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  1. 5. Multiple Fractures
  2. Privatised health
  3. Wrightington Hospital, in the countryside near Wigan, grew in
  4. fits and starts around an eighteenth-century mansion that
  5. Lancashire County Council bought in 1920 after the death of its
  6. last resident, a spendthrift with a fanatical attachment to blood
  7. sports. The hospital promotes itself as a centre of orthopaedic
  8. excellence’. National Health Service hospitals have to promote
  9. themselves these days. In 2011 it survived a brush with closure.
  10. It’s neat and scrubbed and slightly worn at the edges, unable
  11. to justify to itself that few per cent private firms set aside for
  12. corporate sheen, although it does have a museum dedicated to
  13. John Charnley, who, almost half a century ago, invented a
  14. reliable way to replace human hips with artificial ones, creating
  15. a benchmark by which the success and failure of the NHS
  16. would always be judged.
  17. They still do hips at Wrightington, and knees, and elbows,
  18. and shoulders. They deal with joint problems that are too
  19. tricky for general hospitals. There’s a sort of blazer and
  20. brogues testosterone in the corridors, where the surgeons have
  21. a habit of cuffing one another’s faces affectionately. At the end
  22. of a hallway lined with untidy stacks of case notes in wrinkled
  23. cardboard folders Martyn Porter, a senior surgeon and the
  24. hospital’s clinical chairman, waited in his office to be called to
  25. the operating theatre. He offered me his intense, tired,
  26. humorous gaze. ‘The problem with politicians is they can’t be
  27. honest,’ he declared. ‘If they said, “We’re going to privatise the
  28. NHS,” they’d be kicked out the next day.’
  29. The patient Porter was about to operate on was a
  30. sixty-year-old woman from the Wirral with a complex prosthesis
  31. in one leg, running from her knee to her hip. She had a
  32. fracture and Porter had got a special device made for her at a
  33. workshop in another part of the NHS, the Royal National
  34. Orthopaedic Hospital at Stanmore in Middlesex. The idea was
  35. for the device to slide over the femoral spur of the knee joint,
  36. essentially replacing her whole leg down to the ankle. ‘The case
  37. we’re doing this morning, we’re going to make a loss of about
  38. £5,000. The private sector wouldn’t do it,’ he said. ‘How do
  39. we deal with that? Some procedures the ebitda is about 8 per
  40. cent. If you make an ebitda of 12 per cent you’re making a
  41. real profit.’ You expect medical jargon from surgeons, but I
  42. was surprised to hear the word ebitda from Porter. It’s an
  43. accountancy term meaning ‘earnings before interest, taxation,
  44. depreciation and amortisation.
  45. ‘Last year we did about 1,400 hip replacements,’ he said.
  46. ‘The worrying thing for us is we lost a million pounds doing
  47. that. What we worked out is that our length of stay’ – the
  48. time patients spend in hospital after an operation – ‘was six
  49. days. If we can get it down to five days we break even and if
  50. it’s four, we make a million pound profit.’
  51. I felt I’d somehow jumped forward in time. A year had
  52. passed since the 2010 election that brought the
  53. Conservative-Liberal Democrat coalition to power. The Coalition’s
  54. programme promised: ‘We are stopping the top-down
  55. reconfigurations of NHS services, imposed from Whitehall.’ A
  56. few weeks after they gained power, a new health secretary, the
  57. Conservative Andrew Lansley, announced his plans for a
  58. top-down reconfiguration of England’s NHS services, imposed
  59. from Whitehall. When I talked to Porter, Lansley had barely
  60. been in his job a year, and hadn’t yet, supposedly, shaken up
  61. the NHS. But here was a leading surgeon in an NHS hospital,
  62. about to perform a challenging operation on an NHS patient,
  63. telling me exactly how much money the hospital was going to
  64. lose by operating on her, and chatting easily about profit and
  65. loss, as if he’d been living in Lansleyworld for years. Had the
  66. NHS been privatised one day while I was sleeping?
  67. When the NHS was created in 1948, it had three core
  68. principles. It would be universal: everyone would get medical
  69. treatment whenever they needed it. It would be comprehensive,
  70. covering all forms of healthcare, from dentistry to cancer. And
  71. it would be free to use. No matter how much the system cost
  72. to run, no matter how much or how little any individual had
  73. contributed to those costs, no matter how expensive their
  74. treatment or how many times they went to the doctor, they’d
  75. never be billed for it. Through dozens of reorganisations since
  76. then, these principles have remained, along with another: that
  77. it’s never a bad time for a fresh reorganisation. Otherwise,
  78. much has changed.
  79. The main source of the money that funds the NHS is still, as
  80. it was in 1948, general taxation. For the first thirty years of the
  81. health service’s existence, civil servants in Whitehall and the
  82. regions doled out annual budgets to hospitals and GPs
  83. according to the populations they served. Money flowed down
  84. from the Treasury, but it didn’t flow horizontally between the
  85. different parts of the NHS. Each element got its overall
  86. allowance, paid its staff, obtained its equipment and supplies,
  87. and co-operated, sometimes well, sometimes not, with the other
  88. elements, according to an overarching plan. The aim was
  89. fairness, an even spread of care across the country. In a
  90. monopoly healthcare system, competition has no place; on the
  91. contrary, it seemed sensible to the planners to avoid duplication
  92. of services. It was patriarchal and democratic, innovative and
  93. hidebound, cumbersome and cheap. For the majority without
  94. private insurance, if you were ill, you knew you’d always be
  95. cared for; if you were cared for carelessly, you had nowhere
  96. else to go.
  97. Trying to describe in generally comprehensible terms how
  98. money flows through the NHS today would be hard enough
  99. without the shifting channels of policy In England – Scotland,
  100. Wales and Northern Ireland have gone along divergent health
  101. paths – the various parts of the NHS had already begun
  102. altering or abolishing themselves in response to the
  103. reorganisation announced in 2010 when the reorganisation itself
  104. was reorganised. In 2012, the Coalition responded to the
  105. clamour against Lansley’s reorganisation by sacking Lansley and
  106. keeping the reorganisation. Truly you can’t step in the same
  107. NHS river twice. The last period of relative stability was just
  108. before Lansley came along, when, crudely speaking, the money
  109. flowed like this. Every so often – perhaps every year, or every
  110. two or three – the Department of Health made its pitch to the
  111. Treasury for the amount of money it thought it should get
  112. from the overall tax pot, and was then told how much it
  113. would actually get. Most of the money came from general
  114. taxation – income tax, VAT, corporation tax, duties on booze
  115. and tobacco – but a proportion came directly from national
  116. insurance, a vitiated form of the link between that levy and the
  117. welfare state its architects intended. In the last pre-Lansley
  118. allocation, Health got £101.5 billion for the following year, a
  119. slight increase. Most of it – £89 billion – was divided up
  120. between about 150 local agencies called Primary Care Trusts, or
  121. PCTs, spread around the country. PCTs acted as the
  122. commissioners’ of health services, ordering a community’s
  123. medical care from hospitals, GPs and mental health
  124. professionals and paying them accordingly.
  125. PCTs could use NHS money to commission care from the
  126. private sector. They weren’t under any obligation to shop
  127. locally, either. Under Labour in the 2000s, NHS patients had
  128. been given the chance to choose private or far-away hospitals
  129. for treatment, which meant the PCTs were obliged to
  130. commission from them. Even before Lansley’s changes, NHS
  131. hospitals like Wrightington had become dependent for their
  132. financial viability on the money they made from selling their
  133. services to the PCTs. Competition already existed.
  134. The amount of money PCTs got from the government varied.
  135. The Department of Health had a panel of civil servants and
  136. academics called the Advisory Committee on Resource Allocation
  137. (ACRA), which came up with a formula for working out the
  138. health needs of each area based on population size and density
  139. the proportion of elderly people, life expectancy and the degree
  140. to which their health varied from the mean. In the poorer
  141. parts of Merseyside, for instance, where male life expectancy is
  142. sixty-seven, men can expect to be incapacitated by disability of
  143. some kind by the age of forty-four. The corresponding figures
  144. for the richer parts of West London are eighty-nine and
  145. seventy-four. The variation in the sums different PCTs got
  146. relative to their population was, accordingly, considerable. In
  147. 2011 South Gloucestershire received £1,298 per head, Islington
  148. in London £2,268.
