Think-tank advises more than 30,000 beds should be cut in a major program of NHS hospitals in order to drive-up standards.

The think-tank revealed that London, the North-East and North-West should shed more than a quarter of the beds and Yorkshire should close 22% or 3,700 of its beds. It asserted that this step could save cash and create competition which would raise standards.

It also requested the Government and opposition parties to not interfere in local decision-making regarding NHS hospital modification. It revealed that the NHS has full right to decrease number of hospital beds by around a half since 1987, from 270,000 to 160,000 in England.

The challenges in healthcare, which include helping people manage long-term medical conditions like diabetes, are less dependent on hospitals and can be handled in the community, the think tank said.

"The local NHS is best placed to decide how best to meet the needs of patients in their areas. Efficiencies are about making sure that trusts can continue to provide high-quality care at a time when spending is going to be tighter across the whole public sector”, said a Department of Health Spokeswoman.