10 Year Plan to Modernise NHS Buildings Including RAAC Removal

8 July 2026

Modern NHS hospital

The Government has announced a 10 Year Capital Plan to modernise NHS buildings and build affordable homes for health workers on NHS land.

The 10 Year Capital Plan is to deliver major projects that modernise facilities, upgrade technology and includes £200 million for GP surgeries to expand and modernise.

The plan also sets out how unused NHS land can be turned into affordable homes for healthcare workers. The homes will be built close to the hospitals and will be available to rent in areas where housing costs are highest.

The investment follows 4,100 disruptions to patient care last year from leaking roofs, broken heating systems, electrical faults and other building failures.

Capital Works Pipeline

The government has allocated £6.75 billion over the next nine years to repair hospitals, replace unsafe buildings and tackle the maintenance backlog.

A £2 billion programme will remove Reinforced Autoclaved Aerated Concrete (RAAC) in hospitals.

250 Neighbourhood Health Centres will bring together GPs, diagnostic tests, community and other services under one roof as an alternative to hospital. Ownership of more NHS buildings and land will be handed from NHS Property Services to local NHS organisations.

Avoiding repeated Treasury sign-off, projects up to £300 million will be approved by the Department of Health and Social Care and the NHS. Projects will only need to return to the Treasury if costs rise above £1 billion or their scope changes significantly.

Overall, the reforms will give construction firms and technology companies a clearer pipeline of future NHS projects.

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