Treating someone as if they were a sex that they aren't if that makes them happy - fine. Between the medics and the patient, so long as medics' consent is taken fully into account, and no one is compelled to enact beliefs they do not hold that involve intimate touch, or women forced to play games with a man who is obviously doing it for sexual reasons - which has happened and been the far end of this business.
This will have to be done in single, separate rooms however, as doctors obviously do not have the right to go providing non consenting women to men as props and resources, particularly when those women are ill, vulnerable, in a state of undress and indignity already, and need to be able to rest without being in a constant state of alert, discomfort, humiliation and fear because a man is being centred over them. Equally, staff will have to be able to come to work and have a working life that does not include being forced in distress to validate a man by undressing their body for him.
Doctors who do not agree with this and so are not able to put their patients' needs above their own performative politics, or see women as equal people rather than props to these more valuable and important men, shouldn't be in any caring profession at all.
And yes. It's going to be very expensive. For the tax payer. Again. When many of them know there isn't the money in the NHS for their own or their relatives' urgently needed treatment, because of political sillybuggers playing games. The voting public are only going to take so much of this.