SCHEDULES

Section 1H(4)

[F1SCHEDULE A1E+W [F2NHS England]

StatusE+W

1(1)[F2NHS England] 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)[F2NHS England’s] property is not to be regarded as property of, or property held on behalf of, the Crown.

MembershipE+W

2(1)[F2NHS England] is to consist of—

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

(b)at least five other members so appointed, and

(c)the chief executive and other members appointed in accordance with paragraph 3.

(2)In this Schedule—

(a)references to non-executive members of [F2NHS England] are references to the members appointed in accordance with sub-paragraph (1)(a) and (b), and

(b)references to executive members of [F2NHS England] are references to the other members.

(3)The number of executive members must be less than the number of non-executive members.

The chief executive and other executive members: appointment and statusE+W

3(1)The chief executive and the other executive members of [F2NHS England] are to be appointed by the non-executive members.

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

(3)The chief executive and the other executive members are to be employees of [F2NHS England].

(4)The first chief executive of [F2NHS England] is to be appointed by the Secretary of State.

Non-executive members: tenureE+W

4(1)A person holds and vacates office as a non-executive member of [F2NHS England] in accordance with that person’s terms of appointment.

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

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

(a)incapacity,

(b)misbehaviour, or

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

(4)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 grounds to remove that person from office under sub-paragraph (3).

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

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

Suspension of non-executive membersE+W

5(1)This paragraph applies where a person is suspended under paragraph 4(4).

(2)The Secretary of State must give notice of the decision to the person; and the suspension takes effect on receipt by the person of the notice.

(3)The 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 which it is posted).

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

(5)The Secretary of State may at any time review the suspension.

(6)The Secretary of State—

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

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

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

(a)revoke the suspension, or

(b)suspend the person for another period of not more than six months from the expiry of the current period.

(8)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 under paragraph 4(3), or

(b)decides that there are grounds to do so but does not remove the person from office under that provision.

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

Payment of non-executive membersE+W

7(1)[F2NHS England] must pay to its non-executive members such remuneration as the Secretary of State may determine.

(2)[F2NHS England] must pay or make provision for the payment of such pensions, allowances or gratuities as the Secretary of State may determine to or in respect of any person who is or has been a non-executive member of [F2NHS England].

(3)If a person ceases to be a non-executive member and the Secretary of State decides that there are exceptional circumstances which mean that the person should be compensated, [F2NHS England] must pay compensation to the person of such amount as the Secretary of State may, with the approval of the Treasury, determine.

StaffE+W

8[F2NHS England] may appoint such persons to be employees of [F2NHS England] as it considers appropriate.

9(1)Employees of [F2NHS England] are to be paid such remuneration and allowances as [F2NHS England] may determine.

(2)Employees of [F2NHS England] are to be appointed on such other terms and conditions as [F2NHS England] may determine.

(3)[F2NHS England] may pay or make provision for the payment of such pensions, allowances or gratuities as it may determine to or in respect of any person who is or has been an employee of [F2NHS England].

(4)Before making a determination as to remuneration, pensions, allowances or gratuities for the purposes of this paragraph, [F2NHS England] must obtain the approval of the Secretary of State to its policy on the matter.

[F39A(1)NHS England may make arrangements for a person to be seconded to NHS England to serve as a member of NHS England’s staff.

(2)A period of secondment to NHS England does not affect the continuity of a person’s employment with the employer from whose service the person is seconded.

(3)In paragraphs 9, 10, and 13 a reference to an employee of NHS England includes a person seconded to NHS England.

(4)In paragraph 3(3) the reference to an employee of NHS England includes any of the following seconded to NHS England—

(a)a person employed in the civil service of the State, or

(b)a person employed by—

(i)an integrated care board,

(ii)an NHS trust established under section 25,

(iii)an NHS foundation trust,

(iv)a Special Health Authority performing functions only or mainly in respect of England,

(v)the Care Quality Commission,

F4(vi). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(vii)the Health Services Safety Investigations Body,

(viii)the Human Tissue Authority,

(ix)the Human Fertilisation and Embryology Authority, or

(x)NICE.

(5)The Secretary of State may by regulations amend this paragraph so as to provide that other references in this Act to an employee of NHS England include persons, or persons of a prescribed description, seconded to NHS England.]

CommitteesE+W

10(1)[F2NHS England] may appoint such committees and sub-committees as it considers appropriate.

(2)A committee or sub-committee may consist of or include persons who are not members or employees of [F2NHS England].

(3)[F2NHS England] may pay such remuneration and allowances as it determines to any person who—

(a)is a member of a committee or a sub-committee, but

(b)is not an employee of [F2NHS England],

whether or not that person is a non-executive member of [F2NHS England].

