Committee publication · Estimate memoranda · 29 April 2026
Main Estimates Memoranda for 2026-27 - Parliamentary and Health Service Ombudsman
From: Public Administration and Constitutional Affairs Committee
Summary
PHSO's Main Estimates Memorandum for 2026-27 requests £48.5m in Resource DEL funding, an increase of £2.4m (5.2%) from the Spending Review baseline. The organisation cites a 64% surge in complaints cases passed to investigation since 2022-23, driven by external pressures on NHS and government services. PHSO seeks additional funding for National Insurance costs (£589k), increased casework capacity (£1.8m), and the Ombudsman's salary adjustment (£10k), alongside a £10.8m Capital DEL for digital transformation.
Key findings
- Casework demand increased 64% between 2022-23 and 2025-26; internal modelling forecasts a further 25% growth over 12 months, with unallocated queue forecast to exceed 5,500 cases by 2026-27 without intervention.
- PHSO requests £1.8m additional funding to increase casework resource capacity, citing demand increases exceeding what can be managed within existing baseline and forecasting waiting times of over 12 months for case allocation.
- National Insurance rate increase (Autumn 2024) adds £589k to funding requirements; additional £10k sought for Ombudsman salary adjustment, not included in Spending Review submission.
- Capital DEL request of £10.8m (up 78.9% year-on-year) supports three-year digital and AI-enabled transformation programme targeting 10% productivity improvement, with benefits to be realised progressively.
- Demand growth attributed to external factors outside PHSO control: sustained NHS and government service failures, reduced public confidence in local complaint handling, and easier digital escalation routes; pattern replicated across UK Ombudsman sector.
Tone
ProceduralTopics
Key actors
Parliamentary and Health Service Ombudsman (PHSO), Public Administration and Constitutional Affairs Committee, Paula Sussex (Ombudsman), NHS England, UK Government departments
Notable line
“… over 3,300 cases and, without action, is forecast to grow to over 5,500 cases in 2026 – 27, with waiting times rising to over 12 months for allocation to a caseworker.”
Key Quotes
“In 2025 – 26, the volume of complaints passed to investigation increased by 64% compared with 2022 – 23. Demand is driven by external factors outside PHSO's contr ol.”
“… the scale and timing of the demand increase now exceeds what can reasonably be managed within the existing baseline.”
“Productivity has increased by around 30% since 2022 – 23, with 10,500 investigation decisions expected in 2025 – 26, compared with 8,096 in 2022 –”
“The principal drivers are external and structural, including sustained pressure and service failure in parts of the NHS and central Government services, reduced public confidence in local complaint handling, and easier escalation routes through digital channels.”
Source · parliament.uk record ↗