NHS funding: what does the £8bn spending increase actually mean?

The government’s promise to increase NHS spending by £8bn sounds simple, but there are two possible interpretations of the proposal. So which is correct and what will it mean?

As a health economist, I am often asked the same question: what does the government actually mean by its manifesto commitment to increase “NHS spending in England in real terms by a minimum of £8bn over the next five years”?

It seems simple doesn’t it? But there are two ways this promise could be interpreted, which give very different results.

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