Care Bill (HL Bill 1)

Financial duties: expenditure

20 (1) HEE must ensure that total expenditure attributable to its exercise of its
functions in each financial year (its “total spending”) does not exceed the
aggregate of—

(a) 5the amount allotted to it for that year under paragraph 19,

(b) the income generated in that year from carrying out activities for the
purposes of or in connection with the exercise of its functions, and

(c) any other sums received by it in that year for the purpose of enabling
it to meet such expenditure.

(2) 10The Secretary of State may direct that spending of a specified description is,
or is not, to be treated for the purposes of sub-paragraph (1) as part of HEE’s
total spending.

(3) The Secretary of State may by directions determine—

(a) the extent to which, and circumstances in which, sums received by
15HEE under paragraph 19 but not yet spent are to be treated for the
purposes of sub-paragraph (1) as part of HEE’s total spending, and

(b) to which financial year those sums are to be attributed.

(4) The Secretary of State may direct HEE to use specified banking facilities for
specified purposes.

20Financial duties: use of generated income

21 Where HEE generates income from carrying out activities for the purposes
of or in connection with the exercise of its functions, it must ensure that the
income is used for exercising its functions.

Financial duties: controls on total resource use

22 (1) 25HEE must ensure that—

(a) its use of capital resources in a financial year does not exceed the
amount specified by the Secretary of State, and

(b) its use of revenue resources in a financial year does not exceed the
amount specified by the Secretary of State.

(2) 30The Secretary of State may, in relation to a financial year, direct that for the
purposes of this paragraph—

(a) resources of a specified description are, or are not, to be treated as
capital resources or revenue resources;

(b) a specified use of capital resources or revenue resources is, or is not,
35to be taken into account.

(3) An amount specified for the purposes of sub-paragraph (1)(a) or (b) may be
varied only if—

(a) HEE agrees,

(b) a parliamentary general election takes place, or

(c) 40the Secretary of State considers that exceptional circumstances make
the variation necessary.

(4) A reference to the use of capital resources or revenue resources is a reference
to their expenditure, consumption or reduction in value.

Financial duties: additional controls on resource use

23 (1) The Secretary of State may direct HEE to ensure that—

(a) total capital resource use in a financial year which is attributable to
specified matters does not exceed a specified amount,

(b) 5total revenue resource use in a financial year which is attributable to
specified matters does not exceed a specified amount, and

(c) total revenue resource use in a financial year which is attributable to
specified matters relating to administration does not exceed a
specified amount.

(2) 10The Secretary of State may give directions, in relation to a financial year,
specifying uses of capital resources or revenue resources which are, or are
not, to be taken into account for the purposes of sub-paragraph (1)(a), (b) or
(c) (as the case may be).

(3) The Secretary of State may not give a direction under sub-paragraph (1)(a)
15or (b) unless the direction is for the purpose of complying with a limit
imposed by the Treasury.

Losses and liabilities etc

24 (1) Section 265 of the Public Health Act 1875 (which relates to the protection of
members and officers of certain authorities from personal liability) has effect
20as if there were included in the authorities referred to in that section a
reference to HEE.

(2) In its application to HEE as a result of sub-paragraph (1), section 265 of that
Act has effect as if any reference in that section to that Act were a reference
to this Act.

(3) 25In section 71(2) of the National Health Service Act 2006 (schemes for meeting
losses and liabilities etc of certain health service bodies: bodies eligible to
participate), after paragraph (db) insert—

“(dc) Health Education England,”.

Accounts

25 (1) 30HEE must keep—

(a) proper accounts, and

(b) proper records relating to the accounts.

(2) The Secretary of State may, with the approval of the Treasury, give
directions to HEE about—

(a) 35the content and form of its accounts, and

(b) the methods and principles to be applied in the preparation of its
accounts.

(3) The reference in sub-paragraph (2) to accounts includes a reference to—

(a) the accounts prepared under paragraph 26, and

(b) 40such accounts as are prepared under paragraph 27.

(4) The chief executive of HEE is to be its accounting officer.

Annual accounts

26 (1) HEE must prepare consolidated annual accounts for each financial year.

(2) The consolidated annual accounts must include—

(a) the annual accounts of each LETB,

(b) 5the annual accounts of each other committee of HEE, and

(c) the annual accounts relating to the rest of HEE’s activities.

(3) HEE must send copies of the consolidated annual accounts to—

(a) the Secretary of State, and

(b) the Comptroller and Auditor General,

10within such period after the end of the financial year to which the accounts
relate as the Secretary of State directs.

