Assists in avoiding Complex to develop for local inappropriate use of population, particularly when a risk specialist care by profile is used encouraging the system to Implementation of this model requires innovate and share risks providers to be integrated or working Can be used to specify in an integrated way Capitation desired outcomes for a specific disease or pathway group, and expanded if successful Approach has been tried and tested in Kaiser Permanente Promotes stability for May require providers to take a commissioners and greater share of the risks providers as budget is set at Value of contract is not usually linked the start of the year to the level of needs/ risk within the Could provide an interim local population solution as it is relatively easy to implement, whilst Cap and collar moving to a more sophisticated model based on need May encourage providers to innovate whilst also incentivising productivity and savings in the system Promotes integrated working Overspend may occur and dealing Assists with expenditure with this could be difficult if partner Pooled control and helps to avoid priorities change budgets shunting’ Value of contract is not usually linked ‘cost Relatively straightforward to to the level of needs/ risk within the implement local population Flexible approach which can More bureaucratic than a pooled be used outside of formal budget partnerships and when there Does not promote more integrated Aligned is a possibility of overspend, working budgets cost-shunting or changing Value of contract is not usually linked priorities to the level of needs/ risk within the Relatively straightforward to local population implement Reproduced from West Cheshire, Community Budget programme GM Community Budgets Programme Health and Social Care Theme in Narrative Report 2012-11-12
Capitation Assists in avoiding inappropriate use of specialist care by encouraging the system to innovate and share risks Can be used to specify desired outcomes for a specific disease or pathway group, and expanded if successful Approach has been tried and tested in Kaiser Permanente Complex to develop for local population, particularly when a risk profile is used Implementation of this model requires providers to be integrated or working in an integrated way Cap and collar Promotes stability for commissioners and providers as budget is set at the start of the year Could provide an interim solution as it is relatively easy to implement, whilst moving to a more sophisticated model based on need May encourage providers to innovate whilst also incentivising productivity and savings in the system May require providers to take a greater share of the risks Value of contract is not usually linked to the level of needs/ risk within the local population Pooled budgets Promotes integrated working Assists with expenditure control and helps to avoid ‘cost shunting’ Relatively straightforward to implement Overspend may occur and dealing with this could be difficult if partner priorities change Value of contract is not usually linked to the level of needs/ risk within the local population Aligned budgets Flexible approach which can be used outside of formal partnerships and when there is a possibility of overspend, cost-shunting or changing priorities Relatively straightforward to implement More bureaucratic than a pooled budget Does not promote more integrated working Value of contract is not usually linked to the level of needs/ risk within the local population Reproduced from West Cheshire, Community Budget programme in GM Community Budgets Programme Health and Social Care Theme Narrative Report 2012-11-12
Contracting%20models.docx