Private hospital will be for NHS surgery

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A private hospital is to be turned into a surgical centre solely for NHS patients under a ground-breaking Government move set to infuriate health unions.

The Health Secretary, Alan Milburn, will today announce details of the agreement that will see the Bupa hospital turned into the first of 20 diagnostic and treatment centres for NHS patients. It will continue to be owned and managed by Bupa but the Government will foot the bills for NHS patients to receive up to 5,000 routine operations a year, starting from next April. Patients will not have to pay for treatment.

The hospital, expected to be confirmed today as Bupa's Gatwick Park Hospital, will become an "express surgery centre" performing operations such as hip replacements.

The move will anger trade unions and dash hopes that ministers had cooled on public-private partnerships after hinting strongly that Labour would raise taxes to boost the health budget. Their irritation will be only slightly moderated by the decision not to transfer any NHS staff to the private sector. Bupa is likely to continue employing its own staff at the centre although some doctors and nurses may be brought in from a nearby NHS trust.

The Government promised in its manifesto to create 20 such centres by 2004.