NHS Property Services has introduced market rents across its 3,500 properties in a bid to remove inefficiencies from the estate.
The most significant change is for NHS service providers in buildings that are owned freehold by NHS Property Services.
They previously paid an amount that covered the basic costs of running their building. From 1 April 2016, they will pay an independently assessed market rent, plus a service charge and a separate charge for facilities management services.
Any cost increases for the 2016-17 financial year will be reimbursed by NHS England.
The change is part of a long-planned move across the public sector to make better-informed decisions about the location for services and investment.
NHS Property Services is a not-for-profit private company that controls 10% of the NHS estate. It is owned by the Department of Health and will use the revenue raised through rents for reinvestment in the estate.
• To send feedback, email louisa.clarence-smith@estatesgazette.com or tweet @LouisaClarence or @estatesgazette