  149. Primary Care Trusts were set up in 2002; they were
  150. abolished only eleven years later. Post-Lansley, money flows
  151. through the NHS differently. It still comes from general
  152. taxation, but most of the money that used to go to the PCTs
  153. is doled out by a new organisation, NHS England, to bodies
  154. called Clinical Commissioning Groups, essentially clusters of GP
  155. practices. Across England, groups of family doctors have
  156. become responsible for handling tens of billions of pounds of
  157. public money, using it to commission most of the medical care
  158. NHS patients receive, from major surgery to simple diagnostic
  159. tests. Lacking expertise of their own, most are paying private
  160. contractors to manage these funds for them, or hiring ex-PCT
  161. staff to do the same jobs they used to do.
  162. At the same time a series of other changes have made
  163. commission more of a euphemism for ‘buy’. Not everything the
  164. PCTs commissioned came with a price tag. But increasingly
  165. almost all procedures, even those as seemingly amorphous and
  166. complex as caring for the mentally ill, have been coming in
  167. quantified, priced units – ‘healthcare resource groups’, each with
  168. its own code. Any hospital anywhere in England, NHS or
  169. private, that carried out procedure HA11C on an NHS patient
  170. in 2010 – treatment of a routine hip fracture – got a base
  171. payment of £8,928 from the outfit that commissioned it, and
  172. £9,373 if it followed ‘best practice’. A maternity unit clocked
  173. £1,324 for a regular birth, NZ01B; putting in an artificial heart,
  174. EA43Z, earned £33,531. The sum was adjusted according to a
  175. local ‘market forces factor’, which took account of the variation
  176. in cost of labour and assets between different areas. The codes
  177. and prices were worked out, in turn, according to the actions
  178. taken and materials used by typical hospitals, with ‘best
  179. practice’ bonuses – if a hospital gave a stroke patient a
  180. prompt brain scan and had an acute stroke unit of a certain
  181. standard, for instance, it would get an extra £475 on top of
  182. the base payment of £4,095. If the actual cost to the hospital
  183. was less – if the hospital managed to send the patient home
  184. quicker than usual, for instance – the hospital would keep the
  185. difference. The notion of the profitable hospital within the NHS
  186. was born.
  187. The new system takes this simulated privatisation, this
  188. enactment of commerce, further. State money ‘follows the
  189. patient’ wherever the patient chooses to take it, even when that
  190. is outside the NHS. Patients with chronic conditions like
  191. diabetes will not be given treatment, but money to spend on
  192. treatment. All NHS hospitals are obliged to become ‘foundation
  193. trusts’, turning them into semi-commercial operations, able to
  194. borrow money, set up joint ventures with private companies,
  195. merge with other hospitals – and go broke. The contracts they
  196. make with GP groups are legally binding. They now compete
  197. not only with other NHS hospitals and private hospitals but
  198. potentially with the GP groups themselves, who may set up
  199. local clinics to provide diagnostic tests or minor surgery.
  200. Alongside the NHS Commissioning Board two other quangos
  201. now supervise the new, competitive marketplace: the Care
  202. Quality Commission, there to make sure the players in the new
  203. marketplace don’t harm patients, and Monitor, which, among
  204. other duties, will make sure that if a hospital goes bust
  205. somebody takes up the slack.
  206. In 2011, it was announced that a billion pounds’ worth of
  207. NHS services, including wheelchair services for children and
  208. ‘talking therapies’ for people suffering from mild depression,
  209. anxiety or behavioural awkwardnesses like obsessive compulsive
  210. disorder, were to be opened up to competitive bids from the
  211. private sector. The doctor and Daily Telegraph blogger Max
  212. Pemberton described it as ‘the day they signed the death
  213. warrant for the NHS’. Now the NHS must compete with
  214. private outfits for MRI scans in Lincolnshire, glaucoma
  215. treatment in Cheshire, continence care in Stoke-on-Trent and
  216. psychotherapy in West Kent. Worried about the lack of
  217. competition in flexi-sigmoidoscopy in Bassetlaw? NHS England’s
  218. website reassures you: it’s coming soon.
  219. Throughout the current debate on the health service’s future,
  220. the Conservatives have praised it as an abstract concept,
  221. pledging to uphold ‘an NHS that is free at the point of use
  222. and available to everyone based on need, not the ability to
  223. pay’. But it is quite possible to praise something even as you
  224. legislate it out of existence. Changes don’t need to be advertised
  225. as embodying a cumulative destructive purpose for that purpose
  226. to be achieved. The fall of the Roman Empire was never
  227. announced, yet its fate was sealed once its rulers, no doubt for
  228. reasons of efficiency, introduced a choice of competing
  229. barbarians to defend its borders.
  230. In their book The Plot Against the NHS, Colin Leys and
  231. Stewart Player argue that, having failed to persuade the public
  232. and the medical establishment under Margaret Thatcher that
  233. the NHS should be turned into a European-style national
  234. insurance programme, the advocates of a competitive health
  235. market gave up trying to convince the big audience and
  236. focused on infiltrating Whitehall’s policymaking centres and the
  237. think tanks. As a result the government and the cast Leys and
  238. Player call ‘marketeers’ – private companies, lobbyists,
  239. pro-market think tankers – publicly praise the NHS, while
  240. taking incremental steps to turn it into an NHS in name only:
  241. a kitemark, as one prominent marketeer puts it in the book.
  242. Yet there was a huge gap between the end of John Major’s
  243. administration in 1997 and the Tory-Liberal pact of 2010.
  244. Labour, the party that created the NHS, that has pledged to
  245. defend it and has denounced the Lansley reforms, was in
  246. power for those thirteen years. So how did a surgeon like
  247. Martyn Porter end up, in 2011, so accustomed to the world of
  248. commercial competition and the bottom line? As Leys and
  249. Player show, it was the governments of Tony Blair and Gordon
  250. Brown that began replacing the public components of the NHS
  251. with private ones, the effect concealed by large spending
  252. increases, long before the Coalition took charge. If the
  253. Conservatives and their Liberal allies are dismantling the NHS, it
  254. was Labour that loosened the screws.
  255. The first attempt to introduce market competition into the
  256. NHS was made by Kenneth Clarke in 1990, in the dying
  257. months of Thatcher’s rule. An ‘internal market’ was rushed in,
  258. against the advice of the medical profession. It was watered
  259. down; it had less effect than its critics feared or its supporters
  260. hoped. Tony Blair’s first health minister, Frank Dobson, read its
  261. funeral rites when Labour came to power seven years later.
  262. Yet at the turn of the millennium, Alan Milburn replaced
  263. Dobson, and Labour introduced a new, more radical version of
  264. that market.
  265. It was Labour that introduced foundation trusts, allowing
  266. hospital managers to borrow money and making it possible for
  267. state hospitals to go broke. It was Labour that brought in the
  268. embryonic commercial health regulator Monitor. It was Labour
  269. that introduced ‘Choose and Book’, obliging patients to pick
  270. from a menu of NHS and private clinics when they needed to
  271. see a consultant. It was Labour that handed over millions of
  272. pounds to private companies to run specialist clinics that would
  273. treat NHS patients in the name of reducing waiting lists for
  274. procedures like hip operations. It was Labour that brought
  275. private firms in to advise regional NHS managers in the new
  276. business of commissioning. And it was Labour that began
  277. putting a national tariff on each procedure.
  278. The more closely you look at what has happened over the
  279. last twenty-five years, the more clearly you can see a consistent
  280. programme for commercialising the NHS that is independent of
  281. party political platforms: a purposeful leviathan of ideas that
  282. powers on steadily beneath the surface bickering of the political
  283. cycle, never changing course.
  284. A key source of those ideas was Alain Enthoven, an
  285. American economist. Enthoven spent most of the 1960s in the
  286. Pentagon, one of the cerebral ‘whizz kids’ on the staff of the
  287. defence secretary Robert McNamara. McNamara was a wonk,
  288. confident that no mystery could withstand statistical analysis,
  289. and Enthoven was the chief wonk’s wonk, crunching numbers
  290. to judge whether the new weapons the generals wanted were
  291. worth it. In 1973, Enthoven reinvented himself as an expert in
  292. the economics of healthcare. He believed the US health system,
  293. as a whole, was a failure (he described tax relief for private
  294. health insurance as a disaster), but thought one part of it, a
  295. California-based outfit called Kaiser Permanente, was exemplary.
  296. His ideal was something called ‘managed competition’, and in
  297. 1985 he wrote a paper for the Nuffield Trust suggesting it
  298. could work for the NHS.
  299. Enthoven himself seems to have been taken aback by the
  300. speed with which Thatcher’s sunset coterie latched onto him. In
  301. an interview with the British Medical Journal in 1989 he said of
  302. the Conservative proposals: ‘I was very surprised by the lack of
  303. detail... I thought that I was throwing out a general idea that
  304. needed to be developed.’ It is eerie to read the interview now.
