The Chartered Society of Physiotherapy The Chartered Society of Physiotherapy

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Establishing the Cost of a Service

Understanding and demonstrating the baseline cost of a physiotherapy service is vital for conversations with purchasers or planners of services within the new NHS.

This paper describes a simple methodology for deriving the cost of a physiotherapy service based on staff activity. With accurate costing information, service redesign to improve productivity, quality or reduce costs should be possible.

This resource is appropriate for all CSP members but especially for those involved in planning, delivering and commissioning physiotherapy services. It will assist members to:

  • understand how to calculate the baseline cost of a service
  • undertake a staff activity analysis
  • use accurate costing data to inform and underpin service redesign
  • undertake financial discussions and negotiations from a position of strength.

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