The NHS Modernisation Bill: what health tech suppliers need to know
As the NHS Modernisation Bill enters committee stage on 16 June, techUK convened a member briefing to unpack what the legislation means for health tech suppliers.
The session brought together three guests for a panel discussion. techUK welcomed to the session: Leotina Braganza, director at Incisive Health, Gayle Curry and Charlotte Lewis, partners at Mills & Reeve.
Policy context
The bill now arrives at a moment of significant political turbulence, with Wes Streeting's resignation, the bill has entered an uncertain political environment and lost its key champion at precisely the moment it begins its parliamentary phase. The government has nonetheless set a stretching target to pass the bill by March 2027, so that NHS England can be merged into the Department of Health and Social Care from the start of the next financial year.
The new political leadership
James Murray, the new Secretary of State, came into post from Treasury, where he served as Chief Secretary. Preet Kaur Gill has been appointed Health Innovation and Safety Minister and is expected to take forward the portfolio previously held by Zubir Ahmed. Murray has retained two special advisers from Streeting's team, Sarah Harrison and Tom Gardiner, while bringing in Tom Hourigan from No 10 and Shadi Brazell from Treasury.
What's in the bill
The headline purpose is the abolition of NHS England and the transfer of its functions into the Department of Health and Social Care. Three areas have generated the most scrutiny over recent weeks:
Expanded Secretary of State powers. The bill transfers a long list of NHS England functions (workforce planning, oversight, regulation of NHS bodies, and digital and data systems) but also creates entirely new powers. Clause 11 gives the Secretary of State a broad power to direct integrated care boards (ICBs) in the exercise of their functions, with only limited exceptions around individual clinical interventions or directions inconsistent with NICE. The appointment of chairs of NHS bodies would also fall to the Secretary of State. This has been hotly contested and was a key theme at second reading.
A statutory duty to promote innovation. Alongside transferring existing duties, the bill adds prize-awarding powers, allowing the Secretary of State to award prizes to incentivise innovation at any stage through committees they have the power to establish, while ICBs retain their own duty to promote innovation. At second reading, Layla Moran, Chair of the Health and Social Care Committee, called for this section to be strengthened, warning that without long-term thinking it could lead to more pilots that never scale, a longstanding techUK concern.
The Single Patient Record (SPR). A statement of intent on digital transformation, and an area where techUK members have already been involved in market engagement activities.
Reform of ICB roles as strategic commissioners, alongside one of the most debated provisions: the inclusion of mayoral nominees from overlapping mayoral strategic authorities on ICB boards, building on the new powers established for mayors in the English Devolution and Community Empowerment Act and on the trial announced earlier this year in Greater Manchester and South Yorkshire of, effectively, deputy health mayors.
Patient voice and safety changes. Two provisions have drawn particular criticism: the abolition of Healthwatch, replaced with a new patient experience function sitting in ICBs and local authorities for social care; and the absorption of the Health Services Safety Investigations Body into the Care Quality Commission, stemming from Penny Dash's patient safety review.
What the second reading told us
The government framed the debate around four areas:
simplifying national leadership, arguing accountability has too long been split between bodies the public cannot name or hold to account;
empowering local systems;
reforming the use of digital and data, with James Murray positioning digital, data and technology as a core part of the NHS operating model offering the chance to transform how the entire NHS works;
and driving efficiency, with many MPs drawing on personal experiences and constituents' stories to make the case for the SPR.
What this means for suppliers
While the briefing focused on the policy detail, the panel discussion drew out the practical implications for industry. Their overarching message was that, for all the government's framing of the legislation as a "once-in-a-generation reset", the bill does not change procurement law; but it does change how the NHS buys, from whom, and why.
National credibility, local delivery. With NHS England's functions moving into DHSC and oversight concentrating at the centre, national-level standing is likely to matter more than ever, even though implementation and service transformation will continue to happen locally. Suppliers will increasingly need to operate convincingly at both levels rather than choosing one.
Interoperability as a baseline, not a differentiator. Integration with NHS infrastructure is becoming a condition of entry rather than a selling point. Alignment with NHS data standards, demonstrable interoperability and the ability to slot into wider care pathways will be expected as standard, and standalone solutions are likely to find it harder to compete.