  305. Everything that Enthoven prescribed then was either brought in
  306. by New Labour or is being put in place by Labour’s supposed
  307. opponents a generation later. ‘I recommended that the district
  308. health authorities be recast as purchasers of services on behalf
  309. of the populations they serve, with choice of where and from
  310. whom they buy the services, rather than being cast as
  311. monopoly suppliers’ – check. ‘Another very strong idea is that
  312. money follows patients’ – check. ‘Pay hospitals prospectively by
  313. diagnosis-related groups as our Medicare programme does’ –
  314. check. ‘Self-governing NHS trusts’ – check.
  315. What seems to have happened since 1985 is that Enthoven’s
  316. ideas have become embedded in individual careers, financial
  317. aspirations and personal relationships independently of the rise
  318. and fall of parties. For individuals, there is money to be made
  319. by promoting the market. In 2006, Accountancy Age reported
  320. that the NHS was spending more on consultants than all
  321. Britain’s manufacturers put together. The figure for 2007-08
  322. was £308.5 million. The post-political careers of the Labour
  323. cabinet ministers responsible for marketising the NHS don’t
  324. make for comfortable reading. Alan Milburn became an adviser
  325. to Bridgepoint Capital, a venture capital firm backing private
  326. health companies in Britain, and to the crisps and fizzy drinks
  327. maker PepsiCo; for eighteen days a year advising Cinven, which
  328. owns thirty-seven private hospitals, Patricia Hewitt, one of
  329. Milburn’s successors as health secretary, was paid £60,000.
  330. The revolving door has become a blur. Simon Stevens, Blair’s
  331. special adviser on health, became a senior executive at
  332. UnitedHealth, one of America’s largest private health companies;
  333. he is now back on the government payroll as head of NHS
  334. England. Mark Britnell, a career NHS manager who rose to
  335. become one of the most powerful civil servants in the
  336. Department of Health, upped sticks in 2009 to become global
  337. head of health for the consultants KPMG.
  338. This last move did have the advantage of giving an insight
  339. into what had actually been going on in Whitehall and Downing
  340. Street. In 2010 Britnell was interviewed for a brochure put out
  341. by Apax Partners, a private equity firm: it had organised a
  342. conference in New York on how private companies could take
  343. advantage of the vulnerability of healthcare systems in a harsh
  344. financial climate. ‘In future,’ Britnell said, ‘the NHS will be a
  345. state insurance provider, not a state deliverer... The NHS will
  346. be shown no mercy and the best time to take advantage of
  347. this will be in the next couple of years’ Responding later to the
  348. dismay his comments had caused, Britnell said in an article for
  349. the Health Service Journal that the NHS had saved his life in
  350. the year he left government service, that he would always
  351. support it, and that the quotes attributed to him ‘do not reflect
  352. the discussion that took place’ at the conference. But he didn’t
  353. deny making the comments. ‘Competition,’ he added, ‘can exist
  354. without privatisation.’
  355. Yet Britnell had topped his own ‘no mercy’ line in an article
  356. he’d written for the same magazine the previous week. There
  357. he made the unremarkable if contentious point that ‘all over
  358. the world, the size of the state has been increasing.’ What
  359. furrowed the brow was the base year he chose for the
  360. comparison with today’s level of public spending: the year was
  361. 1870, when infant mortality in Britain ran at 16 per cent,
  362. working-class men had just been given the vote, and four
  363. years had passed since a cholera epidemic killed 3,500
  364. Londoners.
  365. Critics of the NHS often cite Enthoven’s favourite health
  366. organisation, Kaiser Permanente, as a model for efficient,
  367. integrated care. And yet from the British point of view Kaiser
  368. stands out among American providers not because it’s better or
  369. worse than the NHS but because it looks a bit like it. It’s
  370. huge: it provides medical care to a mainly Californian
  371. membership roughly the size of the population of Austria. Its
  372. doctors are salaried and its hospitals are non-profit. It offers
  373. patients a complete service of hospitals, labs and family doctors,
  374. as the NHS does, although it also has its own pharmacies. And
  375. one explanation for its efficiency, as with the NHS until a few
  376. years ago, is that it actually limits choice. Most Kaiser members
  377. have a health plan that offers them or their employers relatively
  378. low premiums in exchange for using only Kaiser facilities.
  379. Kaiser is doing a lot right. Its model of’integrated care’ –
  380. where a single health organisation looks out for people not just
  381. during treatment but before, after and between, and hospital
  382. admission is seen as a failure – has long been a goal for
  383. progressives in the NHS. It seems to have done a better job
  384. than the NHS of getting medical information off paper and into
  385. computers. A 2003 study in the British Medical Journal,
  386. investigating the length of time the over-65s spent in hospital,
  387. found that for hip replacements, British pensioners went home,
  388. on average, twelve and a half days after admission; Kaiser
  389. patients were home after four and a half. Kaiser doesn’t tie its
  390. consultants to its thirty-five hospitals; those who deal with
  391. chronic conditions are as likely to be in its 455 medical centres,
  392. alongside family doctors.
  393. Getting ideas from Kaiser is one thing (as alluded to by
  394. Martyn Porter, NHS lengths of stay in hospital have dropped
  395. sharply since 2003); using it as a template is another. The
  396. major problem that militates against importing the Kaiser model
  397. to the NHS is money. England isn’t the only country that has
  398. studied Kaiser. In 2011 a Danish think tank, the Rockwool
  399. Foundation, reported on its investigations. Its team, led by Anne
  400. Frølich, found that Kaiser was better than the Danish health
  401. service at getting its constituent parts to work together, at
  402. getting patients to take responsibility for their own health and
  403. at preventing unnecessary hospital admissions. Everything was
  404. great, except that for every krone Denmark spent on
  405. healthcare, Kaiser spent one and a half. According to the latest
  406. OECD figures, Denmark outspends Britain on healthcare, head
  407. for head, by 25 per cent. On the basis of the Rockwool study,
  408. the Kaiser system could be reproduced in Britain only if health
  409. spending were increased by 87 per cent. That is not going to
  410. happen on any Tory or Labour planet in this galaxy.
  411. The curious thing about the Lansley plan is that it was
  412. supposed to save money, yet despite the increase in spending
  413. on the NHS under Labour, the organisation remains a bargain.
  414. The two foreign systems with which it is most often compared,
  415. the American and the French, are more expensive, are coming
  416. to be seen as unaffordable in their own countries and contain
  417. elements that it would be hard for Britons to accept. Kaiser
  418. works well and is cheaper than traditional American healthcare.
  419. But it reflects the US model. Although that model is being
  420. changed by the introduction of President Obama’s Affordable
  421. Care Act, it remains idiosyncratic. Most people over sixty-five
  422. are eligible for Medicare, a kind of gold-plated American NHS
  423. for the elderly, but otherwise, if you have no insurance, you
  424. have no guaranteed access to medical facilities, including
  425. Kaiser’s. If you fall seriously ill in the US, aren’t insured and
  426. aren’t rich, you have two main options: to go to a hospital’s
  427. accident and emergency unit, where they’re obliged to treat
  428. you, or to try to get Medicaid, a government programme to
  429. help the poor and disadvantaged run on a state by state basis.
  430. But the hospital will charge the full rate for treating you, which
  431. it will then try to recover against any assets you have, while
  432. Medicaid is means-tested. In other words, being uninsured and
  433. having a serious car accident in the United States is hard to
  434. make compatible with owning a house.
  435. The Affordable Care Act (ACA) is a giant step towards
  436. equality of opportunity in America, though it falls short of a
  437. revolution. The new law proposes that all fifty states accept a
  438. more generous means test for households trying to enrol in
  439. Medicaid. The threshold depends on household size; in most
  440. states, a family of four could be earning up to $32,500 a year
  441. and still qualify. In many parts of the US, where the current
  442. threshold is less than $12,000, this is a massive increase, and
  443. should enable proper health care for the first time to millions of
  444. low-paid working Americans whose employers are too mean to
  445. cover them. But a swathe of southern and mid-western states
  446. with Republican legislatures, including four of the five with the
  447. highest poverty levels, Mississippi, Louisiana, Alabama and
  448. Texas, are refusing, with the approval of the Supreme Court, to
  449. implement the system.
