This government has a problem. The Health and Social Care Act removed the Health Secretary from direct control of the NHS. This means that decisions about provision of services now rests with NHS England and Clinical Commissioning Groups.
However, the government has an ideological mission to shrink the state. It calls this project austerity. In removing the Secretary of State’s duty to provide a comprehensive health service they have created the legal framework for greater austerity within the NHS, and the end of universal healthcare provision. But at the same time have diminished their power to implement this austerity drive.
This is why the Lewisham Hospital case was so important. The government tried to use legislation around failing hospitals to reconfigure other local services. Lewisham was just the unfortunate recipient of this dangerous medicine.
25,000 people march to save Lewisham Hospital
The government lost in the High Court because what they were trying to do is illegal. They had no power and no rationale for closing a well performing NHS Trust Hospital in favour of a failing PFI ridden Foundation Trust. They were trying to gerrymander the new healthcare market they have created within the NHS.