Trust funds and trusteesE+W

F511. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

ProcedureE+W

12(1)[F2NHS England] may regulate its own procedure.

(2)The validity of any act of [F2NHS England] is not affected by any vacancy among the members or by any defect in the appointment of any member.

Exercise of functionsE+W

13[F2NHS England] may arrange for the exercise of any of its functions on its behalf by—

(a)any non-executive member,

(b)any employee (including any executive member), or

(c)a committee or sub-committee.

F6...E+W

F614. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

AccountsE+W

15(1)[F2NHS England] must keep proper accounts and proper records in relation to the accounts.

(2)The Secretary of State may, with the approval of the Treasury, give directions to [F2NHS England] as to—

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

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

(3)In sub-paragraph (2) the reference to accounts includes a reference to [F2NHS England’s] consolidated annual accounts prepared under paragraph 16 and any interim accounts prepared by virtue of paragraph 17.

(4)The chief executive of [F2NHS England] is to be its accounting officer.

Annual accountsE+W

16(1)[F2NHS England] must prepare consolidated annual accounts in respect of each financial year.

(2)The consolidated annual accounts must contain—

(a)[F2NHS England’s] annual accounts, and

(b)a consolidation of [F2NHS England’s] annual accounts and the annual accounts of each [F7integrated care board].

(3)[F2NHS England] must send copies of the consolidated annual accounts to—

(a)the Secretary of State, and

(b)the Comptroller and Auditor General,

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

(4)The Comptroller and Auditor General must—

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

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

(5)In this paragraph, “financial year” includes the period which begins with the day on which [F2NHS England] is established and ends on the following 31 March.

Interim AccountsE+W

17(1)The Secretary of State may, with the approval of the Treasury, direct [F2NHS England] to prepare accounts in respect of such period or periods as may be specified in the direction (“interim accounts”).

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

(a)[F2NHS England’s] accounts in respect of that period, and

(b)a consolidation of [F2NHS England’s] accounts in respect of that period and any accounts of [F8integrated care boards] in respect of that period which are prepared by virtue of [F9paragraph 22(3) of Schedule 1B].

(3)[F2NHS England] must send copies of any interim accounts to—

(a)the Secretary of State, and

(b)if the Secretary of State so 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 by virtue of sub-paragraph (3)(b),

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

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

Seal and evidenceE+W

18(1)The application of [F2NHS England’s] seal must be authenticated by the signature of any member of [F2NHS England] or any other person who has been authorised (generally or specially) for that purpose.

(2)A document purporting to be duly executed under [F2NHS England’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.]

Section 5

SCHEDULE 1E+WFurther provision about the Secretary of State and services under this Act

Medical inspection of pupilsE+W

1E+W[F10A local authority] must provide for the medical inspection at appropriate intervals of pupils in attendance at schools maintained by [F11the local authority] and for the medical treatment of such pupils.

2(1)F12[F13A local authority] may ... provide for any medical inspection or treatment of—E+W

(a)senior pupils in attendance at any educational establishment, other than a school, which is maintained by the authority and at which full-time further education is provided, or

(b)any child or young person who, in pursuance of section 19 [F14or 19A] [F15or 319] of the Education Act 1996 (c. 56) [F16or section 53 of the Additional Learning Needs and Education Tribunal (Wales) Act 2018], is receiving primary or secondary education otherwise than at a school.

(2)[F17A local authority] may, by arrangement with the proprietor of any educational establishment [F18in its area] which is not maintained by [F19the local authority], provide for any medical inspection or treatment of junior or senior pupils in attendance at the establishment.

F20(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

3E+WAn arrangement under paragraph [F212(2)] may provide for payments by the proprietor in question.

4E+W[F22A local authority may not provide for any medical inspection or treatment] under paragraph 2(1)(a) unless the governing body of the educational establishment agrees to [F23the inspection or (as the case may be) treatment].

5(1)Sub-paragraph (2) applies to—E+W

F24(a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b)each governing body of a foundation, voluntary or foundation special school, in respect of the school.

(2)The F25... governing body must make available to [F26a local authority] such accommodation as is appropriate for the purpose of assisting [F27it] to make provision under paragraph 1 in relation to the pupils in attendance at the schools or school in question.

6E+WIn paragraphs 1 to 5 any expression to which a meaning is given for the purposes of the Education Act 1996 (c. 56) or the School Standards and Framework Act 1998 (c. 31) has that meaning.

7E+WAny charge made under regulations under this Act in respect of the supply of drugs, medicines or appliances must be disregarded for the purposes of paragraphs 1 and 2.

