Mace to host Future Cities Forum this November on UK government invested hospital programme

Above: CGI of the 'Hospital of the Future' currently under construction (courtesy Leeds Teaching Hospital NHS Trust)

Future Cities Forum is delighted to be hosted by Mace Group for its National Hospital Programme discussions this November. There will be two panel discussions: the first looking at the delivery of new hospitals with beyond 2025 and the second on the future for the construction industry around more collaborative models for mega and giga (large scale infrastructure) projects.

Back in March this year, NHS England appointed a joint venture of global delivery consultants and construction experts, Mace, and global professional services company, Turner & Townsend, as the Programme Delivery Partner (PDP) for the New Hospital Programme (NHP). This once-in-a-generation scheme aims to deliver much needed new hospitals and transform healthcare facilities to benefit patients and clinicians nationwide.

The NHP was first established in October 2020 to build a series of new hospitals across the UK, alongside replacing or refurbishing existing facilities and improving access to modern healthcare nationwide. Following a strategic review in September 2024, the Secretary of State for Health announced a rebalancing of the portfolio of hospital schemes, with secured funding in five-year waves of investment. The programme will prioritise rebuilding healthcare facilities built using reinforced autoclaved aerated concrete (RAAC), with the first seven projects being delivered by 2030. Further hospitals will be delivered in waves over the next fifteen years and beyond.

Mace and Turner & Townsend will lead the delivery consortium, working together with an extensive national supply chain. Together, they will act as delivery partners for the NHP, guiding the programme, safeguarding the schedule and budgets, and creating a legacy with the NHS and Department of Health and Social Care for healthcare facility delivery into the future.

The NHP aims to champion a programmatic approach to deliver hospitals at greater speed, value for money and safety. This will complement an industrialised construction methodology and utilising standardised designs and off-site manufacturing to unlock opportunities for small and medium suppliers across the country, while driving faster delivery of future-facing facilities that take advantage of modern clinical technologies.

Jason Millett, Group Chief Executive Officer at Mace:

“The New Hospital Programme represents one of the most important social infrastructure opportunities of a generation, promising a legacy of transformative healthcare facilities for communities across the UK.

“Having supported both the Department of Health and Social Care, and the National Health Service for several years, we’ve seen first hand the benefit of providing the nation’s committed healthcare professionals and their patients with the state-of-the-art environments they deserve. Now, through our leading role in leading the PDP for the New Hospital Programme, we are committed to bringing that experience and expertise, along with new innovation, to deliver for future generations.”

Mace has also just released a new report analysing over 5,000 mega and giga-projects and programmes from countries around the globe, which it says reveals for the first time that 11% are at risk of significant delay or cancellation.

The global analysis, in its report titled The Future of Major Programme Delivery, estimates these inefficiencies will mean the global economy is at risk of missing out on more than $1.5tn of economic growth by 2030 due to delayed megaproject delivery. 

As part of this, the report looks at different approaches to delivery and suggests actionable solutions centring around more collaborative models, including being more outcomes focused, having a ‘one team’ approach and sharing risk and reward.  

It also suggests taking more time up-front to ensure readiness, defining and agreeing good governance, having a clear scope definition and cost realism. 

The commissioning of major programmes, whether for energy, high-speed rail, hospitals or homes, schools or flood defences, as the climate changes and as urbanisation continues, has resulted in the number increasing by 280% since 2010, a trend set to continue. 

Dominated by the USA, with 1,663 projects announced since 2010, and driven by countries such as India (729), Saudi Arabia (577) and the UK (484), data from the report shows programmes are becoming larger, more complex and more expensive. Driven in part by political support and public investment, the top 10 live global projects looked at have a combined total value of US $685 billion.

The report highlights that as projects grow in size and scope so does the risk of delay. With longer timeframes, there is a higher chance of encountering significant external events such as a price shock, war or political upheaval. This is notwithstanding new digital tools, including AI systems that integrate cost and time overlays, and automation of processes designed to help boost productivity and enhance human capability.  

The paper is clear that the challenges faced in delivery are not a reflection of a lack of capability within the supply chain, but issues such high levels of bureaucracy, protracted consents processes and changes in scope and funding that industry must overcome. This is compounded by optimism bias, incomplete designs and pressure to ‘get spades in the ground’ without proper planning.  

The focus on tackling these challenges and the subsequent impact on cost and schedule continues to detract from the beneficial outcomes of these programmes.   

Davendra Dabasia, Chief Executive Officer for Mace Consult, says: 

“When large-scale programmes are significantly delayed and go over budget, the focus on the positive impact they have is diluted. When major programmes exist to deliver beneficial outcomes for society, it’s a factor that needs to be addressed.  

“Many of the issues are systemic, often driven by national politics and policies, and reflect the challenging ecosystem that delivery takes place in. As major projects and programmes become larger and more complex, delivery models need to be agile to tackle challenges and capitalise on any new opportunities. 

“The solution must rest with more collaborative delivery approaches that prioritise the creation of integrated teams aligned to common goals that seek the same positive outcomes.” 

The report highlights that collaborative approaches result in a 4%-13% reduction in cost and a 50% reduction in the risk of projects being delivered late. 

With more than 11,000 live mega-programmes and 250 giga-programmes and projects currently in delivery around the globe, and the number growing, proponents of the report hope the focus on these will rest with the value they bring rather than on how they are delivered.