NHS workers in York and Chesterfield protested yesterday against trusts’ plans to hive their jobs off to tax-avoiding subsidiaries.

NHS staff protesting against the trusts' jobs sell-off

Unions warn the move could precede attacks on NHS pay and conditions and lead to worse services.

Unions Unite, Unison, GMB and the Royal College of Nursing organised protests at Chesterfield Royal Hospital in Derbyshire and at York Hospital in North Yorkshire.

Subsidiary firms are able to avoid paying taxes if they are working for the NHS. The government has caved in to calls for a review of the tax system.

Unite national officer for health Colenzo Jarrett-Thorpe said a proposed consultation on wholly owned subsidiaries was “a step in the right direction,” but he called for a complete moratorium on new companies while a review takes place.

“We also think any review should go further so it investigates outsourcing, procurement and commissioning by NHS trusts in England and seeks the views of patients, employees, local authorities, and health and social care stakeholders,” he said.

Wrightington, Wigan and Leigh Trust backed down on its own plans for a wholly owned subsidiary following protests this year.