NHS Infrastructure Funding 2023/2024

Opportunities for suppliers in construction, architecture, engineering, and facilities management

Table of contents

Amidst a backdrop of budgetary challenges in the NHS, we’ve analysed the latest NHS financial data to pinpoint funding allocations for major healthcare infrastructure projects this year.

This report is designed to unpack funding flows and highlight potential opportunities for suppliers in construction, architecture, engineering, and facilities management (FM) sectors, so you can direct your sales focus towards the most promising regions and organisations.

NHS England's Integrated Care Systems (ICSs) have disclosed capital resource plans for 2023/2024, revealing three key funding sources for healthcare infrastructure:

  • New Hospital Programmes and Upgrades: Funding dedicated to building new hospitals and modernising existing buildings
  • Community Diagnostic Centres: Funding to develop local diagnostic facilities to enhance accessibility to diagnostic services
  • Operational Capital: Funding allocated to repairs and backlog maintenance to ensure the upkeep, safety and efficient operation of healthcare facilities

In the following sections, this report provides a detailed breakdown of the funding allocated in each category, alongside an overview of the projects involved and the types of suppliers required.

1. New Hospital Programmes and Upgrades

The New Hospital Programme (NHP) is a pivotal element of the NHS's Health Infrastructure Plan, dedicated to enhancing the UK's healthcare infrastructure. With over £20b pledged by NHS England, the project aims to establish six large-scale hospitals by 2025, alongside an additional 21 schemes slated for completion between 2025 and 2030. 

Using the NHS Budget Directory, we have identified £737.3m funding allocated to NHS Trusts for New Hospital Programmes and Upgrades this year. To help you identify potential opportunities for your business, we have ranked Trusts by their funding allocation below.

