National Evaluation of Payment by Results

National Evaluation of Payment by Results

Investigators

Farrar, S., Scott, A., Ikenwilo, D. (HERU), Chalkley, M. (University of Dundee) Sussex, J., Yuen, P. and Towse, A. (Office of Health Economics)

Summary

Detailed panel data was obtained to evaluate the effect of the policy. Similar panel data from Scotland was used as a comparator. Since the policy in England is being phased in, this also provided an opportunity to examine the counterfactual using difference-in-difference methodology. In addition, the project interviewed key stakeholders about the development and operation of the policy as it is introduced. This helped to develop testable hypotheses. The results showed that length of stay fell more quickly and the proportionof day cases increased more quickly where payment by resultswas implemented, suggesting a reduction in the unit costs ofcare associated with payment by results. Little measurablechange occurred in the quality of care indicators used in thisstudy that can be attributed to the introduction of paymentby results.

Contact

S Farrar

Status

Complete

Publications

Farrar, S., Yi, D., Sutton, M., Chalkley, M., Sussex, J. and Scott, A. Has payment by results affected the way that English hospitals provide care? Difference-in-differences analysis. British Medical Journal 2009;339:b3047

Sussex, J and Farrar, S. Activity-based funding for National Health Service hospitals in England: managers' experience and expectations. European Journal of Health Economics. 2009; 10(2): 197-206.

Farrar, S., Chalkley, M., Ikenwilo, D., Munro, A., Scott, A.,Sussex, J. and Yuen, P. National evaluation of payment by results. Progress report to the Department of Health. HERU, University of Aberdeen. 2005.

Farrar, S., Ikenwilo, D., Chalkley, M., Sussex, J., Yuen, P. and Scott, A. National Evaluation of Payment by Results. Interim Report to the Department of Health, October 2005.

Farrar, S., Yi, D., Scott, A., Sutton, M., Sussex, J. and Chalkley, M. National evaluation of Payment by Results interim report: quantitative and qualitative analysis. Report to Department of Health, October 2006.

Farrar, S.,Sussex, J., Yi, D., Sutton, M., Chalkley, M., Scott, A. and Ma, A.A National Evaluation of Payment by Results. Report to the Department of Health, November 2007.

Farrar, S., Sussex, J., Yi, D., Chalkley, M., Scott, A., Sutton, M. and Yuen, P. Evaluation of Payment by Results. Draft Final Report to the Department of Health, July 2007.

Sussex, J., Farrar, S. and PbR team. Payment by Results Evaluation Newsletter 1. Office of Health Economics, February 2006.

Farrar, S. Using tariffs to pay for hospital care. HERU Briefing Paper, University of Aberdeen. February 2007.

Sussex, J., Farrar, S. and PbR team. Payment by Results Evaluation Newsletter 2. Office of Health Economics, January 2007.

Presentations

Sussex, J. and Farrar, S. Payment by Results’ for National Health Service Hospitals in England – Managers’ Experiences and Expectations. Collège des économistes de la santé CES-HESG, City University, London, January 2006.

Yi, D., Farrar, S.,Scott, A. and Sutton, M. Preliminary analysis of the effects of PbR. Nordic HESG. Copenhagen, August 2006.

Yi, D., Farrar, S., Sutton, M., Scott, A. and Chalkley, M.Do hospitals become more efficient under a new prospective payment system? Effects of Payment by Results on length of stay in English hospitals. HESG. Brunel University, September 2007.

Ikenwilo, D., Farrar, S. andSutton, M. Anticipatory behaviour prior to the introduction of a prospective payment system for hospitals in England. European Conference on Health Economics. Budapest, July 2006.

Sussex, J. and Farrar, S. Activity Based Hospital Funding in a Cash Limited System – Qualitative Analysis of ‘Payment by Results’ in England. European Conference on Health Economics, Budapest, July 2006.

Farrar, S., Yi, D.,Sutton, M., Chalkley, M.,Sussex, J. and Scott, T. The effects of Payment by Results on cost, quality and volume of care. "Delivering better health services" Health Services Research Network and National Institute for Health Research Service Delivery and Organisation (NIHR SDO) Programme annual conference. Manchester, June 2008.

Farrar, S., Yi, D., Sutton, M., Scott, A. and Chalkley, M. Activity based funding in the English NHS: measuring the effect on quality. iHEA. Copenhagen, July 2007.

Farrar, S. and the PbR Team. Paying hospitals: Lessons from Payment by Results. 'Paying for Performance? Changing payment systems and the Scottish Health Service'. HERU Policy Conference. Edinburgh, October 2007.

Sutton, M. on behalf of the PbR Team (Farrar, S., Sussex, J., Yi, D., Sutton, M., Chalkley, M.,Scott, A., Ma, A. and Yuen, P.) National evaluation of Payment by Results. External Advisory Group, Department of Health. London. December 2007.

Yi, D., Pugh, E. and Farrar, S. The effect of the introduction of a prospective payment system on HRG creep in English hospitals: an empirical investigation of Payment by Results. iHEA. Copenhagen, July 2007.

Yi, D., Farrar, S., Sutton, M., Scott, A. and Chalkley, M. Do hospitals become more efficient under prospective payment systems? Effects of Payment by Results on length of stay in English hospitals. European Health Economics Conference. University of Rome, July 2008.

Sussex, J. and Farrar, S.Activity Based Hospital Funding in a National Health Service – Qualitative Analysis of the Impact on Non-Price Competition. iHEA, Copenhagen, July 2007.

Farrar, S. and the PbR Team. Evaluating PbR: some preliminary findings. University of York. November 2005.

Farrar, S. and the PbR Team. Evaluating PbR: some preliminary findings. University of Sheffield. November 2005.

Farrar, S. and PbR Team. Evaluation of Payment by Results: using differences in differences. Health Economics Research Centre. University of Oxford, May 2007.

Farrar, S. and Sussex, J. National evaluation of Payment by Results. Dissemination Patient choice and activity based funding of hospitals in England: emerging issues. Health services management centre, University of Birmingham. April 2005.

Farrar, S. Payment mechanisms. Dissemination. London School of Economics. Department of Health Workshop Programme, London. December 2005.

Farrar, S. and Yi, D. PbR Policy: Qualitative results. Analytical Services Division. Scottish Executive Health Department, Edinburgh, September 2006.

Farrar, S. and Yi, D. Summary of PbR Policy in England and the National Evaluation Project. Analytical Services Division. Scottish Executive Health Department, Edinburgh, September 2006.

Farrar, S. and PbR team. PbR national evaluation: Interim report. PbR advisory group, Department of Health, London, November 2006.

Yi, D.and Farrar, S. PbR Policy: Early quantitative results. Analytical Services Division Workshop, Scottish Executive Health Department. Edinburgh, September 2006.