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Lifecycle Management Group Ltd
Unipart House,
Garsington Road,
Cowley, Oxford,

Tel: 01865 340 800
Fax: 01865 340 829
E-mail: info@lifecycle.co.uk

25 years of helping the NHS optimise its third party spend.

For 25 years we’ve worked with NHS Trusts to achieve best value and savings on whole life costs of equipment and services. We’ve nailed down costs from procurement and financing to maintenance and managed services.


“They are not the kind of nameless, faceless consultants who make surface level recommendations and then leave before the real work begins.

They know their stuff and can make intelligent conceptual leaps – they have more than the obvious in their repertoire.

If there are savings to be had and you engage properly as a client, they will tough it out with you and deliver them.”

Alison Masterman
Environment and Infrastructure General Manager
Basildon & Thurrock University Hospitals NHS Foundation Trust


Saving NHS Trusts more than £200m

We’ve successfully delivered projects to plan, procure and manage almost every aspect of NHS third-party spend – both equipment and services.


Releasing cash by restructuring multiple lease deals

Royal Berkshire NHS Foundation Trust

As with most NHS Trusts, our client is always open to suggestions that can deliver savings. We approached the trust with an opportunity to renegotiate a number of its contracts and deliver reductions in spend. The trust agreed in principle and asked us to review the portfolio to review where savings could be made.


  • Review of lease portfolio
  • Analysis of market data i.e. RVs, decommissioning costs, return costs, maintenance costs and maintainable lives
  • Proposal issued to procurement and finance
  • In-principle approval received
  • Engagement with all stakeholders to ensure proposal meets ongoing clinical requirements
  • Analysis of ongoing requirements
  • Negotiation of options
  • Presentation of final agreement
  • Analysis of savings
  • Reporting to support CIP
  • Continued ongoing management

We spoke to each of the end users to confirm the life expectancy and reliability of the equipment. Based on that information and the data we hold regarding market values, RVs, decommissioning costs, return costs, maintenance costs and maintainable lives, we negotiated options with the lessors. The project delivered £185k in the first year – which the trust was able to report internally. Over the new lease periods, the project delivered reductions of £1.1m.

“They came to us with a project that had the potential to deliver considerable savings. They worked with all the relevant stakeholders to deliver within the required timescales. The result – a 23% reduction in our annual spend in this category. They provided a range of reporting to support the achievement against CIP target.

Charlotte Hopgood – Portfolio Manager – Royal Berkshire Hospital NHS FT

Delivering procurement savings from medical device maintenance contracts

Salisbury NHS Foundation Trust

The Trust wanted to improve governance of their maintenance contracts to ensure cover was in place on all medical devices. They also wanted to drive procurement savings through the implementation of a detailed category plan, ensuring real competition for every contract.


  • Collating data on 200 medical device maintenance contracts
  • Verification of contract data accuracy direct with every supplier
  • Creation of a category-wide procurement plan
  • Identification of rationalisation and consolidation opportunities
  • Requirements interviews with all budget-holders and other stakeholders
  • Development of Route to Market recommendations for key contracts
  • Compliant, competitive procurement of all contracts
  • Developing technical specifications and detailed requirements
  • Running full tenders for above-threshold contracts
  • Full Cost Improvement Proposals developed for Trust approval
  • Ensuring contracting on specially tailored NHS Terms and Conditions
  • Population of OPTIMiSe with all contract data, asset data and documentation
  • Annual review and competitive re-procurement of all contracts
  • Full online reporting of contract status and savings achieved

The Trust was able to demonstrate full compliance with both procurement and maintenance regulations – with maintenance cover in place for all medical devices, supported by extensive online contract and procurement records.
The project delivered £1m in net savings for the Trust.

“They have helped transform the procurement and management of our maintenance contracts, reducing cost and at the same time giving us a level of control and compliance we didn’t think possible”
Sharon Cousins, Operational Procurement and Systems Manager
Salisbury NHS Foundation Trust

Managing records of supplier maintenance visits to ensure compliance

Northern Lincolnshire and Goole NHS Foundation Trust

The Trust were beginning to implement the Premises Assurance Model (PAM) and had identified the lack of documentary evidence of supplier maintenance visits as an area of concern. The Trust wanted to improve record-keeping to ensure compliance with the evidentiary requirements of PAM.


