Simple guide to payment by results

Quarry Hill Payment by Results (PbR) is the tariff based payment system that has transformed the way funding flows around the NHS in England. The aim of this guide is to provide a simple introduction for newcomers to PbR. Introduction 1. Payment by Results (PbR) has transformed the way funding for secondary care flows around the NHS in England. 2. The aim of this guide is to provide a simple introduction for newcomers to PbR, from NHS health professionals, managers and administrators, to people engaged in academic study and interested members of the public both in the UK and abroad. Detailed technical guidance on the operation of PbR each year, and a wide range of other information, is available at www.dh.gov.uk/pbr. 3. This guide has been updated to reflect the shape of PbR in 2012-13. 4. The guide is organised as follows: Basics Chapter 1 From patient notes to pound notes PbR begins when a patient is treated in hospital and ends when the hospital is paid for that treatment. Here we give an overview of the whole process. Chapter 2 Building blocks PbR is a data driven process that has its foundations in patient level data. We explore the three building blocks of classification, currency and costing. Chapter 3 Producing the tariff We describe the production of the tariff and explore some of the key themes that determine the tariff structure and prices. Chapter 4 Expanding the scope of PbR This guide concentrates on PbR for acute services, but the Government intends that it should expand into other areas. Here we take stock of progress. Glossary of terms and abbreviations Annexes PbR requires a basic understanding of the structure and funding of the NHS, which can be found here. We also provide some useful facts and figures about PbR. 5. Each chapter ends with a find out more section which lists references and sources of further information. 6. The Department of Health PbR team produces this guide. The first edition was published in September 2010. This third edition covers developments in PbR up to the publication of the 2012-13 PbR package in February 2012. 7. The Health and Social Care Act (2012) introduces changes to arrangements for tariff design and price setting. The Department of Health will lead on the development of Gateway Ref: 18135 A simple guide to Payment by Results 7 the tariff and PbR arrangements for …