CAMPAIGNERS say a loophole allowing highlypaid hospital consultants to work on freelance contracts should be closed.

Colchester Hospital University NHS Foundation Trust has employed several short-term directors in the past two years.

Hospitals can hire consultants “off-payroll” through private companies for up to six months in exceptional circumstances.

However, it enables the consultants to potentially avoid paying income tax at source.

Sandy Spencer, 58, was interim chief operating officer Colchester’s hospitals for four months until March, earning in the region of £150,000.

It was one of 13 short-term contracts she has held in the last seven years.

Mrs Spencer owns a personal service company, Spencers Associates Limited.

Gazette:

The hospital refused to say how much Mrs Spencer was paid, or if she was paid on or off payroll.

Tim Roberts, eastern regional organiser for the Unison union, said: “Finding the right person to be a director of an NHS trust takes time and the use of interim managers means, in the short-term, the trust is given the time it needs.

“However, we are very clear somebody on a shortterm contract should be PAYE, like the cleaner in a hospital and, indeed, everyone else in the hospital.”

A spokesman for Colchester Hospital University NHS Foundation Trust said: “We never discuss the pay of individuals.

“Details of her salary and that of other members of our board of directors will be published when our 2014/15 annual report comes out in the summer.

“The number of people who are on off-payroll arrangements will also be published in the 2014/15 annual report, in line with Monitor’s guidance. (Monitor is the health watchdog).

“The trust requires all appointees to interim board level positions to provide satisfactory assurances on the administration of their tax affairs.

“Sandy, who started her career as a nurse, is an extremely experienced executive director who has worked at a senior level in many acute hospital trusts.”

We attempted to contact Mrs Spencer through an online account and through the hospital, but did not receive a response.

  • In 2013/14, a total of 44 members of staff were employed “off payroll”.

Of these, 32 were employed via a recruitment agency.

The other 12 were asked to submit National Insurance and tax obligations.

They include include Kim Hodgson, interim chief executive, earning up to £95,000 in January to March last year, and Ian O’Connor, interim director of finance, paid up to £55,000 in February and March last year.