[F28Weighing and measuring of childrenE+W

7A(1)[F29A local authority] may F30 ... provide for the weighing and measuring of junior pupils in attendance at any school which is maintained by the authority.E+W

(2)[F29A local authority] may, by arrangement with the proprietor of any school [F31in its area] which is not maintained by [F32the local authority], provide for the weighing and measuring of junior pupils in attendance at that school.

(3)[F29A local authority] may, by arrangement with any person who is registered under Chapter 2 of Part 3 of the Childcare Act 2006 in respect of early years provision, provide for the weighing and measuring of young children for whom childcare is provided by that person.

(4)In sub-paragraphs (1) and (2) any expression to which a meaning is given for the purposes of the Education Act 1996 or the School Standards and Framework Act 1998 has the same meaning as in that Act; and in sub-paragraph (3) any expression to which a meaning is given for the purposes of Part 3 of the Childcare Act 2006 has the same meaning as in that Part.

7B(1)The Secretary of State may by regulations—E+W

(a)authorise the disclosure by any person with whom arrangements under paragraph 7A are made, to any person carrying out the weighing or measuring, of prescribed information relating to the children concerned,

(b)require any weighing and measuring provided for [F33by a local authority] under paragraph 7A to be carried out in a prescribed manner and after compliance with any prescribed requirements,

(c)make provision authorising any resulting information relating to a child, together with any advisory material authorised by or under the regulations, to be communicated in a prescribed manner to a person who is, or is treated by the regulations as being, a parent of the child, and

(d)make other provision regulating the processing of information resulting from any weighing or measuring provided for [F34by a local authority] under paragraph 7A [F35and of any other prescribed information relating to the children concerned].

(2)Regulations made under sub-paragraph (1) may require any person exercising functions in relation to any weighing or measuring to which the regulations apply or in relation to information resulting from such weighing or measuring [F36or in relation to information prescribed under sub-paragraph (1)] to have regard to any guidance given from time to time by the Secretary of State.

(3) In sub-paragraph (1)(d), “ processing ”, in relation to information, [F37has the same meaning as in Parts 5 to 7 of the Data Protection Act 2018 (see section 3(4) and (14) of that Act)].

(4)Regulations under this paragraph cannot include provision by virtue of section 272(8)(a) amending or repealing an Act.]

[F38Supply of blood and other human tissuesE+W

7CE+WThe Secretary of State must for the purposes of the health service make arrangements for—

(a)collecting, screening, analysing, processing and supplying blood or other tissues,

(b)preparing blood components and reagents, and

(c)facilitating tissue and organ transplantation.]

Contraceptive servicesE+W

8E+WThe Secretary of State must arrange, to such extent as he considers necessary to meet all reasonable requirements, for—

(a)the giving of advice on contraception,

(b)the medical examination of persons seeking advice on contraception,

(c)the treatment of such persons, and

(d)the supply of contraceptive substances and appliances.

Provision of vehicles for disabled personsE+W

[F399(1)An integrated care board may make arrangements for the provision of vehicles (including wheelchairs) for people for whom the board has responsibility and who appear to it to have a physical impairment which has a substantial and long-term adverse effect on their ability to carry out normal day-to-day activities.E+W

(2)For the purposes of this paragraph an integrated care board has responsibility for—

(a)the group of people for whom it has core responsibility (see section 14Z31), and

(b)such other people as may be prescribed (whether generally or in relation to a prescribed vehicle).]

10(1)Sub-paragraphs (2) and (3) apply in respect of—E+W

(a)a vehicle provided [F40in pursuance of arrangements made] under paragraph 9, and

(b)a vehicle belonging to a person mentioned in that paragraph.

(2)[F41The [F42integrated care board] may make arrangements for] —

(a)[F43the adaptation of] the vehicle to make it suitable for the circumstances of the person in question,

(b)[F44the maintenance and repair of] the vehicle,

(c)[F45the taking out of] insurance policies relating to the vehicle and [F46the payment of] any duty with which the vehicle is chargeable under the Vehicle Excise and Registration Act 1994 (c. 22),

(d)[F47the provision of] a structure in which the vehicle may be kept, and [F47the provision of] all material and [F48the execution of] all works necessary to erect the structure.

(3)[F49An integrated care board] may make payments by way of grant towards costs incurred by a person mentioned in paragraph 9 in respect of any matter mentioned in sub-paragraph (4) in relation to the vehicle.

(4)The matters are—

(a)the taking of action referred to in sub-paragraph (2),

(b)the purchase of fuel for the purposes of the vehicle, so far as the cost of the purchase is attributable to duties of excise payable in respect of the fuel, and

(c)the taking of instruction in the driving of the vehicle.