  450. For middle-class Americans, the new system is just as radical.
  451. Individuals still aren’t forced to take out health insurance, but
  452. they now suffer a stiff tax penalty if they don’t. In return, for
  453. middle-income households earning up to $94,000, the
  454. government offers hefty subsidies on a choice of health plans,
  455. and has abolished the brutal pre-existing condition’ rule, which
  456. allowed insurance companies to refuse coverage to people who
  457. were already ill. All businesses above a certain size will be
  458. obliged to start offering their employees health cover. Supporters
  459. of the law believe it will more than pay for itself; its increased
  460. costs will be offset by thinning out the armies of walking
  461. wounded who throng hospital emergency rooms, and by
  462. spreading risk more widely.
  463. But as many as thirty million people will still be left without
  464. medical cover – low-paid people in the pro-inequality states,
  465. illegal immigrants and people who gamble that they won’t need
  466. a doctor and prefer to pay a tax penalty rather than a
  467. premium. And even if you are insured in America, and have
  468. access to some of the world’s finest medical facilities, just
  469. paying the premium each month doesn’t make healthcare free
  470. at the point of delivery. Two standard features of US health
  471. insurance, before the ACA and under it, are the ‘copay’, a fee
  472. for consultations or drugs, and the ‘deductible’, an amount the
  473. patient is expected to pay before the insurance kicks in, like
  474. the excess on car insurance. The lower the premiums, the
  475. higher the copays and deductible.
  476. With the new subsidies Kaiser’s Platinum 90 plan, for
  477. instance, costs $345 a month for a forty-year-old woman with
  478. one child living in San Francisco and earning $40,000 a year.
  479. Although much more affordable than it would have been
  480. pre-ACA, that’s a high premium, and there’s no deductible. But
  481. each year she has to pay $20 to see a doctor after the first
  482. visit; $150 for a trip to the emergency room; between $5 and
  483. $15 per prescription; $250 a day for a hospital stay, and so
  484. on up to a maximum of $8,000 a year. At the other end of
  485. the scale, there’s a Bronze plan that costs $123 a month.
  486. That’s a bargain if she doesn’t get sick. But if mother or child
  487. falls ill, she has to pay the first $9,000 out of her own pocket.
  488. After that the copays kick in – two-fifths of the actual cost of
  489. everything from chemotherapy to x-rays – until she’s forked
  490. out $12,700.
  491. A Harvard-led study found that 62 per cent of all
  492. bankruptcies in the United States in 2007 were due to medical
  493. bills, an increase of 50 per cent in six years. Most of those
  494. affected were well-educated, middle-class homeowners.
  495. Astonishingly, three-quarters had their finances destroyed by
  496. medical costs even though they had insurance. In a significant
  497. number of cases, it was paying to look after a sick child that
  498. bankrupted parents. Among the common ailments were
  499. neurological conditions like multiple sclerosis, which left
  500. households $34,000 out of pocket on average, diabetes
  501. ($26,000) and stroke ($23,000). In his paper ‘Sick and (Still)
  502. Broke’, the lawyer Ryan Sugden points out that while the ACA
  503. puts a helpful cap on copayments, it doesn’t eliminate them,
  504. and does little to help people who have to quit work through
  505. their or a child’s illness. ‘While the Affordable Care Act will
  506. reduce the overall number of bankruptcies, and arguably
  507. eliminate the most morally objectionable causes of medical
  508. bankruptcy, in a system based on market principles there will –
  509. and must – be consumers whose own bad choices spell
  510. financial trouble,’ he writes. ‘For society to “win” and receive
  511. the benefits of a consumer-driven system, there must be some
  512. who “lose”.’
  513. Latest figures from the OECD and the World Health
  514. Organisation suggest that the US spends 2.4 times more on
  515. health per person than Britain, yet Britons live slightly longer,
  516. on average, than Americans. British men can expect to live to
  517. be seventy-eight, two years older than American men; for
  518. women it’s eighty-two versus eighty-one.
  519. The US healthcare system is unique, as is the NHS. Most
  520. rich countries lie somewhere in-between the two, using
  521. mandatory insurance, with a mixture of state, for-profit and
  522. non-profit medical organisations providing the care. France, for
  523. instance, spends slightly more on health than Britain, and
  524. French women, though not French men, live slightly longer.
  525. French people of working age, together with their employers if
  526. they have them, pay into a social security fund that’s supposed
  527. to cover healthcare, pensions, disability and child support. The
  528. poorest French people get healthcare absolutely free under a
  529. system called Couverture Maladie Universelle, or CMU. There is
  530. also a list of thirty conditions, known as Affections Longue
  531. Duree, which are treated free of charge for everyone: cancer,
  532. HIV, diabetes, Parkinson’s, all the way to leprosy Otherwise the
  533. relatively well-off, though shielded from ruin by the sickness
  534. insurance system, Assurance Maladie, are faced with a system
  535. of copays not much less onerous than America’s. Where in
  536. Britain copays are restricted to dentistry and prescription
  537. charges, in France patients pay a fee each time they visit the
  538. doctor. They pay a percentage, known as the ticket
  539. moderateur, of hospital costs, ambulance bills and medical
  540. procedures. Each visit to your GP, for instance, costs €23 up
  541. front, of which €15.10 will be reimbursed. A replacement hip is
  542. free, but to get one put in you have to pay 20 per cent of
  543. the cost of surgery, lab tests, consultants’ fees and the stay in
  544. hospital.
  545. The huge sums France spends giving its citizens free,
  546. universal access to the latest cancer drugs and equipment are
  547. popular, but the country’s lavish spending on extreme illnesses
  548. doesn’t put it as far ahead of Britain as critics of the NHS
  549. claim. One recent study led by Philippe Autier of the
  550. International Agency for Research on Cancer in Lyon showed
  551. that the number of people dying of breast cancer in England
  552. and Wales fell by 35 per cent between 1989 and 2006, against
  553. an 11 per cent fall in France. France is still doing slightly better
  554. than England but the rates have almost converged.
  555. Britons who idealise the French system imagine that in France
  556. anyone can see any doctor they like and that the state will
  557. pick up the bill, but if this were ever true, it isn’t true now.
  558. The country’s social security fund is chronically in the red. To
  559. see a consultant inside the Assurance Maladie system, patients
  560. have to get a referral from a GP, as in Britain. And there are
  561. two kinds of doctor. Only secteur 1 doctors charge the
  562. Assurance Maladie fee. Secteur 2 doctors can set their own
  563. fees, but the share reimbursed by Assurance Maladie doesn’t
  564. change. An increasing number are taking out private health
  565. insurance to cover the gap.
  566. All the rich world’s diverse health care systems are struggling
  567. with ageing populations, with the diseases of plenty – obesity,
  568. diabetes – and new, ever more expensive ways to treat their
  569. illnesses. But to speak in terms of ‘health care systems’ doesn’t
  570. accurately represent what’s happening to the NHS. The NHS
  571. used to be no more or less than a health care system; now
  572. it’s a health care system into which a whole other system, the
  573. system of competitive consumerism, is pushing. A system that
  574. was concerned first with making people well and, as a
  575. secondary preoccupation, looking after itself, is now trying to
  576. accommodate competition. But competition between agencies for
  577. business, even medical business, is easy to understand. The
  578. more insidious novelty is competition between patients. Once it
  579. used to be enough to get help for what ailed you. Now
  580. patients are being encouraged to think about how the NHS
  581. treats them in terms of the discontent-fostering narratives of
  582. advertising: to imagine other patients who are getting better or
  583. worse treatment than they are, in prettier or uglier hospitals,
  584. with therapies that are not necessarily more effective but are
  585. faster, more fashionable, that come in a wider range of colours.
  586. The blurring of the distinction between health care and the
  587. maintenance of lifestyle choices gives the enemies of the NHS
  588. another means by which to accuse it of failure.
  589. One dark Sunday afternoon in February 1982 fill Charnley
  590. waited at the wheel of a car outside a hospital in Mansfield.
  591. Through the storm she saw her husband bustling towards her
  592. with a plastic pail containing the haunch of a woman who’d
  593. just died. ‘Down the road he came with a triumphant smile on
  594. his face and this bucket with a hip in it,’ she told me not long
  595. ago. ‘He put it in the boot of the car. I remember saying: “My
  596. God, I hope we don’t have an accident, if they look in the
  597. boot of the car to see what’s there...”’
