How Do You Nurture a Culture of Innovation During a Time of Financial Pressures?

 16th June 2026

Written by Clarissa Sørlie (Improvement Advisor) 

The Challenge 

It’s a surprisingly warm day in May, as the Specialist Children and Young People’s Services’ (SCYPS) Extended Leadership Team gather with a shared challenge: how do you nurture a culture of innovation when financial pressures are rising?  

Their attention is drawn to the screen as they settle around the table at the West Ham Lane Clinic meeting room in Newham. 

Hugh McCaughey, a senior improvement leader from the Institute for Healthcare Improvement (IHI), has joined virtually to offer coaching to the leadership team, who are tasked with improving services while doing more with less.  

As Hugh introduces himself, the leads start to smile. Hugh has a background in improving outcomes for children, which gives him instant credibility. He brings experience as former National Director of Improvement at NHS England and NHS Improvement, and Chief Executive of the Southeastern Health and Social Care Trust. But what makes everyone smile most is when Hugh shares that his daughter runs a bakery.  

Hugh sets the scene: SCYPS has a strong culture and track record of innovation when faced with problems.  

So what if we viewed financial pressures as just another problem to solve? 

The framing shifts the energy in the room.  

 

The Room Comes Alive 

Until now the room has been quiet. But as leads move into small groups, a buzz of conversation builds as the room comes alive (see Image 1 below). Together, they explore SCYPS’s strengths, opportunities to work differently, potential efficiencies, and the support needed to make it happen.

Image 1. Small groups generated a buzz of conversation 

 

They discuss a range of ideas, from how to reduce variation across teams, to how to reduce appointment fatigue for families, and how to improve communication across services.  

 

Reflections from Hugh 

After hearing the rich feedback from the group discussions, Hugh shares reflections and advice for the group.  

 

Image 2. Sketchnote summarising Hugh’s reflections 

 

Hugh encourages the extended leadership team in their endeavours: “As leaders, you have an important role in framing challenges in a way that motivates your teams.” 

He urges the leads to use improvement tools and skills to help them find “different and better ways”, and to make good use of opportunities to spread good ideas and learning. 

As the session draws to a close, Hugh leaves the leads with final words of encouragement, “Remember your track record of innovation and success, and let purpose be your guide.” 

 

Looking Ahead 

The group feel different as they walk out, more energised.  

The challenge of financial pressures isn’t solved, but it feels more like a creative challenge than an obstacle. And SCYPS has a strong track record of innovating through challenges.  

This session serves as a reminder that during challenging times, innovation isn’t just possible – it’s essential. And how we frame our challenges can shape what is possible.