NHS Faces £164 Million Overspend on ADHD Services Amid Rising Demand and Private Sector Reliance
Published 12 January 2026
Highlights
- The NHS in England is overspending by £164 million annually on ADHD services, with significant funds going to unregulated private assessments.
- Demand for ADHD assessments has surged, leading to a tripling of private service spending over three years.
- The NHS's reliance on private providers raises concerns about the quality and regulation of ADHD diagnoses.
- A review into mental health diagnosis processes has been announced amid concerns about the financial and healthcare implications.
- The right-to-choose pathway allows patients to bypass long waitlists, but it also facilitates easy access for business investors.
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Rewritten Article
Headline: NHS Faces £164 Million Overspend on ADHD Services Amid Rising Demand and Private Sector Reliance
The National Health Service (NHS) in England is grappling with a significant financial challenge, overspending by £164 million annually on services for Attention Deficit Hyperactivity Disorder (ADHD). This financial strain is largely attributed to the increasing reliance on unregulated private assessments, as revealed by a recent investigation.
Rising Demand and Financial Strain
The demand for ADHD assessments has reached unprecedented levels, driven by heightened awareness of the condition. This surge has led to a more than threefold increase in spending on private ADHD services over the past three years. The NHS's total expenditure on these services is projected to exceed £314 million by April 2026, more than double the allocated budget of £150 million.
Concerns Over Private Assessments
The growing dependence on private providers has sparked concerns about the reliability and regulation of ADHD diagnoses. Experts warn that private assessments can sometimes be unreliable, with patients facing challenges in continuity of care post-diagnosis. Jo Platt, chair of the all-party parliamentary group on ADHD, highlighted that the current system leaves many patients in limbo, with private providers profiting from a poorly regulated market.
Impact on NHS Services
The financial burden of ADHD services is raising alarms about potential cuts to other healthcare areas. Data from 32 of England's 42 integrated care boards (ICBs) indicates that spending on private companies has surged from £16.3 million in 2022-23 to £58 million last year. This trend underscores the NHS's increasing reliance on outsourcing, with some companies reporting profit margins as high as 33% from NHS services.
Government Response and Future Outlook
In response to these challenges, Health Secretary Wes Streeting has announced a review into the diagnosis of mental health conditions, including ADHD. This review aims to address concerns over the financial and healthcare implications of the current system. The right-to-choose pathway, which allows patients to select their provider and bypass long waitlists, has been identified as a key factor in the ease of access for business investors.
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Scenario Analysis
The NHS's financial strain due to ADHD services could prompt significant policy changes in the coming months. The announced review into mental health diagnosis processes may lead to stricter regulations on private assessments, ensuring better oversight and quality control. Additionally, the government might explore alternative funding models to alleviate the financial burden on the NHS, potentially involving more stringent contracts with private providers. As awareness and demand for ADHD services continue to rise, the NHS will need to balance cost management with ensuring timely and effective patient care.
The National Health Service (NHS) in England is grappling with a significant financial challenge, overspending by £164 million annually on services for Attention Deficit Hyperactivity Disorder (ADHD). This financial strain is largely attributed to the increasing reliance on unregulated private assessments, as revealed by a recent investigation.
Rising Demand and Financial Strain
The demand for ADHD assessments has reached unprecedented levels, driven by heightened awareness of the condition. This surge has led to a more than threefold increase in spending on private ADHD services over the past three years. The NHS's total expenditure on these services is projected to exceed £314 million by April 2026, more than double the allocated budget of £150 million.
Concerns Over Private Assessments
The growing dependence on private providers has sparked concerns about the reliability and regulation of ADHD diagnoses. Experts warn that private assessments can sometimes be unreliable, with patients facing challenges in continuity of care post-diagnosis. Jo Platt, chair of the all-party parliamentary group on ADHD, highlighted that the current system leaves many patients in limbo, with private providers profiting from a poorly regulated market.
Impact on NHS Services
The financial burden of ADHD services is raising alarms about potential cuts to other healthcare areas. Data from 32 of England's 42 integrated care boards (ICBs) indicates that spending on private companies has surged from £16.3 million in 2022-23 to £58 million last year. This trend underscores the NHS's increasing reliance on outsourcing, with some companies reporting profit margins as high as 33% from NHS services.
Government Response and Future Outlook
In response to these challenges, Health Secretary Wes Streeting has announced a review into the diagnosis of mental health conditions, including ADHD. This review aims to address concerns over the financial and healthcare implications of the current system. The right-to-choose pathway, which allows patients to select their provider and bypass long waitlists, has been identified as a key factor in the ease of access for business investors.
What this might mean
The NHS's financial strain due to ADHD services could prompt significant policy changes in the coming months. The announced review into mental health diagnosis processes may lead to stricter regulations on private assessments, ensuring better oversight and quality control. Additionally, the government might explore alternative funding models to alleviate the financial burden on the NHS, potentially involving more stringent contracts with private providers. As awareness and demand for ADHD services continue to rise, the NHS will need to balance cost management with ensuring timely and effective patient care.
