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Health Tech

Concerns that capital funding for NHS tech could delay AI roll-out

Concerns that capital funding for NHS tech could delay AI roll-out


Rachel Reeves, Chancellor of the Exchequer (Credit: Lauren Hurley / No 10 Downing Street)

Concerns have been raised that capital funding for NHS technology announced in the Autumn Budget could potentially delay the roll-out of digital tools such as ambient voice technology (AVT).

Chancellor Rachel Reeves pledged £300 million of additional capital investment in NHS technology to “improve patient service”.

A policy paper, published by the Treasury on 26 November 2025, said that the funding builds on up to £10bn announced at the Spending Review 2025 and will “ensure seamless navigation and communication between primary and secondary care through the NHS App”.

It adds: “By guiding patients to self-care, primary care and urgent care through a single user-facing service, their information will be made readily available across all providers.

“This funding will also close the gap in patient access to digital health records, so patients can make informed choices about their care.”

However, concerns were raised that capital funding , which is used for infrastructure such as hardware and equipment, could delay the roll-out of technologies, such as AVT for clinical note-taking, which are key to the NHS 10 year health plan.

Steve Wightman, general manager, health and integrated Care at The Access Group, said: “While continued investment in health tech will always be welcomed, the biggest challenge with the £300 million is that it’s capital funding. 

“If the government is serious about scaling digital tools like AVT and AI ‘at pace’, it needs to provide revenue funding. 

“Otherwise, there’s a real risk the money is spent on short-term gains such as IT hardware and equipment.”

Doubts were also cast upon the government’s plans for the investment in technology to improve NHS productivity.

Sarah Woolnough, chief executive of The King’s Fund said: ‘The £300 million announced for investment in technology is welcome in showing the government’s focus on improving efficiency but in the context of the previously announced £10bn over three years in investment in this area it is a relatively small sum.”

Tom Whicher, chief executive at DrDoctor said: “Record investment in NHS tech is welcome – shifting £300 million from tedious administrative tasks back into care coordination is exactly what we’ve needed. But it’s not a silver bullet.

“Real efficiency outcomes come from more than just adding appointments. We need new standards that encourage and enforce the implementation of a tech-first approach to appointment management.”

Richard Jolly, partner and head of health sector practice at law firm, Weightmans, said: “The £300 million investment in NHS technology to automate admin tasks and improve access to patient information is welcome, but the chancellor’s promise of ‘ruthless efficiency’ will only deliver results if implementation is done right.

“My concern is that without careful coordination, rolling out new digital tools across the NHS could create more problems than it solves.

“We need cast-iron assurances around interoperability – these systems must work seamlessly together and with existing technology, not add another layer of complexity that only ends up slowing things down.”

Reeves also announced that the government is establishing 250 new Neighbourhood Health Centres across England, of which 120 are planned to be operational by 2030, co-locating local health services such as GPs and physiotherapists.

Early new sites will be located in Birmingham, Barrow-in-Furness, Truro and Southall, building on models already operating in Hull and Barnsley.

The centres will be delivered through the NHS Neighbourhood Rebuild Programme which will upgrade and repurpose underused buildings and build new facilities through a combination of public investment and Public-Private Partnerships.

Samantha Fay, chief executive of SiSU Health said: “The commitment to over 100 Neighbourhood Health Centres is a positive step toward a more accessible, efficient and preventative health system.

“Digital tools that streamline admin and improve information flow will support more coordinated, end-to-end pathways for patients.”

Nick Lansman, chief executive and founder of the Health Tech Alliance, said: “The creation of a Neighbourhood Health Service and the new NHS Neighbourhood Rebuild programme could be powerful platforms for health tech if they prioritise interoperable data, modernised estates and clear, consistent routes for adoption of innovation.

“Public–private investment in more than 100 centres will only deliver value if these sites become testbeds for scaling effective technologies, not just new bricks and mortar.”



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Tammy Lovell

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