Health Bill [H.L.]

Health Bill [H.L.] - continued	House of Lords
SCHEDULE 12A, EXPENDITURE OF HEALTH AUTHORITIES AND PRIMARY CARE TRUSTS - continued
NHS trusts - continued

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Public dividend capital.

12. - (1) Section 9 of the 1990 Act (originating capital debt of, and other financial provisions relating to, NHS trusts) is amended as provided in subsections (2) to (5).

(2) In subsections (1), (2) and (3), for "originating capital debt" there is substituted "originating capital".

(3) For subsection (4) there is substituted-

"(4) An NHS trust's originating capital shall be public dividend capital."

(4) Subsections (5) and (6) are omitted.

(5) In subsection (7), for the words from "the terms" to the end there is substituted-

	"(a) the dividend which is to be payable at any time on any public dividend capital issued, or treated as issued, under this Act,
	(b) the amount of any such public dividend capital which is to be repaid at any time,
	(c) any other terms on which any public dividend capital is so issued, or treated as issued."

(6) In Schedule 3 to that Act-

(a) in paragraph 3 (limits on indebtedness), sub-paragraph (3) is omitted, and

(b) in paragraph 5 (additional public dividend capital), sub-paragraph (2) is omitted.

Existing NHS trusts: conversion of initial loan.

13. - (1) This section applies to any NHS trust in existence immediately before commencement.

(2) On commencement so much of the originating capital debt of the NHS trust as remains outstanding immediately before commencement is to be treated as the originating capital of the NHS trust and accordingly is public dividend capital.

(3) Any reference in any enactment, instrument or other document to the originating capital debt of the NHS trust is to be construed (except where the context otherwise requires) as a reference to its originating capital.

(4) The Secretary of State may with the consent of the Treasury determine the amount and time for payment of interest on the NHS trust's initial loan in respect of the period ending with commencement.

(5) In this section-

"commencement" means the coming into force of this section,

"initial loan" has the meaning given by section 9(5) of the 1990 Act.

Borrowing.

14. - (1) Schedule 3 to the 1990 Act is amended as follows.

(2) In paragraph 1 (borrowing powers of NHS trusts), in sub-paragraph (1), after "Subject to" there is inserted "any direction given by the Secretary of State under section 17 of the principal Act, to".

(3) Sub-paragraphs (3) to (5) of that paragraph are omitted.

(4) For sub-paragraph (6) of that paragraph there is substituted-

"(6) It shall be for the Secretary of State, with the consent of the Treasury, to determine the terms of any loan made by him to an NHS trust (including terms as to the payment of interest, if any)."

Quality etc

Duty of quality.

15. - (1) It is the duty of each Primary Care Trust, and each NHS trust, to put and keep in place arrangements for the purpose of monitoring and improving the quality of health care which it provides to individuals.

(2) The reference in subsection (1) to health care which a body there mentioned provides to individuals includes health care which the body provides jointly with another person to individuals.

(3) The Secretary of State may by regulations extend the duty in this section to Special Health Authorities of any particular description.

(4) In this section-

"health care" means services for or in connection with the prevention, diagnosis or treatment of illness,

"illness" has the meaning given by section 128(1) of the 1977 Act.

The Commission for Health Improvement.

16. - (1) There is to be a body corporate known as the Commission for Health Improvement (referred to in this Act as the Commission).

(2) The Commission is to have the functions conferred on it by or under section 17.

(3) Schedule 2 makes further provision in relation to the Commission.

Functions of the Commission.

17. - (1) The Commission has the following functions-

(a) the function of providing advice or information with respect to arrangements by Primary Care Trusts or NHS trusts for the purpose of monitoring and improving the quality of health care for which they have responsibility,

(b) the function of conducting reviews of, and making reports on, arrangements by Primary Care Trusts or NHS trusts for the purpose of monitoring and improving the quality of health care for which they have responsibility,

(c) the function of carrying out investigations into, and making reports on, the management, provision or quality of health care for which Health Authorities, Primary Care Trusts or NHS trusts have responsibility,

(d) the function of conducting reviews of, and making reports on, the management, provision or quality of, or access to or availability of, particular types of health care for which NHS bodies or service providers have responsibility, and

(e) such functions as may be prescribed relating to the management, provision or quality of, or access to or availability of, health care for which prescribed NHS bodies or prescribed service providers have responsibility.

(2) The Secretary of State may by regulations make provision-

(a) as to the times at which, the cases in which, the manner in which, the persons in relation to which or the matters with respect to which any functions of the Commission are to be exercised,

(b) as to the matters to be considered or taken into account in connection with the exercise of any functions of the Commission,

(d) as to the publication of reports and summaries of reports,

(e) as to the recovery from prescribed persons of amounts in respect of the expenditure incurred by the Commission in the exercise of any of its functions, and

(f) for or in connection with the exercise of functions of the Commission in conjunction with the exercise of statutory functions of other persons.

(3) The Secretary of State may give directions with respect to the exercise of any functions of the Commission.

(4) The Commission must comply with any directions under this section.

(5) Any directions under this section must be given in writing and may be varied or revoked by subsequent directions.

(6) For the purposes of this section a person has responsibility for health care-

(a) if he provides or is to provide that care to individuals, or

(b) if another person provides or is to provide that care to individuals-

(i) at his direction,

(ii) on his behalf, or

(iii) in accordance with an agreement or arrangements made by him with that other person.

(7) References in subsection (6) to the provision of care include references to the provision of care jointly with another person.

(8) In this section-

"health care" has the meaning given by section 15(4),

"NHS body" means a Health Authority, Special Health Authority, Primary Care Trust or NHS trust,

"prescribed" means prescribed by regulations made by the Secretary of State,

"service provider" means a person who provides services-

(a) in accordance with arrangements under section 28C of the 1977 Act, or

(b) under Part II of that Act,

"statutory function" means a function conferred by or under any enactment.

Prepared 22 March 1999