(5)The powers under sub-paragraph (2) and sub-paragraph (3) may be exercised on such terms and subject to such conditions as [F50the [F51integrated care board]] may determine.

11E+WRegulations may provide for any incidental or supplementary matter for which it appears to the Secretary of State necessary or expedient to provide in connection with—

(a)the taking of action under paragraph 10(2), or

(b)the making of any payment under paragraph 10(3).

Provision of a microbiological service by the Secretary of StateE+W

12(1)The Secretary of State may—E+W

F52(a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b)carry on such F53... activities as in his opinion can conveniently be carried on in conjunction with [F54a microbiological service provided under section 2A].

F55(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3)Charges may be made for services or materials supplied.

(4)A power under this paragraph may be exercised both for the purposes of the health service and for other purposes.

[F56Powers in relation to research etc.]E+W

[F5613(1)The Secretary of State, [F2NHS England] or [F57an integrated care board] may conduct, commission or assist the conduct of research into—E+W

(a)any matters relating to the causation, prevention, diagnosis or treatment of illness, and

(b)any such other matters connected with any service provided under this Act as the Secretary of State, [F2NHS England] or the [F58integrated care board] (as the case may be) considers appropriate.

(2)A local authority may conduct, commission or assist the conduct of research for any purpose connected with the exercise of its functions in relation to the health service.

(3)The Secretary of State, [F2NHS England], [F59an integrated care board] or a local authority may for any purpose connected with the exercise of its functions in relation to the health service—

(a)obtain and analyse data or other information;

(b)obtain advice from persons with appropriate professional expertise.

(4)The power under sub-paragraph (1) or (2) to assist any person to conduct research includes power to do so by providing financial assistance or making the services of any person or other resources available.

(5)In this paragraph, “local authority” has the same meaning as in section 2B.]

Section 6F

[F60SCHEDULE 1ZAE+WPatient choice: undertakings by integrated care boards

IntroductoryE+W

1This Schedule makes further provision about undertakings under section 6F.

ProcedureE+W

2(1)NHS England must publish a procedure for entering into undertakings.

(2)NHS England may revise the procedure and, if it does so, NHS England must publish the procedure as revised.

(3)NHS England must consult such persons as it considers appropriate before publishing or revising the procedure.

3(1)Where NHS England accepts an undertaking, NHS England must publish the undertaking.

(2)But NHS England must not under sub-paragraph (1) publish any part of an undertaking which contains information which it is satisfied is—

(a)commercial information the disclosure of which would, or might, significantly harm the legitimate business interests of the person to whom it relates;

(b)information relating to the private affairs of an individual the disclosure of which would, or might, significantly harm that person’s interests.

Variation of termsE+W

4The terms of an undertaking (including, in particular, the action specified under it and the period so specified within which the action must be taken) may be varied if both the integrated care board giving the undertaking and NHS England agree.

Compliance certificatesE+W

5(1)Where NHS England is satisfied that an undertaking has been complied with, NHS England must issue a certificate to that effect (referred to in this Schedule as a “compliance certificate”).

(2)An integrated care board which has given an undertaking may at any time make an application to NHS England for a compliance certificate.

(3)The application must be made in such form, and accompanied by such information, as NHS England requires.

(4)NHS England must decide whether or not to issue a compliance certificate, and give notice to the applicant of its decision, before the end of the period of 14 days beginning with the day after that on which the application is received.

6(1)An appeal lies to the First-tier Tribunal against a decision of NHS England to refuse an application for a compliance certificate.

(2)The grounds for an appeal under this paragraph are that the decision was—

(a)based on an error of fact,

(b)wrong in law, or

(c)unfair or unreasonable.

(3)On an appeal under this paragraph, the Tribunal may confirm NHS England’s decision or direct that it is not to have effect.

Inaccurate, incomplete or misleading informationE+W

7Where NHS England is satisfied that an integrated care board which has given an undertaking has supplied NHS England with inaccurate, misleading or incorrect information in relation to the undertaking—

(a)NHS England may treat the integrated care board as having failed to comply with the undertaking, and

(b)if NHS England decides so to treat the integrated care board, NHS England must by notice revoke any certificate of compliance given to that integrated care board.]

Sections 14B(6), 14D(2) and 14I(4)

[F61SCHEDULE 1AE+WClinical commissioning groups

PART 1E+WConstitution of clinical commissioning groups

GeneralE+W

1E+WA clinical commissioning group must have a constitution.

2(1)The constitution must specify—E+W

(a)the name of the clinical commissioning group,

(b)the members of the group, and

(c)the area of the group.

