New Labour more than doubled the NHS budget in real terms, and maintained that level over time [1].
Having worked in both environments, it's not particularly important to me whether work gets done by a private or a public entity, the most important thing is that money is spent efficiently. If the public sector is spending public money then efficiency usually means ensuring that pointless work is stopped, and that staff who have become ineffective are shed. If the private sector is spending public money then efficiency usually means hawk-like contract negotiations are required to prevent a good chunk of the cash from being siphoned off by middlemen.
Having worked in both environments, it's not particularly important to me whether work gets done by a private or a public entity, the most important thing is that money is spent efficiently. If the public sector is spending public money then efficiency usually means ensuring that pointless work is stopped, and that staff who have become ineffective are shed. If the private sector is spending public money then efficiency usually means hawk-like contract negotiations are required to prevent a good chunk of the cash from being siphoned off by middlemen.
[1] https://www.kingsfund.org.uk/insight-and-analysis/data-and-c...