliers' preventative solutions need to demonstrate not just clinical efficacy but also a clear commitment to equitable access and impact across diverse socioeconomic groups. This means designing solutions that are accessible to digitally excluded populations, culturally sensitive, and capable of reaching communities with the greatest need, which aligns directly with the targeted rollout of Neighbourhood Health Services in deprived areas. For a preventative solution to be truly valuable to the NHS, it must not only be effective but also designed with accessibility and equity at its core, addressing the imperative to "proportionately target those in greatest need".
  
E. From Analogue to Digital: Modernising Healthcare Infrastructure

The digital transformation is a cornerstone of the NHS's 10-Year Health Plan, with an ambitious vision to transition from a "20th-century technological laggard" to a "21st-century leader". The overarching goal is for the NHS to become "digital by default" and the "most AI-enabled care system in the world". This involves propelling the NHS to the forefront of the technological curve.
 
Key digital transformation initiatives include:
  
The NHS App: Positioned as the "digital front door" to the NHS, the app is evolving into a comprehensive gateway for patient interaction.5 It enables patients to access advice for non-urgent care, choose providers, book tests, manage prescriptions, book appointments, communicate with professionals, view their care plans, and self-refer to local services. This expansion aims to reduce administrative burdens on staff and empower patients with greater ownership over their care. It is envisioned as a "doctor in your pocket".

Health Data Research Service: Supported by significant public investment, this initiative aims to harness NHS data for research and service improvement. Its success hinges on overcoming historical challenges related to poor interoperability, variable standards, and fragmented data governance.

Single Patient Record (SPR): The introduction of a national SPR system is a critical objective, designed to provide seamless, secure access to patient histories across primary, secondary, and community care settings. This system is expected to significantly improve care coordination, reduce duplication, and enhance patient safety. Community pharmacies are also intended to be linked to this SPR.

Internal NHS Operations: Digital transformation extends beyond patient-facing services to address outdated, siloed internal systems. The plan involves replacing legacy infrastructure with interoperable, cloud-based platforms. Specific changes include the implementation of single sign-on systems to reduce time spent accessing various platforms, AI scribes to automate note-taking during consultations, and integrated communication tools for faster collaboration among care teams. A core objective here is freeing up clinician time by reducing administrative overload.

NICE's Expanded Remit: The National Institute for Health and Care Excellence (NICE) is set to expand its role to assess and decommission outdated digital tools, providing a clear, evidence-based framework for technology evaluation and adoption.

Strategic Technologies: The NHS is placing "big bets" on technologies such as Artificial Intelligence (AI), robotics, genomics, and wearables to personalise care and enhance productivity across the system.The ambition is for all hospitals to be fully AI-enabled within the plan's lifetime.

The implementation of this digital agenda is guided by frameworks such as the Digital Capabilities Framework (DCF) and the Tech Innovation Framework (TIF). The DCF outlines requirements for digital maturity across acute, community, mental health, ambulance, and maternity providers, aiming for a nationally connected healthcare ecosystem with patient engagement at its heart. It emphasises interoperability and the creation of a longitudinal patient record, ensuring data accessibility across different systems. Funding for frontline digitisation to meet DCF requirements was available between 2022 and 2025. The TIF, part of the Digital Services for Integrated Care suite, supports the introduction of cloud-based, innovative clinical products into the GP marketplace. Solutions on this framework must be public cloud-hosted, browser-based, and built around open APIs, delivering core electronic health record (EHR) functions such as patient information maintenance, appointments, consultations, prescribing, referrals, and resource management. Suppliers must meet the standards on the Digital Services for Integrated Care Catalogue.

Examples of digital health solutions already being implemented in community care include phone and video appointments, remote monitoring where patients enter self-readings, online apps and websites for self-management, and electronic prescribing (EPS). Digital behavioural therapy for adolescents is also being explored to reduce waiting times for mental health services.
  
Despite these advancements, challenges persist. Digital exclusion remains a significant barrier, influenced by factors such as a lack of electronic devices, internet connectivity, and the necessary digital skills and confidence. Fragmented digitalisation, multiple apps with siloed records, poor interoperability, variable standards, and fragmented data governance continue to hinder seamless care. Public trust regarding patient data collection and sharing is also a critical consideration.
  
