Cost savings to grow through use of AI-led technology

Dr Ben Marathappu

Further adoption of Cera’s AI-led home preventative technology could save NHS bosses £1bn per year by autumn 2026, analysis shows.

Its model uses AI to cut the need for hospitalisations in older-age adults by at least 52% and up to 70%. This is preventing at least 233 emergency admissions a month by predicting falls, tracking symptoms and mobilising frontline nurses and carers to respond to high-risk alerts and treat conditions from patients’ own homes.

The resulting reduction in A&E waiting times, hospital and care home admissions is saving the NHS and government £1m per day. These cost savings have been verified by Faculty, a technology firm, which has created the analysis for the NHS. The savings are estimated to increase to £2m per day by the summer of 2025, and upwards to £3m per day by autumn 2026, equivalent to £1bn annualised savings.

By reducing unnecessary hospitalisations, Cera’s home healthcare model helps the NHS free up more than 1,210 hospital bed days each month, the analysis showed, with each bed costing on average £460 per day.

Cera also cuts delayed discharges for patients and improves patient flow through hospitals, as well as reducing the need for rehabilitative stays in residential care homes, delivering cost and operational efficiencies for government-funded social care.

Cera’s model is used across 150 of the UK’s 382 local authorities and is being adopted across integrated care boards (ICBs), with contracts in place across 29 of the UK’s 42 ICBs.

‘I launched Cera in 2016 with an ambition to revolutionise healthcare, using technology to transform services and patient outcomes, while alleviating NHS and government pressures,’ said Ben Maruthappu, founder and chief executive of Cera.

‘This report confirms the substantial impact we are making, with Cera already saving the NHS and government £1m a day, increasing to £1bn a year in 2026. This only reinforces the important role technology has in transforming our health and care system, at a time when the need to change couldn’t be greater.’

Hugh Neylan, head of health at Faculty, said: ‘As our population ages and pressure on in-patient services increases, taking care out of hospitals and residential settings and into patients’ homes is fundamental to the future of our health and social care system. It’s exciting to see cost savings already being delivered by AI, and this will only grow as their adoption increases.’

Cera was launched in 2016 by Maruthappu, a former frontline doctor and innovation advisor to the NHS, who also co-founded the health service’s innovation accelerator, bringing technology into the healthcare system to drive progress and save lives.