A report by the National Audit Office (NAO) on the use of agency nurses highlights that overspend is often caused by poor management in the National Health Service.

That's the view of Recruitment and Employment Confederation deputy chief executive Marcia Roberts.

She said: "The NAO report on improving the use of temporary nursing staff in the NHS acute and foundation Trusts recognises the expertise nursing agencies have. It clearly highlights that issues with overspend on temporary nurses are closely related to bad management practice in some NHS Trusts. "

NHS Employers welcomed the NAO report. Sian Thomas, deputy director at NHS Employers, said: "Helping NHS Trusts to better manage their temporary staffing is one of our key priorities. Trusts have made huge strides over the past few years in reducing spending on temporary nursing staff. However, we know more can be done and that some trusts are better than others. NHS Employers has already identified the management of temporary staffing as a priority work area."

Last month, NHS Employers briefed Trusts, advising them on what they can do to better manage temporary staffing.

Thomas has urged Trusts to make greater use of in-house staff, such as banks and NHS Professionals (NHSP). The issue is a controversial one and Roberts has attacked the basis of some of the figures presented by the NHS, when comparing costs of in-house staff and agency nursing (Recruiter, 31 May).

The NAO report found that spend on agency staff has been reduced by 4% in the past three years, but there are no similar savings in overall spend on temporary staff.

Jeff Downey, chief executive of nursing agency ENS Recruitment, and former chair of the REC Medical Division also welcomed the report. He said: "It is gratifying to have the effectiveness of nursing agencies recognised, and I agree that NHSP would benefit from abandoning the old confrontational approach and embracing agencies as allies.

"NHSP is fulfilling the easier business, leaving the more challenging placements to agencies. I would also endorse the recommendation that Trusts only use agencies on Framework Agreements. NHS Purchasing and Supply Agency expended a great deal of resource to set up these mechanisms, as did agencies in ensuring they gained a place on the Frameworks. If the use of them was adhered to, then the unaudited, high-margins agencies that work off Framework would wither."

Roberts said the REC would continue to work with the NHS to ensure "an effective partnership" between the NHS and agencies.