NHS Trust Hospital Upgrades NHP Funding
University Hospitals Dorset NHS Trust BEACH Building at University Hospitals Dorset AND Poole Theatres £92.5m
Bedfordshire Hospitals NHS Trust Acute Services Block at Luton & Dunstable Hospital £56.4m
Nottingham University Hospitals NHS Trust Redevelop both the Queen's Medical Centre (QMC) and the City Hospital. £51.9m
Camden and Islington NHS Trust St Pancras Redevelopment Project £38.1m
Moorfields Eye Hospital NHS Trust FBC at Oriel Moorfields has been approved. £33.9m
Sandwell and West Birmingham Hospitals NHS Trust Midland Metropolitan Hospital: Hospital upgrades ongoing since 2015 £32.1m
Portsmouth Hospitals University NHS Trust A new Emergency Department at the Queen Alexandra hospital in Portsmouth £31.5m
Royal Cornwall Hospitals NHS Trust New Women and Children’s Hospital (planned 2028 finish) £29.8m
West Hertfordshire Hospitals NHS Trust New hospital build at Watford General Hospital. £26.4m
The Hillingdon Hospitals NHS Trust Enabling Works for the Trust's Phase III NHP Scheme. At OBC stage. £26.2m
County Durham and Darlington NHS Trust - £25.7m
Somerset Foundation Trust Musgrove Park New Hospital Programme £23.0m
Leeds Teaching Hospitals NHS Trust Hospitals of the Future - Revised Outline Business Case submitted in August 2022 £22.1m
Great Western Hospitals NHS Trust GWH Integrated Front door - Expand and reconfigure UEC front door,co-locate UEC services on ground floor,
8 inpatient bed capacity growth on children’s ward.
Ashford and St. Peter's Hospitals NHS Trust Abraham Cowley Unit (ACU) mental health hospital new build £22m
Cheshire and Merseyside ICB N/A £18m
University Hospitals Plymouth NHS Trust Future Hospital Phase 1 project to build a new Unscheduled Care and Interventional Theatre
Doncaster and Bassetlaw Teaching Hospitals Development of Bassetlaw Emergency Village £17.6m
Epsom & St Helier Hospitals Brand new Specialist Emergency Care Hospital (SECH) in Sutton, and redevelop the existing hospitals on the Epsom and St Helier sites. £17.1m
Cambridge University Hospitals NHS Trust Phase 4 of the redevelopment of the North Cambs Hospital in Wisbech £17.0m
Barts Health NHS Trust Whipps Cross development £13.7m
University Hospitals Sussex NHS Trust Build business case for stage 2 & 3 of redeveloping Royal Sussex County Hospital Site. £11.8m
Dorset Healthcare University NHS Trust Development and initial construction work of the St Ann’s New Hospital Programme (NHP) £11.5m
SWL & ST George’s Redevelopment of the Barnes Hospital site £11.1m
North West Anglia NHS Trust Hinchingbrooke Theatre new build continues this financial year with the project due for completion in December 2023. £10.8m
York and Scarborough Teaching Hospitals Scarborough General Hospital - UECC - AAU/A&E New Build £8.9m
Royal United Hospitals Bath NHS Trust New Hospital Programme approved development of Cancer centre at Royal United Hospitals Bath £6.7m
Cumbria, Northumberland Tyne & Wear NHS Trust N/A £6.7m
Calderdale and Huddersfield NHS Trust Redevelopment of services at Calderdale Royal Hospital. £6.5m
Torbay and South Devon Healthcare NHS Trust Site enabling OBC to be submitted to regional/ national team in September 23 £6.4m
Avon and Wiltshire Mental Health Partnership NHS Trust Avon Wiltshire Callington Road redevelopment (ST Wave 3 capital) £6.2m
Kettering General Hospital NHS Trust Kettering General Hospital: Reconfiguration of Rockingham wing £5.3m
Dorset County Hospital NHS Trust The Dorset County Hospital NHP project is moving forwards on the FBC stage with submission planned late summer. £3.9m
Northern Lincolnshire and Goole Trust Backlog maintenance relating to Scunthorpe and Grimsby Hospital AAU Dept £2m
University Hospitals Leicester NHS Trust LLR Reconfiguration scheme £1.1m
Milton Keynes University Hospital NHS Trust Primary Care Hub £1.2m
West Suffolk NHS Trust West Suffolk Hospital: Priority hospital for NHP £1.0m
Lancashire Teaching Hospitals NHS Trust N/A £0.9m
University Hospitals of Morecambe NHS Trust N/A £0.4m
Total - £737.3m

This list of funding across 40 NHS Trusts illustrates the broad range of opportunities emerging from the NHP for suppliers, and can be used to help you identify your target accounts in the NHS.

Procurement Trends

Drawing insights from recent contracts awarded through New Hospital Programme funding, we've discovered that NHS Trusts are predominantly using these funds to procure the following services:

  • Management Consultancy: Strategic consulting from experts in construction, engineering, and public health to ensure efficient project planning and execution
  • Construction Works: Construction of new or upgraded hospital facilities, ensuring compliance with healthcare regulations
  • Architecture and Planning: Expertise in transport, highway planning, and hospital layout design to align with project objectives.
  • Engineering Services: A range of engineering services to meet contemporary healthcare standards and regulations.

To help you anticipate the type of opportunities involved, we've highlighted 5 recent NHP contracts below.

Seizing these opportunities presented by the NHP necessitates a proactive approach. It's imperative to keep a close eye on upcoming projects and tenders, as well as to understand the active suppliers and stakeholders in this landscape. Partnering with the right organisations can significantly enhance your prospects of securing contracts. To get started, sign up with the link below.

2. Community Diagnostics Centres 

The development of Community Diagnostic Centres (CDCs) is a pivotal aspect of NHS England’s strategy to bolster national diagnostic capabilities. With a total commitment of £2.3 billion, the objective is to establish up to 160 new centres across the country by 2025, bringing diagnostic care closer to home and alleviating pressure on acute hospital sites.

Using the NHS Budget Directory, we have identified regional funding plans for the development of 27 CDC's across the NHS, with a combined investment exceeding £292m. Below, we've ranked ICSs by CDC funding to help you identify target regions.