The NHS's digital transformation extends beyond simply adopting new technologies; it represents a fundamental re-engineering of workflows and patient-clinician interactions. This profound shift is aimed at addressing systemic pressures, particularly workforce shortages and the pervasive administrative burden on staff. The explicit emphasis on tools like AI scribes, single sign-on systems, and integrated communication tools highlights a deep-seated need for solutions that genuinely free up clinical time, rather than merely adding new digital layers to existing complex processes. This implies that suppliers must demonstrate a clear Return on Investment (ROI) in terms of efficiency gains, administrative burden reduction, and staff empowerment, in addition to any patient-facing benefits. For instance, a new digital solution that automates routine tasks for nurses directly contributes to staff retention and morale, addressing a critical workforce challenge. Therefore, suppliers should frame their digital solutions not just as patient conveniences or clinical advancements, but as vital tools that directly support NHS staff productivity, well-being, and the long-term sustainability of the workforce, which are major strategic concerns for the organisation.
   
IV. Navigating NHS Procurement in 2026
  
A. Core Procurement Principles and Pathways

The NHS procurement process is governed by principles designed to ensure fairness, achieve the best outcomes for patients, and secure value for money for taxpayers. These principles include non-discrimination, equal treatment, transparency, and mutual recognition of equivalent documents and standards. Suppliers are expected to clearly understand the requirements and evaluation criteria for tenders, and must demonstrate their financial, commercial, and technical capability to meet contractual obligations. Compliance with various regulations, such as quality management systems, health and safety, and environmental standards, is also mandatory.
  
The procurement approach varies depending on the contract value, type of product or service, complexity, and duration. For low-value purchases, typically below £10,000, a simple purchase order form is issued after a quotation is obtained. Standard contracts are established through competitive tender exercises, invitations to quote, or, in exceptional circumstances, single supplier tenders.
  
Key platforms for engaging with NHS procurement include:

Pro contract procurement portal: This is the primary platform for registering with the NHS Supply Chain and bidding for contracts.

Atamis: This serves as the single eCommercial system for the health family, used by the majority of NHS organisations for procurement planning, tendering, contract management, and supplier management. All direct tendering opportunities are published on Atamis, and it facilitates the Evergreen sustainable supplier assessment, aligning with net-zero ambitions.

Contracts Finder and Find a Tender Service: These services are essential for searching for procurement opportunities and identifying successful suppliers.

 
The emphasis on transparency and fairness, coupled with the strategic shift towards prioritising patient outcomes and demonstrating social value, signifies a move beyond a purely transactional procurement model. This means that simply having the "best" product or the lowest price is no longer sufficient for securing contracts. Suppliers must now articulate how their solution, and their broader organisational practices, align with and contribute to the NHS's fundamental values and its commitment to public good. This requires a more comprehensive and values-driven pitch that extends beyond technical specifications to encompass the societal and environmental impact of their offerings. For example, a supplier might highlight how their product improves health equity in underserved communities or how their manufacturing processes contribute to the NHS's net-zero carbon goals.
  
B. Key Stakeholders and Engagement Points

Navigating the complex NHS landscape requires a clear understanding of the various stakeholders and the most effective points of engagement.
  
Procurement Teams: Each NHS trust or hospital operates its own procurement team responsible for sourcing goods and services. Direct engagement with these teams is crucial for inquiring about specific opportunities and discussing products.

NHS Supply Chain: This organization manages central procurement for the NHS. Companies can contact them for information on the broader procurement process and upcoming tenders.

Innovation Hubs: NHS England has established Innovation Hubs across the country to assist innovative companies in navigating the NHS procurement system and connecting them with potential customers. Engaging with local Innovation Hubs can provide valuable guidance and networking opportunities.

UK Trade & Investment: This government body offers support to UK-based companies looking to export and grow their business, including those targeting the NHS.

NHS England: Following the merger with NHS Digital, NHS England is now responsible for designing and operating national data infrastructure and digital systems. It also holds responsibility for commissioning certain public health services. Engagement with relevant teams within NHS England is vital for national-level digital and public health initiatives.

Integrated Care Boards (ICBs): These bodies are paramount in the new NHS structure. ICBs commission the majority of hospital and community NHS services within their local areas, making decisions on what services are needed for diverse local populations. They are strategic commissioners, primarily responsible for driving the "left shift" of care from hospitals to communities. ICBs are empowered to determine how services are best delivered at scale and are held accountable for outcomes. Many GP services are now co-commissioned with ICBs.

Trade Associations: NHS England Commercial regularly engages with a broad range of trade associations, which can serve as important channels for information dissemination and support networks for growth and innovation.

