Speaking at the NHS Providers conference in Manchester this afternoon, Streeting will give NHS leaders the go ahead for a 50% cut to headcounts in ICBs.

The £1bn programme has been held up because of a disagreement between the DHSC and Treasury over who would pay for it but Streeting will say that a solution has now been reached with financing come from within the existing funding settlement. 

As a result, the health and social care secretary will say the planned timetable of bringing NHS England back into the DHSC within two years is on track.

Streeting will say: ‘We're now pushing down on the accelerator and slashing unnecessary bureaucracy, to reinvest the savings in frontline care. It won't happen overnight, but with our investment and modernisation, we will rebuild our NHS so it is there for you when you need it once again.'

Sir Jim Mackey, NHS England, chief executive, said: ‘This is good news for NHS staff and patients – allowing our organisations to move forward and provide greater certainty about the future for all our staff and leaders.  

‘It will free up resources to invest in frontline services and reduce unnecessary bureaucracy that slows us down and gets in the way of the improving care.

‘The NHS will continue to focus on the practical challenges ahead. We are pulling out all the stops to support the service through winter, making progress on elective and urgent and emergency care targets.'