Trust as a competitive advantage. Procurement attention is shifting towards data protection and security, transparency over how data is used, and the ethics and governance of AI in particular. The panel advised members to expect more detailed questions in tenders and due diligence, alongside more demanding contractual KPIs and quality requirements. In a system where Healthwatch is being abolished and safety functions consolidated, regulators and commissioners are likely to scrutinise suppliers directly rather than relying on intermediary bodies.
Short-term disruption, longer-term growth. As with previous NHS restructures, the transition is likely to bring a near-term slowdown in procurement and decision-making, followed by a wave of investment and delivery once the new structures settle. The suppliers best placed to benefit will be those that are ready when the system stabilises.
What suppliers should do now
To translate this into action, the panel set out five priorities for members. First, understand the changing customer landscape, tracking the evolving roles of DHSC, ICBs and NHS providers and how purchasing decisions are made across each. Second, align to the SPR ecosystem by investing in interoperability, adopting NHS data standards and stress-testing integration capability. Third, get ahead on data governance and trust, being ready to articulate clearly what data is used, why, how it is stored and protected, and what value flows back to the NHS. Fourth, think in systems rather than products, positioning offers as pathway-based, outcome-focused and scalable across populations. And fifth, prepare to collaborate and scale, with partnerships, especially for SMEs, likely to be essential to accessing national opportunities and delivering whole-pathway solutions at scale.
The throughline from the session was a familiar one for techUK members: the NHS is committed to digital transformation, but will favour suppliers who can deliver it safely, transparently and at scale. For those investing now in integration, governance and partnerships, the bill could open one of the most significant waves of NHS digital investment in a decade.
Robert Walker
Head of Health & Social Care, techUK
Robert Walker
Head of Health & Social Care, techUK
Robert joined techUK in October 2022, where he is now Programme Manager for Health and Social Care.
Robert previously worked at the Pension Protection Fund, within the policy and public affairs team. Prior to this, he worked at the Scottish Parliament, advising politicians and industry stakeholders on a wide range of issues, including rural crime and health policies.
Robert has a degree in Politics and International Relations (MA Hons) from the University of Aberdeen, with a particular focus on strategic studies and energy security. Outside of work he enjoys activities such as running, rugby, boxing and cooking!
Rachel joined techUK in December 2024, as a Programme Manager in the Health and Social Care team.
Prior to this, Rachel worked at a specialist health and social care public affairs agency, working with a range of organisations and trade bodies across the medical technology, pharmaceutical, digital health and social care sectors. As well as this, Rachel was part of the Secretariat for a number of health and care related All-Party Parliamentary Groups.
Rachel has a Masters in Global Governance and Diplomacy from the University of Leeds, as well as a first-class honours in Politics BA from Newcastle University.
Lewis Stewart
Programme Manager ‑ Health and Social Care, techUK
Lewis Stewart
Programme Manager ‑ Health and Social Care, techUK
Lewis brings a multidisciplinary background spanning health policy, stakeholder engagement, digital innovation, and elite sport. A former Commonwealth Games champion, he draws on the resilience, adaptability, and team-driven mindset gained through years of high-performance competition.
Before joining techUK, Lewis supported a Member of Parliament in the House of Commons, where he led on constituency engagement and produced evidence-based research to inform debates, committee work, and policy advocacy. He has also helped shape youth wellbeing policy through the Youth Sport Trust, collaborating with government, education, and grassroots networks to drive impact.
Lewis has played key roles in health tech and mobility startups, helping to bring innovative solutions to market and improve user experience in complex systems. With a degree in Biochemistry and Pharmacology, he combines analytical thinking with a passion for evidence-led, people-centred change.
Junior Programme Manager, Health and Care Team, techUK
Viola Pastorino
Junior Programme Manager, Health and Care Team, techUK
Viola Pastorino is a policy, governance, and strategic communication specialist.
She joined techUK as the Junior Programme Manager in the Health and Care Team in April 2024.
She has obtained a Bachelor of Sciences in Governance, Economics, and Development from Leiden University, and a Master's programme in Strategic Communications at King's College London. Her academic background, leading up to a dissertation on AI policy influence and hands-on campaign development, is complemented by practical experience in international PR and grassroots project management.
She is skilled in qualitative and quantitative analysis and comfortable communicating findings to varying stakeholders. Above all, she is deeply passionate about the intersection of technology and government, especially how technology and global discourse shape one another, the processes that lead to belief polarisation and radicalisation of communities, and crafting strategic narratives that steer public discourse.
Outside of work she loves reading, live music light operation, and diving.
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