(2)The name of the group must comply with such requirements as may be prescribed.

3(1)The constitution must specify the arrangements made by the clinical commissioning group for the discharge of its functions (including its functions in determining the terms and conditions of its employees).E+W

(2)The arrangements may include provision—

(a)for the appointment of committees or sub-committees of the clinical commissioning group, and

(b)for any such committees to consist of or include persons other than members or employees of the clinical commissioning group.

(3)The arrangements may include provision for any functions of the clinical commissioning group to be exercised on its behalf by—

(a)any of its members or employees,

(b)its governing body, or

(c)a committee or sub-committee of the group.

4(1)The constitution must specify the procedure to be followed by the clinical commissioning group in making decisions.E+W

(2)The constitution must also specify the arrangements made by the clinical commissioning group for securing that there is transparency about the decisions of the group and the manner in which they are made.

5E+WThe constitution must specify the arrangements made by the clinical commissioning group for discharging its duties under section 14O(1) to (4).

6E+WThe provision made by virtue of paragraphs 3 and 4 must secure that there is effective participation by each member of the clinical commissioning group in the exercise of the group's functions.

Governing bodies of clinical commissioning groupsE+W

7(1)The constitution must specify the arrangements made by the clinical commissioning group for the discharge of the functions of its governing body.E+W

(2)The arrangements—

(a)must include provision for the appointment of the audit committee and remuneration committee of the governing body, and

(b)may include provision for the appointment of other committees or sub-committees of the governing body.

(3)Arrangements under sub-paragraph (2)(a) may include provision for the audit committee to include individuals who are not members of the governing body.

(4)Arrangements under sub-paragraph (2)(b) may include provision for a committee or sub-committee to include individuals who are not members of the governing body but are—

(a)members of the clinical commissioning group, or

(b)individuals of a description specified in the constitution.

(5)The arrangements may include provision for any functions of the governing body to be exercised on its behalf by—

(a)any committee or sub-committee of the governing body,

(b)a member of the governing body,

(c)a member of the clinical commissioning group who is an individual (but is not a member of the governing body), or

(d)an individual of a description specified in the constitution.

(6)In this paragraph, references to the functions of the governing body of a clinical commissioning group include references to the functions of the clinical commissioning group which are exercisable by the governing body under arrangements specified in the constitution by virtue of paragraph 3(3).

8(1)The constitution must specify the procedure to be followed by the governing body in making decisions.E+W

(2)The constitution must also specify the arrangements made by the clinical commissioning group for securing that there is transparency about the decisions of the governing body and the manner in which they are made.

(3)The provision made under sub-paragraph (2) must include provision for meetings of governing bodies to be open to the public, except where the clinical commissioning group considers that it would not be in the public interest to permit members of the public to attend a meeting or part of a meeting.

SupplementalE+W

9E+WIn addition to the provision authorised or required to be included under this Part of this Schedule, the constitution may make further provision.

PART 2E+WFurther provision about clinical commissioning groups

StatusE+W

10(1)A clinical commissioning group is a body corporate.E+W

(2)A clinical commissioning group is not to be regarded as a servant or agent of the Crown or as enjoying any status, privilege or immunity of the Crown.

(3)The property of a clinical commissioning group is not to be regarded as property of, or property held on behalf of, the Crown.

StaffE+W

11(1)A clinical commissioning group may appoint such persons to be employees of the group as it considers appropriate.E+W

(2)A clinical commissioning group must—

(a)pay its employees remuneration and travelling or other allowances in accordance with determinations made by its governing body under section 14L(3)(a), and

(b)employ them on such other terms and conditions as it may determine.

(3)A clinical commissioning group may, for or in respect of such of its employees as it may determine, make arrangements for providing pensions, allowances or gratuities.

(4)Such arrangements may include the establishment and administration, by the clinical commissioning group or otherwise, of one or more pension schemes.

(5)The arrangements that may be made under sub-paragraph (3) include arrangements for the provision of pensions, allowances or gratuities by way of compensation to or in respect of any of the clinical commissioning group's employees who suffer loss of office or employment or loss or diminution of emoluments.

Accountable officerE+W

12(1)A clinical commissioning group must have an accountable officer.E+W

(2)The accountable officer is to be appointed by [F2NHS England].

(3)[F2NHS England] may appoint a person to be the accountable officer for more than one clinical commissioning group (and in the following provisions of this paragraph such an appointment is referred to as a “joint appointment”).