Integrated Care System Business Case Forecasted Investment
Hampshire and Isle of Wight Four Community Diagnostic Centres £37m
North West London Community Diagnostics Centre London North West Trust and Imperial £31m
Frimley Submitted a business case for a Community Diagnostic Centre in Slough. Also developing business case for South Imaging Spoke. £25m
North East London Completion of Community Diagnostic Centre at Barking, Havering and Redbridge. New Community Diagnostic Centre development at Barts Mile End site. £22m
Mid and South Essex Develop 2x Community Diagnostic Centres; Thurrock and Braintree site & Pitsea site. 22m
Suffolk and North East Essex Continue development of Community Diagnostic Centre at East Suffolk and North Essex Foundation Trust £21m
Black Country Hub & Spoke Clinical Diagnostic Centres across the Black Country (Approved Funding) £19m
Coventry and Warwickshire George Elliot Hospital: Build Community Diagnostics Centre & Complete Community Diagnostic Centres at South Warwickshire (year 2 of 3) £17m
Humber and Yorkshire No notes provided. £17m
Northamptonshire Continued development of Community Diagnostic Centres at North Site (£13m) and South Site (£3.3m) £16m
Nottingham and Nottinghamshire Continued development of Mansfield Community Diagnostic Hub (£13.36m). Also preparing business case for Second Phase Community Diagnostic Centres at Northampton General Hospital £13m
Herefordshire and Worcestershire Diagnostics Development £12m
Cheshire Merseyside New Community Diagnostic Centres at East Cheshire Trust and Liverpool University Teaching Hospitals NHS Foundation Trust £10m
Lancashire and South Cumbria No notes provided. £10m
Nottingham and Nottinghamshire No notes provided. £7m
Bedfordshire, Luton and Milton Keynes Develop Community Diagnostic Centre business cases for Bedford, Milton Keynes, and, later, Luton. £6m
South Yorkshire Continue development of Community Diagnostic Centres at Doncaster & Bassetlaw Hospital £5m
Leicester, Leicestershire and Rutland Development of Community Diagnostic Centre at Leicestershire Partnership NHS Trust’s LPT £0.3m
Bath and North East Somerset, Swindon and Wiltshire Build Community Diagnostic Centre (Business case in final stage) Not Specified
Birmingham and Solihul Community Diagnostic Hub for South Birmingham Not Specified
Hertfordshire and West Essex Business cases have been submitted for CDC MRI & Opthalmology investment. Not Specified
Lincolnshire Continued Development of 2 CDCs Not Specified
North Central London Diagnostic Capacity: Submissions for the continued revenue funding of two Community Diagnostic Centres will be submitted in year for 2024/25 funding. Not Specified
Kent and Medway Developing phase 2 of their
Community Diagnostic Centre (CDC) business case, which will be submitted to NHS England during 2023
Not Specified
Shropshire, Telford and Wrekin Community Diagnostic Centre: Telford site planned to open in August 2023. Not Specified
Somerset Yeovil: Developing Community Diagnostic Centre Business Case Not Specified
Total - £292m

This list of funding illustrates the broad range of opportunities emerging from the development of CDCs, and can be used to help you identify potential target accounts in the NHS.

Procurement Trends

Drawing insights from recent CDC contracts, we've discovered that NHS Trusts are predominantly using these funds to procure services from the following industries:

  • Construction Works: Comprehensive construction efforts, from groundwork to final fittings,  essential for establishing CDCs
  • Architectural Services: Expert architectural planning to design functional, patient-friendly CDCs.
  • Engineering: Ensuring the CDCs are equipped with essential systems such as electrical, plumbing, HVAC, and medical gas systems.
  • Medical Specialists: Responsible for integrating diagnostic equipment, healthcare technology systems, and ensuring compliance with regulatory, NHS, and health and safety standards.

To help you anticipate the type of opportunities available in this space, we're sharing 5 recent contracts emerging from CDC programmes below.

