Adviser to Tony Blair advocates the introduction of European healthcare models
A move to a healthcare system that mirrors our European neighbours has been advocated by Chris Powell, chairman of the Institute for Public Policy Research, where treatment is funded by compulsory social insurance.
Powell, who is also a leading adviser to Tony Blair, said the Government needs to introduce social insurance, where employees pay a proportion of their income into a fund with an added contribution from their employer, in order to improve standards of care and reduce waiting lists.
In an article for the Daily Telegraph, Powell said that in countries where similar systems have been enforced, people are more aware of the real cost of healthcare and do not mind paying in order to receive a better standard of treatment.
He said: 'Most European health services are financed by compulsory social insurance schemes. They provide more expensive health systems than the NHS and yet people appear content to continue to pay in this way. Their insurance contributions are hypothecated to health of course, but the patient gets a bill and is thus made aware of the cost of the treatment.'
'Social insurance schemes that deliver a responsive service are better than forcing people to wait months for an operation, with the consequence that many choose to pay even though they cannot afford it,' he added.
PMI providers appeared to welcome the proposition. Tim Baker, commercial director at Norwich Union Healthcare, said: 'Powell's argument is spot on. Other nations on the continent have some interesting models of healthcare that could prove very relevant to the UK.'
Mandy Blanks, PR manager at Standard Life Healthcare, agreed: 'We would welcome such an idea and feel that insurers are well placed to handle such a system and its administration. We would help bring the system forward.'
But Robert Fielding, head of operations at Royal & SunAlliance, was doubtful whether the scheme would provide a true public/private partnership.
