NHS Information Technology

Health written question – answered on 14th September 2004.

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Photo of Paul Farrelly Paul Farrelly Labour, Newcastle-under-Lyme

To ask the Secretary of State for Health

(1) what reviews his Department has undertaken into the financial viability of (a) contractors and (b) sub-contractors of companies working on the NHS National Programme for Information Technology;

(2) if the Department will ask Accenture to report on the (a) financial standing and (b) accounting treatment of revenues and profits at iSoft.

Photo of John Hutton John Hutton Minister of State, Department of Health, Minister of State (Department of Health) (Health)

It is a standard precautionary business practice to commission financial and market assessments of prospective business partners. In addition to the financial evaluation of companies as pare of the Official Journal of the European Union competitive process, all organisations tendering to become prime contractors of the national programme for information technology, and relevant sub-contractors, were subjected to financial and market assessments before contractual arrangement were entered into. This was undertaken by specialist advisers; themselves and selected by competitive process.

The Department has no current plans separately to ask Accenture for a report specifically on the financial standing of its subcontractor iSoft, or on the accounting treatment of revenues and profits by the company. These are matters between iSoft and its auditors.

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