(4) The Comptroller and Auditor General must—

(a) examine, certify and report on the consolidated annual accounts, and

(b) lay copies of them and the report on them before Parliament.

15Interim accounts

27 (1) The Secretary of State may, with the approval of the Treasury, direct HEE to
prepare accounts in respect of such period or periods as are specified in the
direction (“interim accounts”).

(2) The interim accounts in respect of any period must include—

(a) 20the accounts of each LETB in respect of that period, and

(b) the accounts of each other committee of HEE in respect of that
period.

(3) HEE must send copies of any interim accounts to—

(a) the Secretary of State, and

(b) 25if the Secretary of State directs, the Comptroller and Auditor
General,

within such period as the Secretary of State may direct.

(4) The Comptroller and Auditor General must—

(a) examine, certify and report on any interim accounts sent under sub-
30paragraph (3)(b),

(b) if the Secretary of State directs, send a copy of the report on the
accounts to the Secretary of State, and

(c) if the Secretary of State directs, lay copies of the accounts and the
report on them before Parliament.

35Annual report

28 (1) As soon as is feasible after the end of each financial year, HEE must prepare
an annual report on how it has exercised its functions during the year.

(2) The report must include, in particular, HEE’s assessment of—

(a) the extent to which is has during the year—

(i) 40achieved the objectives and reflected the priorities set by the
Secretary of State for the purposes of section 87(1); and

(ii) achieved the outcomes set by the Secretary of State for the
purposes of section 87(2); and

(b) how effectively it discharged its duties under this Act or under
regulations under this Act.

(3) 5HEE must—

(a) lay a copy of the report before Parliament, and

(b) send a copy of it to the Secretary of State.

(4) HEE must provide the Secretary of State with such other reports and
information relating to the exercise of its functions as the Secretary of State
10may request.

Part 4 Consequential amendments

Public Records Act 1958

29 In Part 2 of the Table in Schedule 1 to the Public Records Act 1958, at the
15appropriate place insert—

• “Health Education England.”

Public Bodies (Admission to Meetings) Act 1960

30 In the Schedule to the Public Bodies (Admission to Meetings) Act 1960, after
paragraph (bl) insert—

“(bm) 20Health Education England;”.

Parliamentary Commissioner Act 1967

31 In Schedule 2 to the Parliamentary Commissioner Act 1967, at the
appropriate place insert—

• “Health Education England”.

25House of Commons Disqualification Act 1975

32 In Part 2 of Schedule 1 to the House of Commons Disqualification Act 1975,
at the appropriate place insert—

• “Health Education England.”

Copyright, Designs and Patents Act 1988

33 30In section 48(6) of the Copyright, Designs and Patents Act 1988 (definition of
“the Crown”), after “the Care Quality Commission” insert “, Health
Education England”.

Freedom of Information Act 2000

34 In Part 3 of Schedule 1 to the Freedom of Information Act 2000 (health
35service), at the appropriate place insert—

• “Health Education England.”

Equality Act 2010

35 In Part 1 of Schedule 19 to the Equality Act 2010 (authorities subject to the
public sector equality duty), in the group of entries under the heading
“Health, social care and social security”, before the entry for the Health
5Service Commissioner for England, insert—

• “Health Education England.”

Section 91

SCHEDULE 6 Local Education and Training Boards

The area for which an LETB is appointed

1 (1) 10HEE must ensure that the areas of LETBs—

(a) do not coincide or overlap, and

(b) together cover the whole of England.

(2) HEE may vary the area of an LETB.

(3) HEE must—

(a) 15keep an up-to-date record of the area of each LETB, and

(b) publish the record.

Assessment of whether the appointment criteria are being met in relation to LETBs

2 (1) HEE must, whenever it considers appropriate, assess—

(a) whether the appointment criteria are being met in relation to an
20LETB, and

(b) if they are not, whether enough of the appointment criteria are being
met for the LETB in question to be able to exercise its functions.

(2) Having carried out an assessment under sub-paragraph (1), HEE must
notify the LETB of, and then publish—

(a) 25the result of the assessment, and

(b) if HEE is not satisfied that the criteria are being met in relation to the
LETB, HEE’s reasons for not being so satisfied.

(3) Where, on an assessment under sub-paragraph (1), HEE is not satisfied that
all the appointment criteria are being met in relation to an LETB but is
30satisfied that enough of them are being met for the LETB to be able to
exercise its functions, HEE may impose conditions on the LETB relating to
its operation.

