The Darzi review High-quality care for all was launched yesterday, with NHS chief executive David Nicholson promising that by 2010 hospitals will be able to increase their income by up to 3% on the basis of achieving quality thresholds. From 2010, the national tariff for payment will change from being based on the national average cost to that of the most efficient 25% of hospitals: initially, for cateracts, stroke care and hip fracture, but if successful, this will change across the board.

Patients' experience of both the outcomes of care and their personal experiences - being treated with dignity and compassion - will be monitored to assess the quality of providers. They will be asked to complete 'before and after' forms, initially for four treatments (hip replacement, knee replacement, varicose vein surgery and hernia surgery) to assess improvements in their health following care.

The Government has also promised to pilot individual budgets for patients with long-term conditions such as asthma, diabetes and coronary heart disease, with an initial cohort of 5,000 people.

A new body, the National Quality Board, will be set up to provide leadership and advice to ministers on NHS priorities, and will produce an annual report on the quality of healthcare in England. From next year, hospitals will be paid to collect and publish results of the outcomes of their treatments. This will be known as the 'clinical dashboard'. This data will be made available on the NHS Choices website, in an effort to guide patient choice.

Every one of England's 10 strategic health authorities will have to appoint a clinical director, while the National Institute for Health and Clinical Excellence will see its annual budget trebled to £100 million, and it will be charged with assessing the clinical and cost-effectiveness of new medicines within a few months of their launch.

The document makes less emphasis on the controversial 'polyclinics', but outlines plans to abolish GPs' Minimum Practice Income Guarantee, which was created as part of the new GP contract in 2004. This will be replaced by a higher amount of GPs' income being based on the Quality and Outcomes Framework, which links financial rewards to standards such as levels of vaccination uptake or stop smoking service success. The new QOF standards are likely to be around extended hours of access to care - a key battle front for the Government in the recent negotiations.