Seizing the opportunities presented by the CDC funding necessitates a proactive approach. Stay updated on upcoming projects and tenders, and familiarise yourself with the active suppliers and stakeholders in this arena. Ready to get started? Use the link below to begin tracking these opportunities and forming valuable partnerships.

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3. Operational Capital: Repairs and Backlog Maintenance

Within ICS capital resource plans, "operational capital" is earmarked for "business as usual" spend considered necessary for clinical delivery. This includes backlog maintenance, estate repairs, and other infrastructural needs alongside essential clinical IT and medical equipment. 

The majority share of this budget is typically allocated towards bolstering the structural and operational integrity of healthcare facilities, creating substantial opportunities for:

  • Construction Suppliers: Engaging in rectifying structural defects, making necessary repairs or replacements, and possibly upgrading or expanding existing facilities
  • Facilities Management (FM): Managing the repair, maintenance, and upgrade of facilities to ensure that buildings and systems operate efficiently and comply with legal and organisational standards
  • Engineering Firms: Handling the technical aspects of maintenance, upgrades, and ensuring that systems are functioning correctly and safely
  • Specialised Equipment and Material Suppliers: Supplying the necessary materials, tools, and equipment required to carry out the backlog maintenance tasks

Using the NHS Budget Directory, we have identified and ranked the ICSs by their operational capital allocations for 2023/2024, listed below.

For construction, architecture, engineering and FM suppliers interested in working with the NHS, but not necessarily specialising in New Hospital Programmes or CDC's, this list should be your guide to identifying top target accounts this year.

Competitive Landscape: Top suppliers to watch

To provide a clearer picture of the competitive landscape and help suppliers identify who is capitalising on this “business as usual” spending, we used Stotles supplier intelligence to analyse the top construction suppliers winning NHS contracts since 2018. The following table ranks these suppliers by total reported contracts, to help you identify prominent players in this market.

Supplier Reported NHS contracts Reported Value
Westmade Ltd 30 £4.4m
R G Carter Cambridge Ltd 22 £27.4m
PKS Ltd 19 £0.4m
AJR Renovations Limited 17 £1.8m
Carmelcrest Ltd 14 £10.9m
Quinn London 13 £5.7m

Ready to position your company amidst the top suppliers in this space? Stay ahead by tracking upcoming projects, qualifying your target accounts and identifying potential partners and competitors. Take the first step towards winning NHS contracts by signing up with the link below.

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Next steps to win NHS contracts

With the insights you've garnered from this report, you're poised to navigate the intricacies of the NHS funding ecosystem. The following steps are not just recommendations - they are essential actions that will position your business at the forefront of this dynamic market.

1) Be specific about the opportunities you want to pursue

Focus on projects that align with your core competencies. Leverage the insights in this report to identify upcoming opportunities that resonate with your areas of experience.

2) Focus on target regions

Different regions have varying priorities and budgets. Use the funding tables in this report to identify a priority list of target accounts for your business.

3) Forge strategic partnerships

Collaborate with suppliers or organisations already engaged with your target accounts. Their established relationships can provide insights into upcoming opportunities and open doors for potential collaborations.

4) Proactively engage decision-makers

Don't wait for tenders to open to the public. Build relationships with NHS stakeholders in advance. Understand their challenges and position your solutions as the answer, ensuring you are top-of-mind when opportunities arise.

For a more detailed guide on navigating the NHS contract landscape, especially in the context of ICS budgets, delve into our 'ICS Budget Playbook: How to identify and win NHS contracts'.


This report exclusively unifies funding for NHS infrastructure projects this year, highlighting monumental opportunities associated with New Hospital Programme, Community Diagnostic Centre and backlog maintenance. By understanding this funding landscape, engaging with key stakeholders, and ensuring compliance with NHS standards, suppliers are well-positioned to secure contracts and contribute significantly to the NHS's healthcare infrastructure transformation.

To take the next step and identify upcoming opportunities, engage with decision makers and fast track your NHS sales, get started with Stotles today.

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