From Agency Crisis to Automation Opportunity

From Agency Crisis to Automation Opportunity: How the NHS Can Reclaim £1 Billion for Patient Care

The government’s message to NHS leaders could not be clearer: reduce agency spending by 30% this year, with complete elimination by the end of this parliamentary term. In their recent letter, Health Secretary Wes Streeting and NHS England Chief Executive Sir James Mackey outlined an ambitious vision that could release “around £1 billion over the next 5 years to be invested back into patient care.” Yet achieving this transformation requires more than wishful thinking—it demands a fundamental reimagining of how the NHS manages its most valuable resource: its workforce.

The Unsustainable Status Quo

The stark language in the government letter reflects mounting frustration with an unsustainable situation. “It is simply not right that the taxpayer should foot the bill for billions of pounds of spend on agency staff,” the letter states, highlighting how “agency margins are an unnecessary cost to the service.” This isn’t merely about financial efficiency—it represents a critical workforce sustainability challenge that threatens the NHS’s ability to deliver consistent, high-quality patient care.

The current reactive approach to workforce management creates a vicious cycle: understaffing leads to increased pressure on permanent staff, driving burnout and turnover, which in turn creates greater reliance on expensive agency solutions. However, the underlying challenge runs deeper—much of the NHS workforce crisis stems from inefficient use of existing staff, with clinical professionals spending excessive time on administrative tasks rather than patient care. Breaking this cycle requires more than shifting from agencies to staff banks—it demands intelligent automation that maximises the productivity of every team member whilst reducing their administrative burden.

Why Traditional Solutions Fall Short

Whilst the letter champions staff banks as the preferred alternative—offering “flexibility and the ability to work in familiar settings”—this approach still relies on fundamentally manual processes that fail to address the root causes of workforce instability. Even the most competitive bank rates and comprehensive migration plans cannot solve the underlying challenge: the NHS lacks the predictive capability and operational agility needed to match workforce supply with demand effectively.

Traditional workforce planning operates in reactive mode, responding to staffing crises rather than preventing them. Managers spend countless hours manually juggling rotas, chasing staff to fill shifts, and firefighting coverage gaps. The administrative burden of managing multiple staffing models—permanent, bank, and agency—creates additional complexity that diverts resources.

The government’s call for “comprehensive migration plans” acknowledges that systematic transformation is required, yet without intelligent automation, these plans risk merely shifting inefficiency from one model to another.

The Intelligent Automation Solution

This workforce crisis presents a compelling opportunity for NHS organisations to embrace Intelligent Automation that transforms reactive staffing into proactive workforce optimisation.

The fundamental insight is that automation doesn’t just improve workforce management—it amplifies workforce effectiveness. When nurses spend less time chasing paperwork and more time with patients, when doctors can focus on clinical decisions rather than administrative processes, and when support staff can eliminate repetitive manual tasks, the effective capacity of the existing workforce expands dramatically. This productivity multiplication effect means fewer agency staff are needed, not because posts remain unfilled, but because permanent staff can accomplish more meaningful work.

Through our work across NHS organisations, e18 Innovation has witnessed how workforce automation transforms not just costs but staff experience and patient care. Automated systems that handle routine scheduling and administrative tasks free managers to focus on strategic workforce development and staff wellbeing, creating a positive working environment that reduces turnover and agency dependence.

Seizing the Transformation Moment

The government’s agency elimination mandate represents more than a cost-cutting exercise—it’s a catalyst for fundamental operational transformation. NHS organisations that embrace this challenge strategically, with Intelligent Automation at the core, will not only achieve the required financial savings but also create sustainable workforce models that benefit staff and patients alike.

The choice facing NHS leaders is clear: continue firefighting workforce crises with manual processes and reactive solutions, or embrace automation that transforms workforce management from operational burden into strategic advantage. The £1 billion opportunity awaits those bold enough to automate their way to workforce sustainability.