(4)The accountable officer may be—

(a)an individual who is a member of the clinical commissioning group or of any body that is a member of the group or, in the case of a joint appointment, an individual who is a member of any of the groups in question or of any body that is a member of any of those groups, or

(b)an employee of the group or of any member of the group or, in the case of a joint appointment, an employee of any of the groups in question or of any member of those groups.

(5)If the accountable officer is not an employee of the clinical commissioning group or, in the case of a joint appointment, of any of the groups in question, the group or any of the groups may pay remuneration and travelling or other allowances to the accountable officer in accordance with determinations made by its governing body under section 14L(3)(a).

(6)A clinical commissioning group may, for or in respect of its accountable officer, make arrangements for providing pensions, allowances or gratuities.

(7)The arrangements that may be made under sub-paragraph (6) include arrangements for the provision of pensions, allowances or gratuities by way of compensation to or in respect of the accountable officer where the officer suffers loss of office or loss or diminution of emoluments.

(8)Where a clinical commissioning group has, by virtue of paragraph 11(4), established a pension scheme, the arrangements that may be made under sub-paragraph (6) include arrangements for the accountable officer to be a member of the scheme.

(9)The accountable officer is responsible for ensuring that the clinical commissioning group or, in the case of a joint appointment, each of the groups in question—

(a)complies with its obligations under—

(i)sections 14Q and 14R,

(ii)sections 223H to 223J,

(iii)paragraphs 17 to 19 of this Schedule, and

(iv)any other provision of this Act specified in a document published by [F2NHS England] for the purposes of this sub-paragraph, and

(b)exercises its functions in a way which provides good value for money.

Remuneration etc for members of governing bodiesE+W

13(1)A clinical commissioning group may pay members of its governing body such remuneration and travelling or other allowances as it considers appropriate.E+W

(2)A clinical commissioning group may, for or in respect of such members of its governing body as it may determine, make arrangements for providing pensions, allowances or gratuities.

(3)Such arrangements may include the establishment and administration, by the clinical commissioning group or otherwise, of one or more pension schemes.

(4)The arrangements that may be made under sub-paragraph (2) include arrangements for the provision of pensions, allowances or gratuities by way of compensation to or in respect of any members of the governing body who suffer loss or diminution of emoluments.

(5)Where a clinical commissioning group has, by virtue of paragraph 11(4), established a pension scheme, the arrangements that may be made under sub-paragraph (2) include arrangements for members of the governing body to be members of the scheme.

(6)Sub-paragraph (2) does not apply to members of the governing body who are—

(a)members or employees of the clinical commissioning group, or

(b)members or employees of a body that is a member of the clinical commissioning group.

Additional powers in respect of payment of allowancesE+W

14E+WA clinical commissioning group may pay such travelling or other allowances as it considers appropriate to any of the following—

(a)members of the clinical commissioning group who are individuals;

(b)individuals authorised to act on behalf of a member of the clinical commissioning group in dealings between the member and the group;

(c)members of any committee or sub-committee of the clinical commissioning group or its governing body.

F62...E+W

F62E+W. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Externally financed development agreementsE+W

16(1)The powers of a clinical commissioning group include power to enter into externally financed development agreements.E+W

(2)For the purposes of this paragraph, an agreement is an externally financed development agreement if it is certified as such in writing by the Secretary of State.

(3)The Secretary of State may give a certificate under this paragraph if—

(a)in the Secretary of State's opinion the purpose or main purpose of the agreement is the provision of services or facilities in connection with the discharge by a clinical commissioning group of any of its functions, and

(b)a person proposes to make a loan to, or provide any other form of finance for, another party in connection with the agreement.

(4)If a clinical commissioning group enters into an externally financed development agreement it may also, in connection with that agreement, enter into an agreement with a person who falls within sub-paragraph (3)(b) in relation to the externally financed development agreement.

(5)In sub-paragraph (3)(b) “another party” means any party to the agreement other than the clinical commissioning group.

(6)The fact that an agreement made by a clinical commissioning group has not been certified under this paragraph does not affect its validity.

Accounts and auditsE+W

17(1)A clinical commissioning group must keep proper accounts and proper records in relation to the accounts.E+W

(2)A clinical commissioning group must prepare annual accounts in respect of each financial year.

(3)[F2NHS England] may, with the approval of the Secretary of State, direct a clinical commissioning group to prepare accounts in respect of such period or periods as may be specified in the direction.

(4)[F2NHS England] may, with the approval of the Secretary of State, give directions to a clinical commissioning group as to—

(a)the methods and principles according to which its annual or other accounts must be prepared, and

(b)the form and content of such accounts.

(5)The annual accounts and, if [F2NHS England] so directs, accounts prepared by virtue of sub-paragraph (3) must be audited in accordance with the [F63Local Audit and Accountability Act 2014].