  598. John Charnley, Sir John as he was by then, managed to
  599. restrain himself from dissecting the specimen, preserved under
  600. formalin, until the next day. The dead patient’s hip was, in a
  601. way, as much his as hers. It was implanted in 1963, one of
  602. the world’s first successful total hip replacements, performed by
  603. Charnley using a hip of his own design. ‘This is truly a
  604. marvellous climax to my series of more than seventy cases,’ he
  605. wrote in his journal, referring to post-mortem examinations he’d
  606. already done on his early patients. To have his prototype hip
  607. work smoothly inside someone for almost twenty years and still
  608. be, as he described it, in perfect condition, gave him joy.
  609. The first generation of NHS surgeons were front-line surgeons
  610. in a literal sense. In 1940, aged twenty-nine, Charnley went to
  611. France as a military medic with the makeshift flotilla evacuating
  612. British troops from Dunkirk. ‘He didn’t expect to survive,’ his
  613. widow said. ‘The boat he was in was bombed or shelled. I
  614. remember him saying to me that this was the point when he
  615. believed he’d been saved for a purpose.’
  616. The foundation of the NHS in 1948 coincided with a golden
  617. era in the struggle against infectious disease. In postwar Britain,
  618. orthopaedic surgeons earned their spurs in hospitals built in the
  619. countryside as sanitoria, designed to deal with the bone and
  620. joint problems caused by tuberculosis and polio. But the
  621. incidence of these infectious diseases was dropping. Casting
  622. around for new reasons to be, the bone doctors fastened on
  623. arthritis.
  624. Up to this point, the options for people with a dodgy hip
  625. were limited. Basic human actions – walking, getting up, sitting
  626. down – require smooth movement of the femoral head, the
  627. ball-like top of the thigh bone, against the cup-like socket in the
  628. pelvis known as the acetabulum. When it works as evolution
  629. made it, it is because socket and head are sheathed in a
  630. smooth layer of cartilage that secretes a natural lubricant called
  631. synovial fluid. Inflammation, fractures and swelling make the hip
  632. jam and chafe like a rusted-up hinge. The result is immobility
  633. and pain. By the 1950s, it was becoming fairly common to cut
  634. off the degraded top of a patient’s thigh bone and replace the
  635. femoral head with one made of metal or ceramic. Other
  636. surgeons focused on the acetabulum: they lined damaged hip
  637. sockets with cups made of steel, chrome alloy or glass. What
  638. was missing was a reliable way of replacing both head and
  639. socket. It had been tried in the 1930s, with the two parts
  640. made of metal, but it had never really worked.
  641. Charnley charged at the problem with zeal. A grammar school
  642. boy from Bury, he was a charismatic dynamo, a brilliant
  643. explainer given to anger when thwarted. He was so obsessed
  644. with bone growth that he got a colleague to cut off a piece of
  645. his shin bone and regraft it, just to see what would happen.
  646. (He got an infection and needed another, more serious
  647. operation.) Imbued with technocratic patriotism he carried a
  648. torch for the British motor industry and saw parallels between
  649. car and human engineering. Jill Charnley remembers him
  650. roaring down to London in his Aston Martin – a brute of a
  651. car, a good engineering car’ – to visit her. He told her he was
  652. redesigning nature, and illustrated his theories with ball bearings
  653. from the British Motor Corporation’s new Mini.
  654. They were married in 1957 and Jill moved into his medical
  655. digs in Manchester, where the wallpaper had a bone motif.
  656. Keen to avoid the communal dining-room, with its clientele of
  657. fusty bachelor surgeons, she tried the kitchenette. ‘I went in
  658. and opened the first cupboard,’ she said. ‘I was literally
  659. showered with old bones and all sorts of screws and bits and
  660. pieces’
  661. Human bones?
  662. ‘Oh Lord, yes.’
  663. After noticing that a patient with a French-made acrylic ball
  664. fitted to the top of his thigh bone gave off a loud squeaking
  665. whenever he moved, Charnley realised that a complete hip
  666. replacement would work only when the head was firmly held in
  667. place and when materials were found that mimicked the
  668. low-friction, squeak-free movement of a natural hip joint.
  669. His first attempt was a steel ball, smaller than the usual
  670. prostheses, attached to a dagger-like blade that was pushed
  671. through the soft core of the thigh bone and held in place with
  672. cement, like grout round a tile. For the socket, he used a
  673. Teflon cup. He put the experimental hip in about 300 patients.
  674. It was a disaster. After a few years tiny particles of Teflon
  675. shed by the cup caused a cheesy substance to build up
  676. around the joint. The blade came loose in the bone. Pain
  677. returned. Each one of the Teflon hips that Charnley had so
  678. laboriously put into his patients had to be removed and
  679. replaced. He did the work himself. His biographer, William
  680. Waugh, quotes a colleague as saying the sight of Charnley
  681. going to each operation was ‘like observing a monk pouring
  682. ashes over his own head’. Punishing himself further, Charnley
  683. went around for nine months with a lump of Teflon implanted
  684. in his thigh to observe its effects.
  685. In May 1962 a salesman turned up at Wrightington trying to
  686. flog a new plastic from Germany, a kind of polyethylene, used
  687. for gears in the Lancashire textile mills. It proved many times
  688. more hard-wearing than Teflon. Only after implanting a chunk
  689. of polyethylene into his much-scarred legs and leaving it there
  690. for months was Charnley prepared to risk putting it in patients.
  691. It worked. The procedure was taken up around the world.
  692. Now, each year, hip replacements free millions of people from
  693. pain and immobility. The operation has a success rate of about
  694. 95 per cent. It lacks the life-saving glamour of brain surgery,
  695. resuscitation of car-crash victims or new cancer drugs. It is
  696. something more remarkable, a radical and complex operation –
  697. involving the sawing of bones, the deep penetration of skin and
  698. muscle, extreme measures to prevent infection and the
  699. replacement of a vital body part with a synthetic substitute –
  700. that transforms the lives of its beneficiaries, yet has become
  701. routine.
  702. Making artificial hips – and knees, and elbows, and shoulders
  703. – has become a multi-billion-pound global business. But it was
  704. in the austere conditions of an old TB hospital in Lancashire, in
  705. the state-run NHS, not in the well-funded, commercially
  706. competitive world of American medicine, that total hip
  707. replacement was pioneered. To make the first machine to mass
  708. produce polyethylene cups, Harry Craven, a young craftsman
  709. who worked for Charnley, scavenged odds and ends from a
  710. local scrapyard. In their book A Transatlantic History of Total
  711. Hip Replacement Julie Anderson, Francis Neary and John
  712. Pickstone argue that by putting surgeons on state salaries, the
  713. NHS freed them from dependence on private patients, giving
  714. the innovative among them the security to experiment. Charnley
  715. was only the most successful of a string of British
  716. surgeon-inventors who designed effective hips in the 1960s and
  717. 1970s.
  718. Born in the NHS, routine hip replacement, the small family
  719. car of medical procedures (the first Morris Minor went on
  720. show two months after the NHS began), became the marker
  721. of the Health Services life stages. Stoical postwar patients,
  722. grateful to have their pain relieved and used to rationing and
  723. queues, gave way to a less accepting generation comfortable
  724. with the label consumer’. Charnley described his first patients as
  725. pitifully grateful’ for the relief from pain his short-lived Teflon
  726. hips gave them. By the end of his life, he was ranting against
  727. the crass ignorance and stupidity’ of Britain’s consumerist
  728. peasants’.
  729. People were living longer, so they were older for longer.
  730. Demand for the procedure rose faster than the number of
  731. surgeons and hospital facilities to carry it out. In 1982 a fifth
  732. of patients waiting for a hip replacement had been waiting a
  733. year or more. Supporters of the NHS pointed out, correctly,
  734. that the service wasn’t getting enough money to satisfy patients,
  735. and was underfunded compared to its European peers; yet the
  736. huge waiting list for hip surgery, much greater than for any
  737. other procedure, was used by Thatcherites throughout the
  738. 1970s, 1980s and 1990s as evidence that the NHS was
  739. inefficient. When New Labour came in and hosed money at
  740. the problem, waiting times fell. Private companies, rather than
  741. the NHS, picked up a significant portion of the extra work. Hip
  742. replacements, the life-enhancing procedure that came out of the
  743. Welfare State, became one of the main points of entry through
  744. which private health firms were undermining it.
  745. Once you start writing about hip joints, you begin to notice
  746. the number of people hobbling and limping. Everywhere you
  747. look there seems to be an aluminium walking stick. On the
  748. train from Liverpool to Birkenhead one day I got into
  749. conversation with a couple of women in their forties whod got
  750. onto the train with the help of sticks. One of them was waiting
  751. for a hip operation. The procedure was delayed longer than
  752. usual because she was trying to align two specialists. She
  753. couldn’t get an orthopaedic surgeon to do her hip until she’d
  754. seen an endocrinologist to sort out another problem. I asked
  755. her whether she’d heard of the new centre in Runcorn
  756. specialising in joint replacements. Her eyes lit up: brand
  757. recognition. ‘People tell me I should go there,’ she said. I had
  758. to tell her that the Runcorn centre had just closed, only five
  759. years after opening.
