How technology is helping reduce healthcare costs in the UK

The UK’s healthcare system continues to face unprecedented pressure. Rising demand, workforce shortages and increasing operational costs are forcing the NHS and wider health sector to rethink how care is delivered.
The UK’s healthcare system continues to face unprecedented pressure. Rising demand, workforce shortages and increasing operational costs are forcing the NHS and wider health sector to rethink how care is delivered.
According to recent government strategy, digital transformation and the adoption of advanced technologies have the potential to create a more efficient, person-centred health system. But for innovation to deliver real impact, it needs to be both viable and cost-effective. The good news is that many technologies already in use today are showing measurable results. Below, we explore three ways digital innovation is helping reduce costs while improving the quality of care.
Automating administrative tasks with natural language processing (NLP)
There are currently more administrative and non-clinical employees in England’s general practice workforce than there are GPs, nurses and other direct patient care staff combined.
The time GPs and nurses can spend with patients is also restricted by paperwork, but technology can ease pressure and reduce operational costs by automating and simplifying many administrative tasks.
Natural language processing (NLP), a branch of artificial intelligence, is increasingly being adopted to automate tasks that traditionally required manual input. This includes:
- extracting information from handwritten or dictated notes
- categorising documents
- completing coding and data entry
- generating summaries from consultations
NLP tools can process large volumes of data quickly and accurately, allowing practitioners to spend more time with patients. For healthcare providers, this reduces operational costs, minimises errors and frees up capacity across already stretched clinical teams.
Supporting remote care and monitoring with mobile health technologies
The average 9-minute GP appointment costs the NHS around £40. While telephone consultations help to bring costs down, they provide only limited insight.
Remote health monitoring tools and mobile applications are now transforming care pathways. Wearable devices and connected sensors enable clinicians to:
- monitor patients’ vital signs and conditions in real time
- identify deterioration earlier
- reduce unnecessary face-to-face appointments
- support people managing chronic conditions at home
This technology is particularly valuable for patients with long term conditions, the elderly and those with mobility challenges. It can reduce avoidable hospital admissions, shorten lengths of stay and help clinicians prioritise those who most need in-person care.
As the NHS accelerates digital front-door strategies and virtual wards expand across the UK, remote monitoring has become one of the most significant cost-saving innovations in recent years.
Accelerating training and skills development through digital platforms
Training medical practitioners isn’t cheap. According to government data, it takes £230,000 to train one doctor, and the cost rises for specialists like surgeons and consultants.
While students take on some of the financial burdens, the Department for Health and Social Care must also account for training and development in its annual budget. Any reductions here allow more to be spent in other areas, such as developing and approving new medicines.
Remote training platforms make upskilling medical professionals easier and cheaper. Online learning, whether delivered by universities or directly by healthcare providers, reduces training time (and therefore spending) while making it easier for staff and students to improve their skills from any location.
Technology allows training to be conducted in 3D with a sense of touch and movement like never before
edX, for example, provides online courses covering various medical subjects, all delivered by established institutions such as Harvard University and the University of Cambridge. Then there are platforms like Touch Surgery, a mobile-based surgical tool that allows practitioners to train and prepare for procedures on smartphones and tablets without risking patient health.
Virtual reality (VR) and simulations are also being used to help medical professionals to learn in a more effective way. The technology allows training to be conducted in 3D with a sense of touch and movement like never before, and due to VR technology becoming more affordable, it’s becoming a great training option. For example, the Royal College of Surgeons for England accredited the virtual reality platform, Fundamental Surgery, so surgeons can now train with the same visuals, sound and feel as in real surgery.
These types of tools also allow professionals and students to learn from the best experts in their field, wherever they’re based, meaning providers can improve their workforces in a cost-efficient way.
Technology is only part of the solution – funding innovation matters too
These are just three examples of how technology can make governments’ and healthcare providers’ budgets go further. To maximise the effectiveness of technologies like mobile, AI and NLP in the sector, UK businesses must be able to access innovation funding, such as R&D tax credits.
That is where Kene can help.
As specialists in R&D funding, we help healthcare and medtech businesses understand which incentives they qualify for and how to build robust, compliant claims. If you are developing technology that could improve UK healthcare, now is the time to explore what funding is available.
Take our free eligibility assessment or book a free consultation to chat with one of our friendly experts.
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