(6)The Comptroller and Auditor General may examine—

(a)the annual accounts and any records relating to them, and

(b)any report on them by the auditor or auditors.

(7)A clinical commissioning group must send its audited annual accounts, and any audited accounts prepared by it by virtue of sub-paragraph (3), to [F2NHS England] by no later than the date specified in a direction by [F2NHS England].

(8)[F2NHS England] may direct a clinical commissioning group to send its unaudited annual accounts, and any unaudited accounts prepared by it by virtue of sub-paragraph (3), to [F2NHS England] by no later than the date specified in a direction by [F2NHS England].

(9)For the purposes of this paragraph “financial year” includes the period which begins on the day the clinical commissioning group is established and ends on the following 31 March.

Provision of financial information to [F64NHS England]E+W

18(1)[F2NHS England] may direct a clinical commissioning group to supply it with such information relating to its accounts or to its income or expenditure, or its use of resources, as may be specified in the direction.E+W

(2)The power conferred by sub-paragraph (1) includes power to direct a clinical commissioning group to supply [F2NHS England] with—

(a)estimates of its future income or expenditure or its future use of resources;

(b)any information which [F2NHS England] considers is necessary to enable it to verify any other information supplied to it under sub-paragraph (1).

(3)A clinical commissioning group must supply [F2NHS England] with any information specified in a direction under sub-paragraph (1) within such period as may be specified in the direction.

(4)In this paragraph, a reference to the use of resources is a reference to their expenditure, consumption or reduction in value.

Provision of information required by the Secretary of StateE+W

19(1)The Secretary of State may require each clinical commissioning group to provide [F2NHS England] with such information as the Secretary of State considers it necessary to have for the purposes of the functions of the Secretary of State in relation to the health service.E+W

(2)The information must be provided in such form, and at such time or within such period, as the Secretary of State may require.

(3)The powers conferred by this paragraph must be exercised in the same way in relation to each clinical commissioning group.

(4)[F2NHS England] must give any information obtained by it under sub-paragraph (1) to the Secretary of State, in such form, and at such time or within such period, as the Secretary of State may require.

Incidental powersE+W

20E+WThe power conferred on a clinical commissioning group by section 2 includes, in particular, power to—

(a)enter into agreements,

(b)acquire and dispose of property, and

(c)accept gifts (including property to be held on trust for the purposes of the clinical commissioning group).

Seal and evidenceE+W

21(1)The application of a clinical commissioning group's seal must be authenticated by the signature of any person who has been authorised (generally or specially) for that purpose.E+W

(2)Any instrument which, if executed by an individual, would not need to be under seal may be executed on behalf of a clinical commissioning group by any person who has been authorised (generally or specially) for that purpose.

(3)A document purporting to be duly executed under a clinical commissioning group's seal or to be signed on its behalf must be received in evidence and, unless the contrary is proven, taken to be so executed or signed.

PART 3E+WTransfer schemes

22E+WThe things that may be transferred under a property transfer scheme or a staff transfer scheme under section 14I include—

(a)property, rights and liabilities that could not otherwise be transferred;

(b)property acquired, and rights and liabilities arising, after the making of the scheme;

(c)criminal liabilities.

23E+WA property transfer scheme or a staff transfer scheme may make supplementary, incidental, transitional and consequential provision and may in particular—

(a)create rights, or impose liabilities, in relation to property or rights transferred;

(b)make provision about the continuing effect of things done by the transferor in respect of anything transferred;

(c)make provision about the continuation of things (including legal proceedings) in the process of being done by, on behalf of or in relation to the transferor in respect of anything transferred;

(d)make provision for references to the transferor in an instrument or other document in respect of anything transferred to be treated as references to the transferee.

24E+WA property transfer scheme may make provision for the shared ownership or use of property.

25E+WA staff transfer scheme may make provision which is the same or similar to the Transfer of Undertakings (Protection of Employment) Regulations 2006 (SI 2006/246).

26E+WA property transfer scheme or a staff transfer scheme may provide—

(a)for the scheme to be modified by agreement after it comes into effect, and

(b)for any such modifications to have effect from the date when the original scheme comes into effect.]

[F65SCHEDULE 1BE+WIntegrated care boards

PART 1E+WConstitution of integrated care boards

IntroductionE+W

1An integrated care board must have a constitution.

Name and areaE+W

2The constitution must specify—

(a)the name of the integrated care board, and

(b)the area for which it is established.

Membership: generalE+W

3(1)The constitution must provide for the integrated care board to consist of—

(a)a chair (see paragraphs 5 and 6),

(b)a chief executive (see paragraph 7), and

(c)at least three other members (see paragraph 8).