  760. The costly fiasco of the Cheshire and Merseyside NHS
  761. Treatment Centre, to give the Runcorn clinic its proper name,
  762. was a typically post-Thatcherite episode. Governments now so
  763. idealise the private sector that just allowing private firms to
  764. compete isn’t enough. New Labour believed it had to pay
  765. private companies to compete with their state rivals. The
  766. Runcorn clinic was one of a wave of ‘independent sector
  767. treatment centres’ – ISTCs – masterminded by a Texan private
  768. bureaucrat called Ken Anderson, recruited by the Department
  769. of Health in 2003 to shower private firms with gold in order
  770. to bring down NHS waiting lists.
  771. A firm called Interhealth Canada was given a five-year
  772. contract to run the Runcorn ISTC, starting in 2006. It built a
  773. state of the art joint replacement clinic, designed and equipped
  774. to the highest standard, but it didn’t have to pay for it: the
  775. entire £32 million cost was refunded by the taxpayer. In case
  776. this wasn’t enough to keep the entrepreneurial tiger of
  777. Interhealth happy, the PCTs in Cheshire and Merseyside who
  778. were supposed to send NHS patients to the centre had to pay
  779. Interhealth 25 per cent more than the NHS rate to carry out
  780. the operations. If an operation went wrong, however,
  781. Interhealth wouldn’t be expected to put it right. Initially, it
  782. wasn’t asked to take any responsibility for training doctors
  783. either. The cherry on the cake was that it would be paid for a
  784. minimum number of procedures, no matter how many it
  785. carried out. Over five years, the firm happily accepted about £8
  786. million for work it didn’t do.
  787. Once the five years were up, the PCTs decided they’d had
  788. enough, and told Interhealth its contract wouldn’t be renewed.
  789. In 2011 the centre’s 165 staff were made redundant and the
  790. ISTC closed. The building reverted to NHS control and was
  791. moth-balled. When I spoke to Interhealth’s boss, Fred Little, it
  792. hadn’t been decided what would be done with it; Little said it
  793. would probably end up as a primary care clinic – ‘like using a
  794. luxury hotel as a garage’, he told me bitterly, denouncing the
  795. NHS as a Soviet relic. According to a spokesman for the PCTs,
  796. Interhealth was offered a contract extension in 2009 provided it
  797. accepted the NHS rate for operations. It declined.
  798. Dr Abhi Mantgani, a GP in Birkenhead, used to send patients
  799. to the Runcorn centre. It was fifteen miles away but his
  800. practice laid on transport for patients. Mantgani didn’t like it
  801. that local GPs weren’t consulted before it was opened; nor
  802. does he like it that, just when patients were getting used to it,
  803. the place was shut down. ‘The service at the ISTC was
  804. fantastic,’ he told me when I visited him in 2011. ‘Patients only
  805. had to go twice, first as outpatients for all the diagnostics, then
  806. they got a date for the operation and went in for surgery.
  807. Why can’t NHS hospitals provide the same level of quality
  808. service?’*
  809. Mantgani, who was born in India, had been a GP in
  810. Birkenhead for twenty years. His base was a smart new
  811. medical centre, light, bright and clean. Ambitious and articulate,
  812. he had an air of busyness and impatience with institutional
  813. inertia. He’d been navigating local health politics for a long time.
  814. To GPs, patient choice was old hat already. He was eager to
  815. move on. Being able to choose a hospital wasn’t enough if you
  816. couldn’t also choose a consultant. Having the power to
  817. commission a certain number of hip operations wasn’t enough,
  818. either. Mantgani wanted to be able to commission packages of
  819. care’: to get a hospital to assess a patient, take them in for
  820. surgery, make sure their home had any necessary adaptations
  821. and check on them regularly after the op, Kaiser-style. And he
  822. wanted to get more tests out of hospitals into local clinics.
  823. ‘Waiting six or eight weeks for an endoscopy is just not
  824. appropriate in a Western democracy,’ he said. ‘I think the NHS
  825. is a great system but I don’t think it can remain the way it
  826. is... in vast parts of the country there is no proper choice and
  827. it is a cartel. And that leads to patients being given what
  828. clinicians think is the right thing to do. I’m not for wholesale
  829. creating this into some kind of private industry. But I think if
  830. various other models of working act as the grit in the oyster to
  831. stimulate better performance, better competition and choice for
  832. the patients, it’s not a bad thing at all.’
  833. Actually, there was no sign of a cartel in the Wirral. I
  834. punched the postcode for Dr Mantgani’s surgery into the NHS
  835. Choices website, together with ‘hip replacement’. Under the
  836. changes brought in by Labour, patients could choose from five
  837. hospitals within five miles and fifty-nine within fifty miles.
  838. Wrightington, nineteen miles away, was the twenty-first closest.
  839. The closest was the Wirral’s NHS hospital, Arrowe Park, three
  840. miles away; just across the Mersey was the Royal Liverpool
  841. University Hospital; the closest private hospital, the Spire
  842. Murrayfield, was only slightly further away. The site suggested
  843. you’d have to wait eleven weeks from referral to treatment at
  844. Arrowe Park, seven weeks at the Royal Liverpool and only five
  845. if you went to Spire. On the other hand, Spire doesn’t have
  846. the full range of emergency services should something go
  847. wrong; nor is it likely to take difficult cases. If my hip was
  848. hurting like hell, I’m not sure I would want to take these
  849. choices on myself. Why should I? Like most patients, I’m not a
  850. doctor. Dr Mantgani admitted: ‘The patient often says: “You tell
  851. me where I should go.”’
  852. Dr Mantgani was a believer in the new order, and since I
  853. met him power has shifted his way. The websites of the PCTs
  854. that opened and closed the Runcorn ISTC have gone dark.
  855. Health services on the Wirral peninsula are now ordered up by
  856. a body called the Wirral Clinical Commissioning Group, which
  857. supervises three consortia of local GPs; Mantgani is chief clinical
  858. officer, ultimately responsible, with his chairman, another local
  859. GP, Phil Jennings, for a budget of £445 million. Just before the
  860. group began its work, its board agreed a pay rise for the two
  861. family doctors of 5 per cent, to £112,000 each. A few months
  862. later Jeremy Hunt, Andrew Lansley’s successor, told rank and
  863. file English NHS workers that a one per cent pay rise was
  864. unaffordable.
  865. After meeting Mantgani I got back on the train and went to
  866. Hoylake, on the western coast of the Wirral. At the oceans
  867. edge an immense beach stretched out towards the horizon. I
  868. could just make out a line of wind turbines turning there,
  869. scratching the air as if it held an eternal itch. In a cafe I met
  870. John Smith, director of studies at Liverpool University Medical
  871. School, a shy, rather noble-looking man with shoulder-length
  872. grey hair. ‘I’m not sure in many ways what choice means,’ he
  873. said. ‘Most patients might want to choose their consultant, but
  874. they want them to be in the local area, so actually choice isn’t
  875. nearly as great as it might appear. As soon as you start
  876. introducing choice, you start introducing league tables,
  877. short-term targets and less of an overall pattern of healthcare.
  878. On the one hand, they want to say, “Let’s have a market
  879. economy,” but on the other they want to say: “Let’s plan.”
  880. Realistically, you can do one or the other reasonably well but
  881. you can’t do both. As soon as you have freedom of choice the
  882. market will decide the outcome. Even when you give GPs
  883. budgets, what does the GP do if he gets several patients who
  884. demand very expensive treatments?’
  885. Whomever I spoke to, and whatever they thought of the
  886. latest NHS upheaval, the conversation turned to the cruel
  887. paradox of the Health Service: the more successful it is in
  888. lengthening life, the more threatened it becomes. ‘When the
  889. Health Service was started the average retirement age was
  890. sixty-five, and life expectancy was sixty-seven,’ Smith said.
  891. ‘Much as I hate to say it, the issue of pensions is the issue
  892. that pervades the whole political affordability question. Unless
  893. people become surprisingly more productive, we are all going to
  894. have to work longer in order to maintain our standard of
  895. living. Someone is going to have to pick up the costs of looking
  896. after people who are being kept alive but whose ability to look
  897. after themselves is declining.’
