A COUNCIL decision to award a £104million healthcare contract to the private sector instead of the NHS has been slammed.

Lancashire Care NHS Foundation Trust have been beaten by Richard Branson’s Virgin Care company in the tendering process to run the county’s 0-19 Healthy Child Programme.

The decision by Lancashire County Council prompted a fierce backlash from health campaigners who branded the move ‘privatisation through the front door’.

Former health boss, County Cllr Azhar Ali, the Labour leader on the county council, called for Lancashire Care to be given the contract.

He said: “If Lancashire Care lose contracts like this, the financial viability of the trust comes into question and it could get into serious financial difficulties.

“This would cause major problems for the NHS in Lancashire.

“I would like to see the council award the contract to the current provider.

“The rewarding of this contract goes to show that the private sector are playing an increasingly big part in the NHS.

“One in three contracts in the NHS are now being awarded to the private sector, which is worrying, as I’d be concerned this would put profit before patient and that we’re seeing the front door privatisation of the NHS.”

The Healthy Child Programme is worth up to £20.8m a year and covers services including school nurses and health visitors for children and young people.

Lancashire Care currently carry out the service, but at the end of March next year, the contract will run out.

The deal is now in a legal 'standstill' period, before the contract can be confirmed, which gives unsuccessful bidders the opportunity to appeal.

Although the authority would not confirm who the contract had been awarded to or the names of the two bidders involved, they said they had carried out an ‘open and transparent procurement process’, inviting bids from ‘suitably experienced organisations’, and has now chosen a ‘successful’ provider.

Cllr Shaun Turner, Lancashire County Council’s cabinet member for health and wellbeing, said: “We have just completed the procurement of a range of new public health services for children aged 0 to 19.

“This is the first time the county council has carried out this process, since taking over public health responsibilities, and it has enabled us to ensure that we will have a consistent range of services across the whole county, available to all, with additional support for those who most need it.

“The successful provider scored more highly in a rigorous process heavily weighted in favour of the quality of service.

“They will deliver modern services that will help us narrow the gap in health between different groups and communities, while integrating more closely with other children’s and family services.”

A spokesman for Lancashire Care said: “At present we are in a standstill period, this is part of a formal legal process and as such we cannot comment any further at this time.”

Last year, Mr Branson’s company sued the NHS after it lost out on an £82m contract to provide children’s health services across Surrey, citing concerns over 'serious flaws' in the way the contract was awarded.