 
The decentralisation of care towards "neighbourhood health services" and the significant empowerment of Integrated Care Boards (ICBs) mean that a singular, national sales strategy is increasingly insufficient. Suppliers must recognize that while national frameworks provide access, the ultimate success in securing contracts will depend heavily on identifying and engaging directly with local procurement teams and ICBs. This necessitates a granular understanding of each ICB's specific population health needs, their local commissioning models (eg. Vertical, Pooled Budgets, or Lead Provider models) and their unique priorities for implementing the 10-Year Health Plan. A supplier's approach must evolve from a broad-brush national pitch to a more localised, relationship-driven strategy that can demonstrate how their solution addresses the particular challenges and objectives of individual Integrated Care Systems and their constituent place-based partnerships. This requires investment in local market intelligence and relationship management capabilities.
  
C. The Provider Selection Regime (PSR) and its Implications

The Provider Selection Regime (PSR), which applies to the procurement of healthcare services, represents a significant shift from traditional public procurement regulations. Its core focus is on achieving patient outcomes, enhancing service quality, and promoting integration across care pathways, rather than solely emphasizing price. This regime reduces the emphasis on formal competitive tendering for clinical healthcare services, fostering a more collaborative and outcomes-oriented approach.
  
Under the PSR, there are three primary routes to contract award:

Direct Award: This route is applicable when there is only one suitable provider for a service.

Continued Arrangement: This allows for the continuation of contracts with existing providers where services are performing well.

Competitive Process: A competitive process is undertaken only when neither of the above routes is appropriate.

 
Key considerations under the PSR include service continuity, addressing specific population health needs, and ensuring seamless integration with existing care pathways.
  
The PSR fundamentally transforms the NHS's procurement mindset from a purely cost-driven, competitive tender model to one that prioritizes long-term value, continuity, and seamless integration. This means that suppliers must move beyond simply submitting the lowest bid or highlighting basic product features. 
  
Instead, their value proposition must articulate how their solution delivers sustained value, integrates effortlessly with existing NHS systems and care pathways, and directly contributes to holistic patient care and improved population health outcomes. For instance, a digital solution that can demonstrate reduced re-admissions or improved patient self-management, thereby contributing to service continuity and better outcomes, will be viewed more favorably than a cheaper alternative with less demonstrable impact. 
  
Furthermore, the "continued arrangement" and "direct award" routes under the PSR place a premium on building strong, trust-based relationships and demonstrating consistent, high-quality performance with existing NHS entities. This incentivises suppliers to invest in long-term strategic partnerships and continuous service improvement, as this can provide a more stable route to securing and retaining contracts compared to repeated competitive tendering.

D. Emphasis on Social Value and Net Zero Commitments
  
A critical and increasingly weighted component of NHS procurement is the explicit emphasis on social value and net-zero carbon commitments. The NHS mandates a minimum of 10% weighting for net zero and social value within its tenders. This means that suppliers must not only offer competitive products or services but also demonstrate a clear and robust commitment to achieving net-zero carbon emissions as part of the broader Greener NHS initiative.
  
This commitment extends to various aspects of a supplier's operations and value chain. For example, companies like HH Global have outlined specific net-zero targets, including achieving 100% renewable electricity in operations by 2025, a 50% reduction in emissions across all scopes by 2030, and a 90% reduction in value chain emissions by 2040. Their strategies involve leveraging digital platforms for reducing material volumes, aiding suppliers in decarbonisation, employing carbon transparency tools for product innovation, optimizing logistics for lower-carbon freight, and reducing packaging waste.
  
The explicit 10% weighting for social value and net-zero commitments 24 is not merely a compliance requirement; it functions as a potent strategic lever for the NHS to drive broader societal and environmental goals through its immense purchasing power. This implies that suppliers who can genuinely demonstrate innovative solutions for reducing their carbon footprint, contributing positively to local communities, or supporting workforce well-being (beyond the primary function of their product or service) will gain a significant competitive advantage. For example, a supplier might highlight their local employment initiatives, their use of sustainable materials, or their efforts to enhance diversity and inclusion within their workforce. This necessitates a holistic view of a company's overall business impact, moving beyond a narrow focus on product features or direct costs to encompass their broader environmental, social, and governance (ESG) contributions. Suppliers must integrate sustainability and social responsibility into their core business strategy and proactively articulate these efforts within their tender responses to differentiate themselves in the market.
  
E. Identifying Opportunities: Framework Agreements and Procurement Pipeline

For businesses seeking stable, long-term engagement with the NHS, procurement frameworks offer a structured and compliant pathway. These framework agreements establish pre-approved lists of suppliers and set terms and conditions for contracts over a defined period, typically one to four years. This streamlines the purchasing process for NHS organisations, allowing them to procure from vetted suppliers without conducting full tender processes for each individual requirement.19 Frameworks are often segmented into 'lots' based on product/service type or region, allowing specialised offerings to be targeted.
  
