The new rules for tendering of NHS services have been defended by Health Minister Earl Howe and condemned by the Royal College of Midwives (RCM).

According to Earl Howe, the regulations do not enforce competitive tendering: they simply enforce patient choice.

However, the RCM is concerned that Monitor is being given the power to enforce competitive tendering in virtually all circumstances, while the promised ‘discretion’ of CCGs is abolished.

The difference in views relates to the question of which is more important to patients: the right to exercise choice, or the continuity and integration of services.

The NHS (Procurement, Patient Choice and Competition) Regulations 2013 are secondary legislation following the Health and Social Care Act, and will become law on April 1 unless actively challenged.

Following widespread criticism, Earl Howe said: “These regulations are about ensuring that when services are tendered for, whether from NHS, voluntary sector or independent providers, the rules that are applied to the process are fair.

“We have always said that competition in the NHS should never be pursued as an end in itself, but only where this is in the interests of patients. “This principle underpins the right of patients to exercise choice when accessing treatments.”

The concern of critics – including Labour peer Lord Hunt, the RCM and NHS campaign groups – is that decisions about tendering will be driven not by patient choice, but by lawyers acting for private healthcare providers.

The RCM, which represents maternity service professionals across the UK, argued that the new regulations abolish the control of local NHS commissioners over what services will be open to competitive tendering.

Expressing concern that a business-driven carve-up of the NHS franchise will damage the continuity and integration of maternity services, the RCM called for the new regulations to be debated in both Houses.

Jon Skewes, the RCM’s Director for Policy, Employment Relations and Communications, commented: “We were repeatedly assured by ministers that compulsory competitive tendering would not be imposed on organisations commissioning maternity services. The regulations as they stand will mean that this is exactly what will happen.

“Continuity of care is vital in maternity services if we are to have safe and high quality care. I fear that the fragmented service that these regulations could lead to will mean poorer care for women, babies and their families.”

George Eliot Hospital in Nuneaton is likely to become the second NHS hospital to undergo a private sector takeover.

The Midlands-based Foundation Trust has applied to the DH for a license to franchise its management.

The development has drawn criticism from South Warwickshire FT, which was hoping to draw the hospital into a county-wide merger.

The George Eliot’s inability to meet FT criteria on its own led it to commence seeking a partner nearly a year ago.

Interest was confirmed from three FTs (South Warwickshire, Burton Hospitals and Dudley Group) and three private healthcare firms (Circle, Serco and Care UK).

Plans for an NHS merger with South Warwickshire FT, forming a new Warwickshire FT, enjoyed support from hospital staff and patients.

The George Eliot Hospital Trust has said it will consider franchise bids from both NHS and private sector providers.

However, South Warwickshire FT has said it will not compete under the terms of a franchise. Chief Executive Glen Burley commented: “Running a hospital is not like running McDonald’s.”

Circle, which took over Hinchingbrooke Hospital in Cambridgeshire in February, is considered the front runner for the George Eliot contract.

US medical device manufacturer Ethicon Endo-Surgery (EES) has acquired SterilMed for an undisclosed amount.

The acquisition will broaden EES’ product portfolio with SterilMed’s ability to provide medical device reprocessing and equipment repair to help healthcare providers reduce costs.

Karen Licitra, Chairman and Worldwide Franchise Chairman for EES said: “Together, we can continue our focus on developing innovative surgical solutions, while providing healthcare facilities a wider range of flexible product options to save money, reduce medical waste, and maintain quality care for patients.”

Minnesota-based SterilMed will be managed as part of the EES franchise, but will continue operations as a separate company under SterilMed.

Brian Sullivan, Chairman and CEO of SterilMed, said: “Becoming part of the Ethicon Endo-Surgery franchise, one of the largest and most respected medical device companies in the world, will have a positive impact on our business, while also expanding our product portfolio.”

Ethicon Endo-Surgery, a Johnson & Johnson company, manufactures and markets medical devices for minimally invasive and open surgical procedures.