(4) Where, on an assessment under sub-paragraph (1), HEE is not satisfied that
enough of the appointment criteria are being met in relation to the LETB for
35the LETB to be able to exercise its functions, HEE may do one or more of the
following—

(a) appoint new members of the LETB (whether as well as or instead of
existing members);

(b) exercise functions on behalf of the LETB;

(c) make arrangements for the persons who provide health services in
the area for which the LETB was appointed to be represented by
another LETB instead.

(5) Before imposing conditions under sub-paragraph (3) or taking action under
5sub-paragraph (4), HEE must notify the LETB concerned of—

(a) the conditions it proposes to impose or action it proposes to take, and

(b) its reasons for proposing to impose those conditions or take that
action.

(6) Having imposed conditions under sub-paragraph (3) or taken action under
10sub-paragraph (4), HEE must publish—

(a) details of the conditions it imposed or action it took, and

(b) its reasons for imposing those conditions or taking that action.

(7) Before making arrangements under sub-paragraph (4)(c), HEE must obtain
the approval of the other LETB.

(8) 15Regulations must require specified commissioners of health services to
include in the arrangements under the National Health Service Act 2006 for
the provision of such services terms to ensure that a provider of such
services—

(a) co-operates with any LETB which represents that provider by virtue
20of arrangements made by HEE under sub-paragraph (4)(c), in such
manner and to such extent as that LETB may request, in planning the
provision of, and in providing, education and training for health care
workers;

(b) provides that LETB with such information as it may request.

(9) 25Regulations may specify other circumstances in which HEE may intervene
in the operation of an LETB (whether by imposing conditions or in such
other way as is specified).

(10) A reference to exercising a function includes a reference to exercising it
properly.

30Publication and review of the appointment criteria

3 (1) HEE must publish the appointment criteria; but before doing so it must
obtain the approval of the Secretary of State.

(2) HEE must keep the appointment criteria under review and may revise them;
and the duty to obtain approval under sub-paragraph (1) applies to revised
35criteria only in so far as HEE considers the revisions significant.

Exercise of functions

4 (1) Regulations may—

(a) give LETBs additional functions relating to the provision of
education and training for health care workers or to the planning of
40its provision;

(b) impose requirements on LETBs relating to how they exercise
functions.

(2) An LETB may do anything which appears to it to be necessary or desirable
for the purposes of or in connection with the exercise of its functions.

(3) If HEE considers that an LETB is failing or has failed to exercise a function,
or that there is a significant risk that it will fail to do so, HEE must direct the
LETB to exercise such function within such period, and in such manner, as
the direction specifies.

(4) 5If an LETB fails to comply with a direction under sub-paragraph (3), HEE
may take action under one or more of paragraphs (a) to (c) of paragraph 2(4)
(with paragraph 2(5) to (7) applying accordingly).

(5) The reference in sub-paragraph (3) to exercising a function includes a
reference to exercising it properly.

Section 96

10SCHEDULE 7 The Health Research Authority

Part 1 Constitution

Membership

1 (1) 15The HRA consists of—

(a) a chair appointed by the Secretary of State,

(b) at least three but no more than four other members appointed by the
Secretary of State,

(c) a chief executive appointed by the members appointed under
20paragraphs (a) and (b), and

(d) at least two but no more than three other members appointed by the
members appointed under paragraphs (a) and (b).

(2) The members appointed under sub-paragraph (1)(a) and (b)—

(a) are not employees of the HRA, and

(b) 25are referred to in this Schedule as the “non-executive members”.

(3) The members appointed under sub-paragraph (1)(c) and (d)—

(a) are employees of the HRA, and

(b) are referred to in this Schedule as the “executive members”.

(4) The number of non-executive members must exceed the number of
30executive members.

Non-executive members: terms of office

2 (1) A person holds office as a non-executive member of the HRA on the terms
of that person’s appointment.

(2) A person may not be appointed as a non-executive member for a period of
35more than four years.

(3) A person who ceases to be a non-executive member is eligible for re-
appointment.

(4) A person may resign from office as a non-executive member by giving notice
to the Secretary of State.

(5) The Secretary of State may remove a person from office as a non-executive
member on any of the following grounds—

(a) 5incapacity;

(b) misbehaviour;

(c) failure to carry out his or her duties as a non-executive member.

(6) The Secretary of State may suspend a person from office as a non-executive
member if it appears to the Secretary of State that there are or may be
10grounds to remove that person from office under sub-paragraph (5).

Non-executive members: suspension from office

3 (1) Having decided to suspend a person under paragraph 2(6), the Secretary of
State must give notice of the decision to the person; and the suspension takes
effect when the person receives the notice.

(2) 15The notice may be—

(a) delivered in person (in which case the person is taken to receive it
when it is delivered), or

(b) sent by first class post to the person’s last known address (in which
case, the person is taken to receive it on the third day after the day on
20which it is posted).

