HEALTH ministers have brushed off concerns about the formation of a new healthcare company in East Lancashire, in which 30 doctors’ surgeries have bought shares.

The firm, called the Lancashire EU of GPs Ltd, is expected to bid for primary care contracts from East Lancashire Clinical Commissioning Group (CCG), which Hyndburn MP Graham Jones fears could result in a ‘conflict of interest’.

The practices that have bought into the firm are also members of the CCG, which decides how NHS cash is spent.

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Mr Jones, Labour, wrote to health secretary Jeremy Hunt to raise his concerns, and has received a reply from health minister Earl Howe, who said: “The CCG has been encouraging GP practices to develop ways of working together to provide primary care services and work towards expanding the number and types of services available locally in the community as part of its commitment to care closer to home.

“There are a variety of ways in which they work together, ranging from informal partnerships through to federations, social enterprises and formal private companies.

“The CCG encourages GP practices’ joint working for the benefit of local communities.

“I can assure you that the CCG does not currently hold a contract with the Lancashire EU of GPs, which has only recently been established. Neither is the CCG funding the operation of this company.

“Furthermore, the CCG has policies to manage potential conflicts of interest, procurement, commissioning and contracting and believes it can manage any issues.”