  898. To respect the NHS isn’t to love it unconditionally. There can
  899. be few people who haven’t experienced a moment of
  900. uncaringness or worse somewhere in the system. Monopolies,
  901. state or private, get complacent, and can resist good changes;
  902. perhaps the general hospital is over-fetishised in this country. At
  903. Stafford Hospital, a small general NHS hospital, patients died
  904. unnecessarily between 2005 and 2009 because they were
  905. neither cared for nor cared about. Robert Francis’s last report
  906. into the horror for the government began by describing a
  907. culture focused on doing the system’s business – not that of
  908. patients’ Patients went unwashed for weeks on end, went
  909. hungry and thirsty, were left to soil their bedclothes, were sent
  910. home before they were well. It was terrible. It was also
  911. exceptional. And as Francis made clear, for all the terrible
  912. failings of the NHS system and the personal sins against
  913. human decency committed in Mid-Staffs, a significant factor in
  914. the catastrophe was hospital management’s determination to
  915. conform, at all costs, to Labour’s new competitive framework, a
  916. framework the Tories and their Liberal allies have embraced.
  917. Past commercialisations and privatisations of state monopolies
  918. don’t give confidence that a commercialisation-privatisation of the
  919. NHS would have a happy outcome. Competitive pressures can
  920. reduce choice as well as encourage it. You can give patients
  921. choice, but someone else chooses the choices. One of the
  922. things businesses do is merge and consolidate and already
  923. foundation trust hospitals are doing just that. In East London,
  924. for instance, six hospitals – Barts, the Royal London, Whipps
  925. Cross, Mile End, Newham and the London Chest – have
  926. merged to create Barts Health, the largest NHS trust in Britain,
  927. with a turnover in 2013 of £1.25 billion. The London Chest has
  928. long been scheduled to close, but the other five hospitals are
  929. only a few miles apart. It seems unlikely they will all continue
  930. to offer all the services they do now. Foundation trusts often
  931. consist of more than one hospital, and one of the hidden
  932. implications of the Milburn-Lansley programme is that a strong,
  933. solvent, ambitious foundation trust has as much incentive to
  934. shut down one of its hospitals (in order to remain solvent and
  935. grow elsewhere) as a financially weak one.
  936. The more for-profit companies become involved in the NHS,
  937. the more public money will leak out of the health system in
  938. the form of dividends. And the government is taking a risk.
  939. When it privatised the water industry, it effectively farmed out
  940. to the water companies the tax increases needed to pay for the
  941. renewal of the country’s Victorian water infrastructure. When it
  942. privatised the electricity firms, it farmed out the tax increases
  943. needed to fund wind farms and new nuclear power stations.
  944. By commercialising the NHS, but promising to keep on paying
  945. for it, it doesn’t leave room for manoeuvre in the health
  946. marketplace when competitors start encouraging patients to
  947. demand more expensive procedures.
  948. One day I visited Edward Atkins, a retired bank manager, at
  949. his home in East Molesey in Surrey. The modern redbrick
  950. bungalow where Atkins and his wife live is about twenty
  951. minutes’ walk from Hampton Court station, long enough for me
  952. to appreciate the boon of properly functioning hips and knees.
  953. Atkins answered the door, a tall, solidly built man with a full
  954. head of hair who could easily pass for sixty-five. In fact he’s
  955. eighty. He’d still be playing tennis if he could. As he describes
  956. it, much of his life seems to have run on rails, making all the
  957. stops and adhering to the timetable of respectable, decent,
  958. middle-class life in the comfier corners of postwar southern
  959. England. Born in Portsmouth, he did National Service, then got
  960. a job as a trainee at Lloyds. He married, had children, got a
  961. mortgage, rose through the ranks and retired on an indexed
  962. pension at two-thirds of his final salary. His retirement began
  963. well. He played badminton, golf and tennis. Then, in his early
  964. seventies, he felt aches and pains in his right knee and groin.
  965. A cyst was removed from his knee, but he was told the knee
  966. was fine; perhaps the problem was his hip? In 2005, with the
  967. groin pain getting worse, Atkins, who has private insurance,
  968. went to see a consultant, Andrew Cobb.
  969. Cobb, a distinguished orthopaedic surgeon doing a mix of
  970. private and NHS work, recommended a hip replacement of a
  971. new design called ASR, produced by the American company
  972. DePuy, a subsidiary of Johnson & Johnson. Apart from being
  973. more expensive, the ASR hip differed from the total hip
  974. replacement pioneered by John Charnley in two ways. Both
  975. surfaces, ball and cup, are made of cobalt-chromium – a
  976. so-called ‘metal on metal’ hip. And instead of cutting off the
  977. top of the thigh bone and pushing a spar deep inside the
  978. bone to hold the ball of the joint in place, the ball is a hollow
  979. hemisphere with a short stalk, like a mushroom, designed to
  980. cover the ball at the top of the femur rather than completely
  981. replace it. Hence the claim that the hip is not being replaced,
  982. merely ‘resurfaced’.
  983. Resurfacing means less bone is lost than in a full
  984. replacement. Even the most successful conventional hip
  985. replacements seldom last much beyond ten years, and it’s
  986. easier and safer to put in a total hip replacement after a
  987. resurfacing than to put in one replacement after another. In
  988. other words, hip resurfacing is seen as ideal for the young and
  989. the active, people who are generally healthy and are likely to
  990. wear out at least one hip device. The DePuy ASR hip was
  991. marketed aggressively as a hip hip. A device with its origins in
  992. the basic need to eliminate pain and enable movement seemed
  993. to be entering the realm of lifestyle marketing.
  994. Cobb pitched hard for the ASR hip, as Atkins remembers it,
  995. telling him the hip had ‘just come out’, that in a matter of six
  996. weeks he’d be playing golf again, even tennis. ‘He said I
  997. wouldn’t be able to play properly unless I had this operation.’
  998. But the clincher, for him, was a marketing video from DePuy
  999. showing a series of real people who were seemingly thriving
  1000. with ASR hips. ‘There was a golfer putting putts down from
  1001. twenty-five yards. At the end there was this guy apparently the
  1002. coxswain of a West Country lifeboat, at the wheel of the actual
  1003. lifeboat in very rough seas’
  1004. What Atkins didn’t know was that Cobb had helped design
  1005. the hip he was promoting. Impressed by the video, he signed
  1006. up for the operation. He was about to become a victim of
  1007. what has been called ‘one of the biggest disasters in
  1008. orthopaedic history’. From the moment he went home, he felt
  1009. something was wrong. ‘All I know is my hip started clicking
  1010. like mad after I got in a certain position. It was never really
  1011. right.’ The hip became inflamed, and the pain began. If he
  1012. exerted himself – went out on his bike, for instance – his hip
  1013. would swell up afterwards and start to hurt. He kept making
  1014. appointments to see Cobb, who would reassure him. Atkins had
  1015. already paid £2,000 for the operation, the part of the £14,000
  1016. procedure his insurance wouldn’t cover. But every time he went
  1017. to see Cobb, he had to pay more than £200 for a
  1018. consultation. In the end, on his GP’s advice, he ambushed the
  1019. surgeon at a walk-in NHS clinic he ran. Cobb agreed to
  1020. replace his ASR hip with a regular, Charnley-style hip, using
  1021. NHS money. By this time Atkins had been living with the pain
  1022. for four years: ‘Four years that blighted my life and that of my
  1023. wife. I couldn’t sit; I couldn’t stand. I was on 500 mg of
  1024. ibuprofen twice a day. Since that operation I really haven’t
  1025. played any sport at all.’
  1026. The ASR hip wasn’t the only resurfacing option for Atkins in
  1027. 2005, but he didn’t know this. The John Charnley of hip
  1028. resurfacing is a Birmingham-based surgeon called Derek
  1029. McMinn. In 1997, after six years of trials, he put a hip
  1030. resurfacing device, the Birmingham hip, on the market. Now
  1031. made in Warwick by the British multinational Smith & Nephew,
  1032. it has been used with relatively few problems around the world.
  1033. The DePuy hip was designed explicitly to compete with the
  1034. Birmingham hip – a device that did the job perfectly well. It
  1035. could have been an improvement; it turned out to be anything
  1036. but.
  1037. In 2005, the year Atkins was given the ASR hip, McMinn
  1038. made a prescient attack on the rival product at a conference in
  1039. Helsinki. He warned that the groove DePuy had cut around
  1040. the edge of the metal hip socket meant greater pressure on
  1041. the rim as patients moved around, making it more likely metal
  1042. debris would shear off and enter soft tissue. It might have
  1043. been dismissed as the posturing of a rival, but disturbing
  1044. reports were beginning to come in from Australia about
  1045. problems with the hip.