Participation in an NHS procurement framework confers significant strategic advantages, including immediate credibility within the healthcare marketplace. Framework status signals that a supplier has already undergone rigorous evaluation of their financial stability, technical capability, and compliance credentials, positioning them as a trusted partner.
  
Key frameworks and procurement avenues include:
  
NHS Supply Chain: This is a central organisation responsible for procurement, utilising the Pro contract portal for registration and bidding.

NHS Shared Business Services (NHS SBS): NHS SBS frameworks manage approximately £1 billion of NHS spend annually, offering compliant routes to market and significant savings. They cover diverse categories, including the "Acute and Community Health & Social Care Equipment, Products and Services" framework, active until January 2026. This framework encompasses a wide range of items crucial for community care, such as daily living aids, continence products, wheelchair services, community and acute beds/mattresses, and moving and handling equipment.

NHS Workforce Alliance: This alliance provides frameworks specifically focused on staffing and workforce solutions, connecting trusts with experienced suppliers for clinical and non-clinical staffing, international recruitment, and workforce improvement services.

Health Systems Support Framework: This framework enables NHS organisations to procure supportive services from innovative third-party suppliers, including advanced analytics, population health management, and digital and service transformations.

Tech Innovation Framework (TIF): Part of the Digital Services for Integrated Care suite, the TIF supports the delivery of cloud-based, innovative clinical products into the GP marketplace. It focuses on solutions that are public cloud-hosted, browser-based, and built around open APIs, covering core electronic health record functions.

Clinical Digital Health Solutions (CDHS) & Clinical Digital Professional Solutions Framework (CDPS): These frameworks offer streamlined procurement routes for NHS trusts to access leading-edge digital health solutions (e.g., EHRs, e-prescribing, remote monitoring) and related professional services.
  
Monitoring the procurement pipeline is essential for identifying upcoming opportunities. Suppliers should regularly check:
  
Contracts Finder and Find a Tender Service: These public services advertise tender opportunities.

Atamis: As the single health family eCommercial system, Atamis publishes all direct tendering opportunities.

NHS.UK roadmap: This provides insights into future developments on the NHS website, which can indicate upcoming digital procurement needs.

Specific Pipeline Documents: Examples include the NHS England commercial pipeline, which lists potential re-procurements for services like multi-channel communications and NHS.UK support delivery for 2026. Large tenders, such as NHS Scotland's £206 million tender for a cloud integration solution to consolidate HR, finance, payroll, and procurement processes, highlight the scale of digital investment.

 
V. Strategic Recommendations for Suppliers
  
To successfully navigate and capitalize on the evolving NHS market in 2026, suppliers must adopt a multi-faceted and strategically aligned approach. The radical transformation outlined in the 10-Year Health Plan necessitates a shift from traditional sales tactics to a more collaborative and value-driven engagement model.
  
Aligning Offerings with NHS Priorities
  
The fundamental shifts from hospital to community, treatment to prevention, and analogue to digital are not merely buzzwords; they represent the core investment areas and strategic direction of the NHS. Suppliers must meticulously tailor their products and services to directly address these priorities. For neighbourhood health services, this means developing solutions that support multidisciplinary teams, facilitate integrated care delivery, and address wider social determinants of health, such as platforms for social prescribing or tools for community-based diagnostics and rehabilitation. 
  
In the realm of preventative care, offerings should focus on early detection technologies, self-management tools, and lifestyle intervention programs that can demonstrably reduce the burden of chronic diseases and improve population health outcomes. For digital transformation, solutions must emphasize interoperability, enhance efficiency for clinical and administrative staff, and empower patients through user-friendly digital access. A clear articulation of how a solution contributes to these specific strategic goals will be paramount.
  
Leveraging Digital Solutions for Market Entry and Delivery
  
The NHS's ambition to become "digital by default" and "AI-enabled" presents significant opportunities, but also clear requirements. Suppliers developing digital health solutions must prioritize cloud-based architectures and open API functionality to ensure seamless integration with existing and future NHS systems, such as the Single Patient Record (SPR) and Electronic Patient Records (EPR). Furthermore, any digital solution must be designed with inclusivity at its core, actively addressing the challenges of digital exclusion by ensuring accessibility for all patient demographics, including older adults and those with complex needs who may lack devices, connectivity, or digital literacy. Beyond patient-facing benefits, suppliers should highlight how their digital tools can deliver tangible efficiency gains for NHS staff, such as automating administrative tasks or streamlining communication, thereby freeing up valuable clinical time and addressing workforce pressures.
  
