As reported by NHS Confederation, the government’s latest Spending Review, offers welcome funding boosts but leaves gaps in capital investment and workforce costs
The government’s Spending Review (SR) sets the Department of Health and Social Care’s budget to rise by 2.8% in real terms from 2026/27 to 2028/29 – a relatively generous increase compared to other departments, but still below historic levels and the 4% rise experts say is needed to restore services.
Key health announcements include:
Up to £10bn for NHS tech and digital upgrades by 2028/29, including a single patient record and expanded NHS App.
More funding to train GPs by 2028/29 (exact figure not given).
700,000 extra urgent dental appointments annually.
Mental health support teams in all schools by 2029/30 and 8,500 more mental health staff.
While revenue funding has increased, capital budgets remain largely unchanged, prompting concerns about how reform and infrastructure improvements will be delivered. NHS England has proposed an off-balance-sheet capital investment model, which NHS Confederation supports.
There’s also urgent need for clarity on redundancy cost coverage so Integrated Care Boards can plan necessary workforce changes.
The NHS Confederation welcomed broader government efforts to address health inequalities, including £3.5bn for employment support, £39bn for affordable housing and £1.2bn for skills.
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