Funding for the additional roles reimbursement scheme (ARRS) for primary care networks (PCNs) will be added to ICB allocations instead of being drawn down separately, according to a letter from NHS England.
The letter to ICBs, which provides an update to the GP contract agreement, said that some ARRS funding was allocated to ICBs on a drawdown basis in line with claims.
However, in 2025/26, all this funding will be added to ICB allocations and there will not be a requirement for ICBs to draw this down separately.
ARRS funding has previously been part of the system development fund (SDF), however this year it was revealed that most of the ringfences within this would be removed and funding instead added to core allocations from 2025/26.
In March, ARRS funding was ‘still in discussion’ as to whether it would remain in SDF or move into core allocations.
The letter published today (17 April) said: ‘In 2025/26, all ARRS funding, including for GPs, will be added to allocations for ICBs. There will not be a requirement to draw this down separately. The value of this funding in 2024/25 was £534 million for the ARRS scheme and £82m for the GPs in ARRS scheme.’
It added that the growth in ARRS entitlements now form part of the £889m increase in contract funding.
It said that ICBs ‘should still continue to issue this funding to PCNs in line with the PCN DES’.
However, in a document published in February on revenue and contracting guidance for 2025/26, NHS England said when funding was transferred to ICB allocations, this was ‘no longer ringfenced’ and that there were ‘no additional performance requirements beyond those set out in the 2025/26 priorities and operational planning guidance’.
The recent contract also confirmed the GP ARRS role, which was added to the scheme in October 2024, would continue into the next financial year (2025/26). It increased the funding for the role and removed the ringfence around the £82m funding that was initially to be used to recruit 1,000 GPs. Data released last week showed there was now 1,503 GPs employed through the scheme.
It comes after millions of pounds from the SDF was revealed to have been used to support other financial pressures across 26 ICBs in 2023/24, according to an exclusive Healthcare Leader investigation.
Last year it was revealed that PCNs in England underspent on ARRS funding by more than £45m for the year 2023/24.
This month ICBs have been told to target areas of duplication when making cuts, after they have been asked to reduce their size by 50%.
