Britain's Health Ministry says plans to overhaul the NHS will be 'powered by cutting-edge technology'. PA
Britain's Health Ministry says plans to overhaul the NHS will be 'powered by cutting-edge technology'. PA
Britain's Health Ministry says plans to overhaul the NHS will be 'powered by cutting-edge technology'. PA
Britain's Health Ministry says plans to overhaul the NHS will be 'powered by cutting-edge technology'. PA

Britain plans tech revolution in health despite budget cuts


Tim Stickings
  • English
  • Arabic

Britain could hand out smart watches for patients to monitor their health at home under plans to ease pressure on the struggling National Health Service.

Health Secretary Wes Streeting said his plans to overhaul the NHS will be “powered by cutting-edge technology, that helps us stay healthy and out of hospital”. Patients could be alerted via their smartphone if they have unusually high blood pressure or glucose levels.

Patient data and test results will be rolled into an app under Mr Streeting's plans to “shift from analogue to digital” in the NHS. However, he refused to rule out cuts to the UK's science and research funding in a belt-tightening budget on October 30, the first under Britain's Labour government.

Prominent scientists and universities have written to Chancellor of the Exchequer Rachel Reeves warning that Britain's economic growth could be “undermined by the false economy of short-term cuts”. They said spending on research would “drive high-skill sectors and cutting-edge technologies”.

Mr Streeting said on Sunday that the Chancellor “has had more letters than Father Christmas at this stage of the year”. He told the BBC's Sunday with Laura Kuenssberg programme that research and innovation were important for growth but “so is good transport infrastructure, so is education and skills”.

“We can’t fund everything, everywhere, all at once, so you’ve got to bear with us here because we inherited a real state,” Mr Streeting said. “We can’t have a situation where the NHS budget balloons and balloons and balloons because we don’t reform the system.”

Britain's Health Secretary Wes Streeting refused to rule out cuts to the UK's science and research budget despite his hopes for a tech revolution in health. PA
Britain's Health Secretary Wes Streeting refused to rule out cuts to the UK's science and research budget despite his hopes for a tech revolution in health. PA

A review by Iraqi-born professor Lord Darzi informed Mr Streeting last month that the health service, founded in 1948, was “in serious trouble” due to long waiting lists, overburdened hospitals, growing ill health and public dissatisfaction with the NHS. Labour is looking at expanding the use of private providers.

Despite the potential research cuts, Mr Streeting said there was money for technology within the health budget as he predicted it would “transform how patients are cared for, making their lives infinitely easier and the NHS fit for the future”.

“One of the things that we’ve prioritised during the budget round is making sure that we’re taking steps particularly on capital and tech that will enable us to run a more productive, a more efficient NHS so that we get both better outcomes for patients but also better value for taxpayers’ money,” Mr Streeting said.

He said his 10-year plan to make the NHS a “neighbourhood health service” would include a “shift from analogue to digital, with the NHS not just benefiting from but actively driving the revolution in life sciences, med tech and data”.

A recent review of Britain's state-funded National Health Service warned of long waiting times, overburdened hospitals and low public satisfaction. PA
A recent review of Britain's state-funded National Health Service warned of long waiting times, overburdened hospitals and low public satisfaction. PA

Britain's health department will “look at the options for expanding access” to wearable technology such as smart watches, it said. Patients with type 2 diabetes are among those who could be encouraged to see their doctor less frequently, freeing up appointments.

The G7 countries last week threw their support behind using artificial intelligence in health care, saying the technology should be used “to its full potential” in diagnosing illnesses, recommending treatments and developing new medicines.

Ministers from Britain, France, Germany, Italy, the US, Canada and Japan said the first task was to gather data on patients to be processed by AI algorithms, in a way that “respects security and privacy”. They acknowledged this would come with “technical and cultural challenges” over trust in the technology.

Doctors in the UAE have used AI to improve success rates for IVF. Trainee eye doctors were outsmarted by ChatGPT in a study published in April. Britain recently announced funding for a promising AI-assisted blood test that could detect 12 cancers.

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Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

Updated: October 20, 2024, 10:17 AM