Baroness Wheeler (Lab)

My Lords, I thank the noble Lord and the noble Earl. I apologise that I will have to write on a number of issues, but I will try my best. The noble Lord, Lord Scriven, asked what the difference is between PPN 009 and the regulations. PPN 009 sets out policy expectations, but the new regulations provide a statutory basis for enforcement, ensuring stronger accountability and compliance in NHS procurement. On the impact on SMEs, the regulations do not impose direct duties on suppliers, including SMEs. We cannot accept any amount of modern slavery in our supply chains. The regulations allow for a proportionate approach to avoid deterring SME participation. Early market engagement and tailored procurement design will help SMEs compete fairly. I turn to implementation, training and support. Guidance, training and tools, such as a central risk assessment tool, are being provided to support NHS bodies. The Department of Health and Social Care will take over guidance responsibilities from NHS England. I was asked what will happen and how the expected powers will be used when NHSE is abolished. All the powers will transfer to the Department of Health and Social Care. They have worked together so far and will continue to do so. On compliance and monitoring, compliance checks are integrated into the NHSE procurement system that is used by more than 300 NHS bodies. We are encouraging commercial teams to embrace these checks as part of good governance. Line managers have real-time data monitoring, which enables effective oversight and accountability. Procurement regulations allow bodies to exclude suppliers and terminate contracts where risks are not remediated. On the general concern, I understand totally the pressure on the NHS and on local authorities, which was not raised but is in the back of our minds. It is important that we use the NHS’s purchasing power—estimated at £35 billion—to raise standards across the globe without harming domestic suppliers. Ethical supply chains can still be cost effective in the long term by avoiding scandals, litigation and sudden supply collapse. I can reassure the noble Lord, Lord Scriven, and the noble Earl, Lord Effingham, on the point about NHS burdens and the impact on suppliers.