  • Identification of all maintenance contracts that required documentary evidence
  • Verification (with suppliers and Trust) of agreed service schedules for all contracts
  • Populating OPTIMiSe with service schedules for all contracts
  • Modification of NHS Ts and Cs to require suppliers to upload service records to OPTIMiSe
  • Onboarding of all maintenance suppliers to explain new approach to record management
  • Emailing service records to the Trust for their approval
  • Policing suppliers to ensure upload of all service records
  • Chasing and escalating missed (or unrecorded) service visits
  • Storing service records online against agreed schedules
  • Full reporting (by asset, by contract and department) of supplier compliance levels

The Trust now has full, documentary evidence stored online for all records received, meeting the requirements of the Premises Assurance Model. The Trust also has clear reporting, identifying both compliant and non-compliant suppliers, enabling them to take action as required. Finally, the Trust is able to review supplier performance prior to the renewal of any maintenance contracts.

“This is a great service. It gives us instant visibility of which suppliers are compliant, as well as the hard documentary evidence of service visits. Where suppliers are not compliant, Lifecycle chases them down and, if necessary, obtains a rebate where services have not been performed.”

Simon Tighe – Deputy Director of Estates and Facilities – Northern Lincolnshire and Goole NHS Foundation Trust

Structuring managed service contracts to deliver 20% vat saving

Hull and East Yorkshire Hospitals NHS Trust

The Trust had been working on a commercial proposal for a new Patient Records Management System that, when implemented, would generate hundreds of thousands of pounds of savings. However, without access to sufficient capital, the Trust required an off-balance sheet solution. The proposed contract would neither be off-balance sheet or, in the opinion of the Trust’s VAT advisor, VAT recoverable.


  • Analysis of original proposed contract
  • Identification of weaknesses re VAT recovery
  • Liaison direct with supplier to investigate options for change
  • Development of Managed Service structure and contractual details
  • Writing contract to deliver VAT recovery and off-balance sheet status
  • Competitive procurement of funding to finance the revised structure
  • Developing detailed accounting note to support VAT recoverability
  • Successful conclusion of both equipment and finance contracts

The Trust’s VAT advisor reviewed the new commercial proposal and, following the work we had done, was able to revise his opinion. He was able to advise the Trust to treat the arrangement as a Managed Services agreement and to treat the transaction as off-balance sheet and VAT recoverable. The Trust was able to report both the operational savings and also the full value of the 20% VAT saving.

Delivering £1m in savings by tendering Endoscope maintenance contract

York Teaching Hospital NHS Foundation Trust

The challenge
The Trust has a large annual spend on flexible scope maintenance, all of which were manufactured by Olympus. Maintenance had always been provided by Olympus’ own maintenance provider, Keymed.

End users were reluctant to move away from the OEM for maintenance and a result, no competitive market testing had been carried out. However, with the Trust facing significant financial pressures, we were asked to manage a competitive, compliant procurement to attempt to reduce costs, yet ensure that the resulting service was fit for purpose.

The approach

  • Process commenced nine months prior to expiry to ensure all options could be reviewed
  • Interviews with clinical and management stakeholders to determine requirements
  • Data-led market research to evaluate options
  • Development of detailed Route to Market proposal recommending tendering the contract
  • Preparation of detailed Technical Specification to meet the needs of stakeholders
  • Development of Lot strategy to deliver the most flexible, best-value outcomes
  • Development of enhanced Terms and Conditions to protect the Trust’s interests
  • Creating appropriate questions and scoring methodology to meet the Trust’s priorities
  • Developing detailed, compliant tender documentation
  • Management of the process, including answering clarification requests from suppliers
  • Evaluation (with the Trust) of all supplier responses
  • Identification of winners for each lot, based on scoring methodology
  • Drafting detailed report to respond to internal concerns about potential supplier switch
  • Compliant award of contract to (different) winners of each Lot

The outcome
The Trust awarded both Lots to different suppliers, neither of which was the OEM. In addition to satisfying the concerns of internal stakeholders, the Trust has been able to report total savings of over £1M over the five-year contract term.

