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Tuesday 13 February 2018

EMIS Group: Welsh GP framework update

EMIS Group LogoAt the end of January, it was reported that EMIS Group had not been selected as a preferred vendor for the next primary care framework agreement in Wales, meaning all EMIS users in the country will be transitioned to a new provider. Now that the statutory 10-day standstill period has passed, NHS Wales Informatics Service (NWIS) has released further details about why that decision was made.

NWIS stated that the tender submitted by EMIS fell short in eight of the 20 sections of requirements. In a letter sent to the 195 practices currently using EMIS systems, NWIS said," there were too many areas where EMIS Health Ltd only partially met the requirements or made too many changes to the contract drafting, which had a detrimental effect on, or increased the risk position of, NHS Wales."

EMIS has not released any further information since the announcement, except to say that it respects the decision and to reassure customers that service and support levels will be maintained during the transition period (January 2019 to July 2020).

Clearly EMIS believes that the commercial risks of signing up to the requirements of NWIS outweighed the benefits of retaining its position in Wales. When you consider the existing framework delivers a margin significantly below the Group average and represents less than 4% of GP practices using EMIS Health across the whole of the UK, you can see why it might not be prepared to make any significant concessions to NWIS.

The decision is obviously good news for EMIS's competitors. Vision (InPractice Systems) and Microtest secured a place on the new framework contract, which is effective for a four-year period from January 2019, with the option to extend for up to a further two years. It will put Vision, which already holds 241 GP practices in Wales, in a very strong position and give Microtest, a new entrant in Wales, an excellent opportunity to build its business. 

Posted by Dale Peters at '09:44' - Tagged: contract   software   healthcare  

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