Engaging with Integrated Care Boards (ICBs) and Local Partnerships
  
The increasing decentralization of commissioning power to Integrated Care Boards (ICBs) means that a national-only sales strategy will be insufficient. Suppliers must invest in understanding the specific needs, priorities, and commissioning models (e.g., Vertical, Pooled Budgets, or Lead Provider) of individual ICBs and their constituent "place-based partnerships." Building strong, localized relationships with key decision-makers within these entities is crucial. This involves actively participating in local engagement events, understanding regional health inequalities, and tailoring proposals to address the unique population health challenges and strategic objectives of each Integrated Care System. Demonstrating how a solution can integrate within existing local care pathways and contribute to the ICB's specific outcome targets will be a significant differentiator.
  
Demonstrating Social Value and Sustainability
  
The NHS's explicit 10% weighting for net-zero carbon and social value in tenders is a clear signal that these are not peripheral considerations but integral components of procurement decisions. Suppliers must proactively embed their net-zero commitments and social value contributions into their core business strategy and tender proposals. This involves quantifying their environmental impact reduction efforts, such as renewable energy use or waste reduction, and articulating their positive contributions to local communities, such as local employment, skills development, or support for vulnerable groups. Aligning with the Greener NHS initiative and demonstrating a holistic commitment to environmental and social responsibility will provide a significant competitive advantage beyond the primary product or service offering.
  
Utilising Procurement Frameworks and Innovation Pathways

Accessing the NHS market is often most efficient through established procurement frameworks. Suppliers should actively seek inclusion on relevant frameworks such as those managed by NHS Shared Business Services (NHS SBS), the Tech Innovation Framework (TIF) for digital solutions, the Health Systems Support Framework for analytics and transformation services, and the Clinical Digital Health Solutions (CDHS) frameworks. These frameworks provide pre-vetted access to NHS organizations and streamline the sales process. Additionally, engaging with NHS Innovation Hubs can provide invaluable guidance on navigating the procurement system and connecting with potential customers. Continuous monitoring of procurement portals like Atamis, Contracts Finder, and the Find a Tender Service is essential to identify new opportunities and understand the evolving procurement pipeline, including specific tenders for 2026 and beyond.
  
Building Relationships and Credibility
  
Beyond formal procurement processes, cultivating strong, long-term relationships and establishing credibility are paramount. This involves engaging early and consistently with procurement teams, ICBs, and relevant trade associations. Suppliers must demonstrate not only sound financial standing and the necessary experience to deliver but also a deep understanding of the NHS's challenges and its transformative vision. Under the Provider Selection Regime (PSR), the emphasis on patient outcomes, service quality, and integration over price alone means that a proven track record of successful implementation and positive impact will be highly valued. Suppliers should proactively share case studies, pilot results, and testimonials that highlight their contribution to improved patient care, enhanced efficiency, and seamless integration within the NHS ecosystem.
  
VI. Conclusion: Positioning for Success in the Future NHS Market
  
The NHS in 2026 will be a healthcare system in active transformation, driven by an urgent mandate for radical change across its operational model and care delivery. Success for suppliers hinges upon a profound understanding of, and active response to, the strategic shifts from hospital to community, treatment to prevention, and analogue to digital. The establishment of neighbourhood health services as the new frontline of care, coupled with the empowerment of Integrated Care Boards, signals a move towards more localised, integrated, and outcomes-focused commissioning.
  
The procurement landscape, influenced by the Provider Selection Regime, increasingly prioritizes value, service continuity, and integration over mere cost, while also placing significant emphasis on social value and net-zero commitments. For businesses, this necessitates a strategic pivot: from selling a product or service in isolation to articulating a comprehensive value proposition that demonstrates direct alignment with the NHS's macro-level objectives, including its role in economic growth and addressing health inequalities.
  
To thrive in this environment, suppliers must remain agile and innovative, continuously adapting their offerings to meet the evolving needs of a system undergoing "major surgery." A long-term outlook, focused on building enduring relationships, demonstrating tangible contributions to patient outcomes, and actively supporting the NHS's journey towards a sustainable, patient-centric, and digitally-enabled future, will be the ultimate determinant of success. The opportunities are substantial for those prepared to engage strategically and collaboratively with the NHS's ambitious reform agenda.
  
Nelson Advisors > Healthcare Technology M&A
  
Nelson Advisors specialise in mergers, acquisitions and partnerships for Digital Health, HealthTech, Health IT, Consumer HealthTech, Healthcare Cybersecurity, Healthcare AI companies based in the UK, Europe and North America. www.nelsonadvisors.co.uk

 
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