Staff MFF component of resource allocation weighted formula

The staff market forces factor component of the resource allocation weighted capitation formula

Previous research by HERU commissioned by the Advisory Committee on Resource Allocation (ACRA) led to important changes in the way the staff MFF was estimated. The MFF is an element of the formula that funds PCTs in England and Wales. More recent estimates were required, using the latest data and incorporating any refinements to method that would increase the reliability and robustness of the method. This research provided up to date MFF values and, within the general framework, reviewed and where appropriate suggested refinements to the method for estimating the MFF.

Outcome and Translation

ACRA recommended that the staff market forces factor (MFF) was updated in line with the figures provided by the study. This recommendation was accepted by the Department of Health and the updated staff MFF values were used in the PCT allocations from 2011–12. Two research reports were published by the Department of Health as Resource Allocation Working Papers to accompany the announcement of the PCT allocations.

HERU researchers involved in this research project: Bob Elliott, Diane Skåtun and Ada Ma

External collaborators: M Sutton (University of Manchester); N Rice (University of York); S Morris (UCL) and A McConnachie (University of Glasgow)

Publications

Elliott, R.F., Ma, A., McConnachie, A., Morris, S., Rice, N. and Skåtun, D. (2010) The staff market forces factor component of the resource allocation weighted capitation formula: new estimates. Phase 1. Report to the Advisory Committee on Resource Allocation (ACRA), Advisory Committee on Resource Allocation (ACRA).

Elliott, R.F., Ma, A., Sutton, M., Skåtun, D., Rice, N., Morris, S. and McConnachie, A. (2010) 'The role of the staff MFF in distributing NHS funding: taking account of differences in local labour market conditions', Health Economics, 19(5), 532-548.

Ma, A., Elliott, R.F, Morris, S., Rice, N. and Skåtun, D. (2010) The staff market forces factor component of the resource allocation weighted capitation formula: refinements to method. Phase 2. Report to the Department of Health, Department of Health.

Presentations

Elliott, R., Ma, A., McConnachie, A., Morris, S., Rice, N. and Skåtun, D. (2010) 'The staff market forces factor component of the resource allocation weighted capitation formula: new estimates', Technical Advisory Group (TAG), Department of Health, London, April 2010.

Elliott, R., Ma, A., McConnachie, A., Morris, S., Rice, N. and Skåtun, D. (2010) 'The staff market forces factor component of the resource allocation weighted capitation formula: new estimates', Advisory Committee Resource Allocation (ACRA), Department of Health, London, May 2010.