We had a large annual spend on flexible scopes which were previously maintained by the OEM. Lifecycle came in, challenged the status quo and persuaded nervous end users to consider alternative suppliers. They worked with the Trust to review and address concerns raised surrounding a 3rd party maintainer and even produced a report addressing each of the points raised. We proceeded with the award and were able to report total savings of over £1M across the five-year contract term.”

Peter Hickton – Asset Maintenance / Capital / MERG – York Teaching Hospital NHS Foundation Trust

Mattress refresh programme following renegotiation of existing contract

London North West Healthcare NHS Trust

With a high incidence of HAPUs and a shortage of nurses, the Senior TVN had identified that replacing all the current static mattresses (which were nearing the end of their life) with hybrid dynamic mattresses would deliver both operational and clinical benefits. However, the Trust had insufficient capital to fund such a replacement programme. The Trust asked us to renegotiate the current contract for mattresses with their current supplier – a contract that was set to run for some time.


  • Fully understand the Trust’s financial, contractual and clinical position
  • Meetings with key stakeholders to get a clear view of the issues involved
  • Agreed a technical strategy for the idea configuration of its mattress stocks
  • Identifying deficiencies in the current supplier’s performance against contract
  • Modelling a plan to replace the current mattress stock – at no additional cost
  • Developing, and agreeing a negotiation strategy with the incumbent supplier
  • Gaining agreement (over six months) to each of our demands
  • Drafting a revised contract with the incumbent that delivered financial ‘headroom’
  • Compliant procurement of replacement mattresses with the money saved on the incumbent’s contract
  • Negotiated a tailored maintenance contract for both pumps and mattresses to reflect the Trust’s requirements
  • Developed a full business case on the Trust’s behalf which won approval
  • Working with supplier and Trust throughout to deliver the arrangement

The Trust was able to acquire 1,000 new dynamic mattresses over a 60-day period. This required no additional capital and created a reduction in revenue spend of £40,000. 80 Trust-owned dynamic mattresses have been replaced free of charge – a saving of £250,000. In addition to the financial benefit, the Trusts also expects to reduce patient turns and a reduction in HAPUs – further increasing the savings to the Trust.

“From the outset they have driven this project and engaged with stakeholders across the Trust to help drive it to a successful conclusion. They have been truly excellent throughout – we have a result that, at the outset, I would not have thought possible. Not only are we now positioned to deliver far better patient care, we have done this by reducing rather than increasing costs.”
Amanda Pye, Chief Nurse
London North West Hospitals NHS Trust

Discover opportunities with our free assessment

Of course you’ll want to focus on the bottom line. In other words, how we can help deliver savings and improve the value you get from your equipment-related spend. Which is why we offer you a free, no obligation assessment. Working with individual departments or the Trust as a whole, we’ll unearth the opportunities throughout your equipment lifecycle.




The seven golden rules of great contract management

A brief history of NHS procurement

Is replacement planning in the NHS a waste of time?

Three steps to IFRS 16 compliance

Case Studies

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60-second briefings

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Let’s unearth the opportunities

We offer a free opportunity assessment for NHS Trusts. We’ll work with you to quickly identify any opportunities and outline how we can exploit them. Just let us have your contact details and we’ll be in touch as soon as possible to arrange a brief introductory meeting.


Subscribe to our 60-second briefings.

We produce a series of easily digestible 60-second briefings on a range of topics – from procurement regulations to changes in accounting treatment for finance arrangements. Subscribe now and we’ll send you the latest briefings.


Online Regulation 84 portal.

We have partnered with Mills and Reeve, the leading procurement lawyers, to create a guided wizard that makes certain you’re compliant with Regulation 84. It also includes a wizard to help you select the correct procedure for any procurement.

The portal is in the final stages of production and will be launched soon. If you’d like free access, just let us have your details and we’ll send you a link as son as it’s done.


Tell me more

If you’d like to find out how we can help your Trust, or your department, develop robust and effective replacement planning for medical devices, just complete the form and we’ll be in touch to explain how we can help.