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167 | Significant transactions |
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After section 51 of the National Health Service Act 2006 insert— |
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“51A | Significant transactions |
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(1) | An NHS foundation trust may enter into a significant transaction only |
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if more than half of the members of the council of governors of the trust |
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voting approve entering into the transaction. |
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(2) | “Significant transaction” means a transaction or arrangement of such |
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description as may be specified in the trust’s constitution. |
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(3) | If an NHS foundation trust does not wish to specify any descriptions of |
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transaction or arrangement for the purposes of subsection (2), the |
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constitution of the trust must specify that it contains no such |
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Mergers, acquisitions, separations and dissolution |
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(1) | In section 56 of the National Health Service Act 2006 (mergers), in subsection |
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(a) | in paragraph (b), after “NHS trust” insert “established under section |
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(b) | for the words from “authorisation” to the end substitute “the |
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dissolution of the trusts and the establishment of a new NHS |
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(2) | After that subsection insert— |
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“(1A) | An application under this section may be made only with the approval |
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of more than half of the members of the council of governors of each |
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applicant (that is an NHS foundation trust).” |
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(3) | In subsection (2) of that section, omit— |
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(a) | paragraph (c) (but not the “and” following it), and |
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(b) | the words from “and must give” to the end. |
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(4) | Omit subsection (3) of that section. |
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(5) | For subsection (4) of that section substitute— |
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“(4) | The regulator must grant the application if it is satisfied that such steps |
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as are necessary to prepare for the dissolution of the trusts and the |
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establishment of the proposed new trust have been taken.” |
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(6) | Omit subsections (5) to (10) of that section. |
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(7) | In subsection (11) of that section, for “On an authorisation being given under |
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this section” substitute “On the grant of the application”. |
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After section 56 of the National Health Service Act 2006 insert— |
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(1) | An application may be made jointly by— |
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(a) | an NHS foundation trust (A), and |
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(b) | another NHS foundation trust or an NHS trust established |
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| to the regulator for the acquisition by A of B. |
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(2) | An application under this section may be made only with the approval |
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of more than half of the members of the council of governors of each |
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applicant (that is an NHS foundation trust). |
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(3) | The application must— |
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(a) | be supported by the Secretary of State if B is an NHS trust, and |
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(b) | be accompanied by a copy of the proposed constitution of A, |
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amended on the assumption that A acquires B. |
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(4) | The regulator must grant the application if it is satisfied that such steps |
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as are necessary to prepare for the acquisition have been taken. |
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(5) | On the grant of the application, the proposed constitution has effect, |
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but where a person who is specified as a director of A in the |
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constitution has yet to be appointed as such, the directors of A may |
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exercise that person’s functions under the constitution.” |
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After section 56A of the National Health Service Act 2006 insert— |
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(1) | An application may be made to the regulator by an NHS foundation |
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trust for the dissolution of the trust and the establishment of two or |
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more new NHS foundation trusts. |
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(2) | An application under this section may be made only with the approval |
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of more than half of the members of the council of governors of the |
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(3) | The application must, by reference to each of the proposed new trusts— |
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(a) | specify the property and liabilities proposed to be transferred |
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(b) | be accompanied by a copy of its proposed constitution. |
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(4) | The regulator must grant the application if it is satisfied that such steps |
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as are necessary to prepare for the dissolution of the trust and the |
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establishment of each of the proposed new trusts have been taken. |
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(5) | On the grant of the application, the proposed constitution of each of the |
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new trusts has effect but, in the case of each of the new trusts, the |
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proposed directors may exercise the functions of the trust on its behalf |
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until a board of directors is appointed in accordance with the |
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After section 57 of the National Health Service Act 2006 insert— |
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(1) | An application may be made by an NHS foundation trust to the |