  1046. The French authorities rejected the ASR in 2008, and though
  1047. US regulators never approved it, the rules allowed American
  1048. surgeons to implant it anyway. In Britain, the feeble agency that
  1049. is supposed to monitor medical devices, the MHRA, didn’t act.
  1050. An investigation by the British Medical Journal pinpoints an
  1051. early adopter of the ASR, Tony Nargol, a surgeon in
  1052. North-East England, as one of the first to question its safety.
  1053. He began getting bad feedback from patients in 2007. When
  1054. he opened them up to investigate he was shocked to find that
  1055. flesh and muscle around the hip had been destroyed; in some
  1056. cases bone, too, was damaged.
  1057. Just as McMinn had warned, the ASR was shedding tiny
  1058. fragments of cobalt-chromium, producing a devastating reaction
  1059. in some patients. Further trouble was caused by individual
  1060. atoms of cobalt and chromium leaching into patients’ blood and
  1061. spinal fluid. The evidence against the ASR began to escalate,
  1062. but it was only in August 2010 that DePuy admitted defeat
  1063. and issued a general recall of the hip. By that time the
  1064. company had sold tens of thousands of the devices around the
  1065. world. As lawyers began to gather clients for litigation, the scale
  1066. of the disaster became apparent. Some of those who had
  1067. signed up for the ASR in the hope of another twenty years of
  1068. dancing or running or tennis may be permanently disabled. In
  1069. March, British surgeons who had studied more data on the
  1070. ASR suggested that a second version of the hip, designed for
  1071. total hip replacement, would probably fail in half of cases after
  1072. just six years. About 10,000 ASR hips were implanted in the
  1073. UK. ‘The really unlucky ones are those about fifty or fifty-five
  1074. who had it done to extend their working careers,’ Atkins said.
  1075. ‘There’s no way they’re going to work again.’
  1076. ‘I never made any secret of the fact that I had been one of
  1077. the six surgeons contributing to the design of the ASR,’ Cobb
  1078. wrote to me in an email: ‘Certainly, most of my patients were
  1079. aware of this. I can’t remember exactly what was said to Mr
  1080. Atkins before his first operation but I usually discussed the
  1081. proposed use of the ASR, the advantages I perceived to be
  1082. offered by it over the Birmingham device, and the further
  1083. information available on the Internet. I have no knowledge of a
  1084. lifeboat coxswain featuring in any advertisements’
  1085. The disturbing issues raised by the ASR hip fiasco – why
  1086. was DePuy not obliged to test the device more rigorously by
  1087. the authorities in Britain? Are other metal on metal hips a risk?
  1088. – obscure a deeper question. Why are medical implants being
  1089. marketed like iPhones, as in Smith & Nephew’s video for the
  1090. Birmingham hip at rediscoveryourgo.com, where to the
  1091. accompaniment of a driving guitar track, strong, shadowy dudes
  1092. with artificial hips ski, play football and climb rock faces?
  1093. The progressive justification for the current changes to the
  1094. NHS, expressed by people like the former Blair adviser Julian
  1095. Le Grand, now on the board of trustees at the King’s Fund, is
  1096. that the only true recourse for patients who experience
  1097. incompetence, rudeness, slovenliness, patronising behaviour and
  1098. uncaringness by public servants is the power to send a
  1099. message to the offenders by taking their custom elsewhere.
  1100. Hence the ideal of ‘choice’. But the weakness of the British
  1101. authorities in the face of the ASR hip, and the ease with which
  1102. DePuy salespeople persuaded British surgeons to use the ASR
  1103. implant when tried and tested alternatives were available,
  1104. doesn’t suggest the people who run our health system have a
  1105. clear idea of the difference between ‘choice’ and ‘marketing’.
  1106. In 1993, an op-edpiece by three surgeons in the BMJ pointed
  1107. out that a significant cause of long waiting lists for hip
  1108. replacements was that hospitals blew their orthopaedic budgets
  1109. on expensive new kinds of joint implant whose increased cost
  1110. couldn’t be justified on medical grounds. Much of the cost of
  1111. the latest medical devices, like the cost of a can of Coca-Cola,
  1112. went towards the marketing propaganda without which it would
  1113. never occur to you to buy them. The article’s parting barb –
  1114. ‘the implant industry remains a haven for all the excesses of
  1115. free enterprise’ – still applies. A recent report by Audit Scotland
  1116. (where the NHS more closely resembles its pre-Enthoven form)
  1117. noted that in Lothian, the average cost of a hip implant was
  1118. £858. In neighbouring Forth Valley, NHS joint buyers were
  1119. paying more than twice as much. In the US, a basic
  1120. Charnley-style hip implant will now set you back $10,000, or
  1121. £6,100. Another type of hip has gone up in price there by 242
  1122. per cent since 1991, when inflation has been only 60 per cent.
  1123. The authors of Transatlantic History point out that some of the
  1124. cheaper hips used in Britain aren’t sold in the US, even though
  1125. they’re made there. Many surgeons and consumers want the
  1126. best, they say, ‘but when that which is properly known to be
  1127. “the best” is ipso facto old technology, the best may come to
  1128. mean “the latest”, and the latest may prove to be expensive
  1129. failures’
  1130. ‘There is no reason,’ Aneurin Bevan wrote to doctors as the
  1131. NHS came into being, ‘why the whole of the doctor-patient
  1132. relationship should not be freed from what most of us feel
  1133. should be irrelevant to it, the money factor, the collection of
  1134. fees or thinking how to pay fees – an aspect of practice
  1135. already distasteful to many practitioners’
  1136. I asked Martyn Porter how a place like Wrightington could
  1137. survive in the marketplace if Porter the commercial manager
  1138. failed to stop Porter the surgeon carrying out loss-making
  1139. operations rivals wouldn’t do. ‘I came into medicine because if
  1140. someone’s injured, I want to fix them,’ he said. ‘Someone’s
  1141. going to fix them. Why not us? Secondly, you never get good,
  1142. you get a little bit better. It’s necessary at my age not to get
  1143. bored. I’m just getting warmed up. However, the most
  1144. important issue is the finance. We get a lot of money from the
  1145. cheap and cheerful procedures, we take a hit on others. The
  1146. managers are cool with that, as long as we’re getting a
  1147. reputation as a centre of orthopaedic excellence.’
  1148. The phone rang. The patient was ready. Porter wanted to
  1149. talk some more about the Lansley project. ‘I think there’s a
  1150. model there, but it’s whether it can be delivered and won’t be
  1151. corrupted. I can see a very idealistic model, but by God, it’s
  1152. vulnerable to people ripping it off.’
  1153. Jill Charnley, now in her eighties, is the contented recipient of
  1154. two artificial knees. They’ve lengthened her life, she says. Her
  1155. shoulder gives her trouble and she could, if she wished, have a
  1156. prosthesis put in for that, too, but she’s made the choice not
  1157. to. She’s drawn the line, partly because of the physiotherapy
  1158. involved and partly because she knows there’s a limit to what
  1159. medicine can achieve. ‘We are all getting old,’ she said, ‘and
  1160. bits of us wear out.’
  1161. There is only money in more, or in getting something. There
  1162. is no money in less, or in getting nothing, even though less
  1163. and nothing is everyone’s eventual fate, and may be desirable
  1164. long before that. The NHS can’t avoid dealing with the financial
  1165. consequences of its own success in enabling people to be old
  1166. for longer and longer. But it can avoid becoming a victim of
  1167. marketing.
  1168. In The Charterhouse of Parma, Stendhal wrote: ‘The lover
  1169. thinks more often of reaching his mistress than the husband of
  1170. guarding his wife; the prisoner thinks more often of escaping
  1171. than the jailer of shutting his door; and so, whatever the
  1172. obstacles may be, the lover and the prisoner ought to succeed.’
  1173. In the governance of Britain, it is as if the marketeers have
  1174. internalised a modern version of this. The salesman thinks
  1175. more often of making a sale than the consumer thinks he is
  1176. being sold to; the lobbyist thinks more often of his loophole
  1177. than the politician thinks of closing it; and so, whatever the
  1178. obstacles may be, the salesman and the lobbyist are bound to
  1179. succeed.
  1180. * The Runcorn Centre was reopened in 2013 by Warrington
  1181. and Halton Hospitals foundation trust to provide the same
  1182. service as the ISTC, but within the NHS system.
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