(3) The initial period of suspension must not exceed six months.

(4) The Secretary of State may review the suspension.

(5) The Secretary of State—

(a) must review the suspension, if requested in writing by the person to
25do so, but

(b) need not review the suspension less than three months after the
beginning of the initial period of suspension.

(6) Following a review during a period of suspension, the Secretary of State
may—

(a) 30revoke the suspension, or

(b) suspend the person for a period of no more than six months from the
expiry of the current period.

(7) The Secretary of State must revoke the suspension if the Secretary of State—

(a) decides that there are no grounds to remove the person from office
35under paragraph 2(5), or

(b) decides that there are grounds to do so but nonetheless decides not
to do so.

4 (1) Where a person is suspended from office as the chair under paragraph 2(6),
the Secretary of State may appoint a non-executive member as interim chair
40to exercise the chair’s functions.

(2) Appointment as interim chair is for a term not exceeding the shorter of—

(a) the period ending with either—

(i) the appointment of a new chair, or

(ii) the revocation or expiry of the existing chair’s suspension,
and

(b) the remainder of the interim chair’s term as a non-executive member.

(3) A person who ceases to be the interim chair is eligible for re-appointment.

5Non-executive members: pay

5 (1) The HRA must pay its non-executive members such remuneration as the
Secretary of State may decide.

(2) The HRA must pay, or provide for the payment of, such allowances or
gratuities as the Secretary of State may decide to a person who is or has been
10a non-executive member of the HRA.

Employees: terms of office

6 (1) Each executive member of the HRA is appointed as an employee of the HRA
on such terms as it decides.

(2) A person may not be appointed as chief executive without the consent of the
15Secretary of State.

(3) The HRA may appoint, on such terms as it decides, other persons as
employees of the HRA (in addition to those appointed as executive
members).

Employees: pay

7 (1) 20The HRA must pay its employees such remuneration as it decides.

(2) The HRA may pay, or provide for the payment of, such pensions,
allowances or gratuities as it decides to or in respect of a person who is or
has been an employee of the HRA.

(3) Before making a decision about pay under this paragraph, the HRA must
25obtain the approval of the Secretary of State to its policy on the matter.

Committees and sub-committees

8 (1) The HRA may appoint committees and sub-committees.

(2) A committee or sub-committee may consist of or include persons who are
not members or employees of the HRA.

(3) 30The HRA may pay such remuneration and allowances as it decides to a
person who is a member of a committee or sub-committee, but is not an
employee of the HRA, regardless of whether the person is a non-executive
member of the HRA.

Procedure

9 (1) 35The HRA may regulate its own procedure.

(2) A vacancy among the members of the HRA, or a defect in the appointment
of a member, does not affect the validity of any act of the HRA.

Seal and evidence

10 (1) The application of the HRA’s seal must be authenticated by the signature of
a member of the HRA or a person who has been authorised (whether
generally or specifically) for the purpose.

(2) 5A document purporting to be duly executed under the HRA’s seal or to be
signed on its behalf must be received in evidence and, unless the contrary is
proved, taken to be so executed or signed.

(3) But this paragraph does not apply in relation to a document which is, or is
to be, signed in accordance with the law of Scotland.

10Status of the HRA

11 (1) The HRA is not to be regarded as a servant or agent of the Crown, or as
enjoying any status, privilege or immunity of the Crown.

(2) The HRA’s property is not to be regarded as property of, or property held
on behalf of, the Crown.

15Part 2 Functions

Exercise of functions

12 (1) The HRA must exercise its functions effectively, efficiently and
economically.

(2) 20The HRA may arrange for any person (other than a devolved authority) to
exercise any of its functions on its behalf.

(3) The HRA may arrange for any person to help it in the exercise of its functions
(whether in a particular case or in cases of a particular description).

(4) Arrangements under sub-paragraph (2) or (3) may provide for the payment
25of remuneration and allowances to the persons with whom the HRA makes
the arrangements.

(5) The HRA may do anything which appears to it to be necessary or desirable
for the purposes of or in connection with the exercise of its functions.

Help or advice for other public authorities

13 (1) 30The HRA may provide help or advice to another public authority for the
purpose of the exercise by that authority of its functions.

(2) Help or advice under this paragraph may be provided on such terms as the
HRA decides (including terms relating to payment of remuneration and
allowances).

(3) 35“Public authority”—

(a) includes any person certain of whose functions are functions of a
public nature, but

(b) does not include either House of Parliament or a person exercising
functions in connection with proceedings in Parliament.