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regulator for dissolution. |
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(2) | An application under this section may be made only with the approval |
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of more than half of the members of the council of governors of the |
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(3) | The regulator must grant the application if it is satisfied that— |
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(a) | the trust has no liabilities, and |
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(b) | such steps as are necessary to prepare for the dissolution have |
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(4) | Where an application under this section is granted, the regulator must |
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(a) | dissolving the trust in question, and |
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(b) | transferring, or providing for the transfer of, the property of the |
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trust (if any) to the Secretary of State.” |
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(1) | In section 57 of the National Health Service Act 2006 (mergers: |
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supplementary), in subsection (1)— |
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(a) | for “an authorisation is given under section 56” substitute “an |
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application is granted under section 56 or 56B”, and |
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(b) | at the end insert “or trusts”. |
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(2) | In subsection (2) of that section— |
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(a) | for “such an authorisation is given, the Secretary of State” substitute |
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“such an application is granted, the regulator”, and |
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(b) | in paragraph (a), after “dissolving the” insert “trust or”, and |
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(c) | in paragraph (b), at the end insert “or trusts”. |
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(3) | After that subsection insert— |
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“(2A) | An order under section 56 or 56B is conclusive evidence of |
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incorporation and conclusive evidence that the corporation is an NHS |
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(4) | In subsection (3)(a) of that section, for “section 54(3)” substitute “section 54(4)”. |
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(5) | In subsection (4) of that section— |
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(a) | for “section 56(1) and (2)” substitute “sections 56(2) and 56B(3)”, and |
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(b) | for “section 54(4)(a) to (c)” substitute “section 54(4)(a) or (c)”. |
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(6) | In subsection (5) of that section, after “section 56” insert “or 56A”. |
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(7) | Omit subsection (6) of that section. |
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(8) | For the title to that section substitute “Sections 56 to 56B: supplementary”. |
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(9) | For the cross-heading preceding section 56 of that Act substitute “Mergers, |
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acquisitions and separations”. |
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(10) | In section 64 of that Act (orders and regulations under Chapter 5 of Part 2 of |
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that Act), in subsection (4)— |
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(a) | omit the “or” following paragraph (b), and |
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(b) | after paragraph (c), insert “, or |
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(11) | After that subsection insert— |
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“(4A) | The Statutory Instruments Act 1946 applies in relation to the power of |
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the regulator to make an order under section 57 or 57A as if the |
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regulator were a Minister of the Crown.” |
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(12) | In section 271(3)(b) of that Act (territorial limit of exercise of functions under |
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Chapter 5), for “Part 1” substitute “Part 2”. |
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173 | Repeal of de-authorisation provisions |
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(1) | Omit section 52C of the National Health Service Act 2006 (guidance etc. on de- |
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(2) | Omit sections 53 to 55 of, and Schedule 9 to, that Act (voluntary arrangements |
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and dissolution); and in consequence of that— |
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(a) | in section 57 of that Act (as amended by section 172 of this Act)— |
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(i) | in subsection (3)(a), for “the persons mentioned in section 54(4)” |
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substitute “another NHS foundation trust, an NHS trust |
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established under section 25 or the Secretary of State”, |
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(ii) | omit subsection (3)(b), and |
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(iii) | in subsection (4), for “any of the bodies mentioned in section |
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54(4)(a) or (c)” substitute “another NHS foundation trust or an |
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NHS trust established under section 25”, |
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(b) | in section 64(4) of that Act (as amended by section 172 of this Act), omit |
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(c) | omit section 18(2) to (6) and (11) of the Health Act 2009. |
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(3) | Omit section 65E of the National Health Service Act 2006 (NHS foundation |
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trusts: de-authorisation and appointment of administrator). |
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(4) | Omit Schedule 8A to that Act (de-authorised NHS trusts and NHS foundation |
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(5) | Omit section 15 of the Health Act 2009 (which inserts sections 52A to 52E and |
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Schedule 8A in the National Health Service Act 2006). |
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(6) | In section 272 of the National Health Service Act 2006 (orders, regulations, |
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(a) | in subsection (5), omit paragraph (aa), and |
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(b) | in subsection (6A), omit “52D(1), 52E(6),”. |
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(7) | In section 275(1) of that Act (interpretation), in the definition of “NHS trust”— |
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(a) | omit “, subject to Schedule 8A,”, and |
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(8) | In section 206(1) of the National Health Service (Wales) Act 2006, in the |
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definition of “NHS trust”, omit “52D(1) or”. |
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