(2)In this Part of this Schedule a reference to an “ordinary member” is to a member other than the chair or chief executive.

4The constitution must prohibit a person from appointing someone as a member (“the candidate”) if they consider that the appointment could reasonably be regarded as undermining the independence of the health service because of the candidate’s involvement with the private healthcare sector or otherwise.

ChairE+W

5The constitution must provide for the chair to be appointed by NHS England, with the approval of the Secretary of State.

6The constitution may not confer power to remove the chair from office on any person other than NHS England, and any such power must be expressed to be subject to the approval of the Secretary of State.

Chief executiveE+W

7(1)The constitution must provide for the chief executive to be appointed by the chair, with the approval of NHS England.

(2)The constitution must provide that a person is eligible to become or remain the chief executive only if the person is an employee of the integrated care board.

Ordinary membersE+W

8(1)The constitution must—

(a)specify who is to appoint the ordinary members, and

(b)provide that the appointment of an ordinary member is subject to the approval of the chair.

(2)The constitution must provide for the ordinary members to include—

(a)at least one member nominated jointly by the NHS trusts and NHS foundation trusts that—

(i)provide services for the purposes of the health service within the integrated care board’s area, and

(ii)are of a prescribed description,

(b)at least one member nominated jointly by persons who—

(i)provide primary medical services for the purposes of the health service within the integrated care board’s area, and

(ii)are of a prescribed description,

(c)at least one member nominated jointly by the local authorities whose areas coincide with, or include the whole or any part of, the integrated care board’s area.

(3)The constitution must set out the process for nominating the ordinary members mentioned in sub-paragraph (2).

(4)A person participating in the process for nominating the ordinary members mentioned in sub-paragraph (2) must have regard to any guidance published by NHS England in relation to the selection of candidates.

(5)The descriptions of trusts or other persons that may be prescribed for the purposes of sub-paragraph (2)(a) or (b) may, in particular, be framed by reference to the nature of the services that they provide or the proportion of their services that are provided within the integrated care board’s area.

(6)The chair must exercise the approval function mentioned in sub-paragraph (1)(b) with a view to ensuring that at least one of the ordinary members has knowledge and experience in connection with services relating to the prevention, diagnosis and treatment of mental illness.

(7)In this paragraph “local authority” has the meaning given by section 2B(5).

Further provision in connection with membershipE+W

9The constitution may make further provision in connection with the membership of the integrated care board, including provision about—

(a)how members are to be appointed;

(b)qualification and disqualification for membership;

(c)the tenure of members (including the circumstances in which a member ceases to hold office or may be removed or suspended from office);

(d)eligibility for re-appointment;

(e)terms of appointment (including provision about the remuneration or allowances of the chair and ordinary members);

(f)the validation of proceedings in the event of a vacancy or defect in an appointment.

10(1)The constitution of an integrated care board must comply with any requirements in connection with membership that are imposed by regulations.

(2)The regulations may impose requirements in connection with any provision that may be included in an integrated care board’s constitution by virtue of paragraphs 3 to 9.

Arrangements for discharging functionsE+W

11(1)The constitution must specify arrangements for the exercise of the integrated care board’s functions (including its functions in determining the terms and conditions of its employees).

(2)The arrangements may include provision—

(a)for the appointment of committees or sub-committees of the integrated care board, and

(b)for any such committees to consist of or include persons other than members or employees of the integrated care board.

(3)The arrangements may include provision for any functions of the integrated care board to be exercised on its behalf by—

(a)any of its members or employees;

(b)a committee or sub-committee of the board.

(4)If the constitution includes provision under this paragraph allowing committees or sub-committees to exercise commissioning functions, the constitution must—

(a)provide for the members of any such committee or sub-committee to be approved or appointed by the chair of the integrated care board, and

(b)prohibit the chair from approving or appointing someone as a member of any such committee or sub-committee (“the candidate”) if the chair considers that the appointment could reasonably be regarded as undermining the independence of the health service because of the candidate’s involvement with the private healthcare sector or otherwise.

(5)In sub-paragraph (4) “commissioning functions” means the functions of an integrated care board in arranging for the provision of services as part of the health service.

12(1)The constitution must specify the procedure to be followed by the integrated care board in making decisions.

(2)The constitution must also specify the arrangements to be made by the integrated care board for securing that there is transparency about the decisions of the board and the manner in which they are made.

Arrangements for conflicts of interestsE+W

13The constitution must include—

(a)provision about the arrangements to be made by the integrated care board for discharging its functions under section 14Z30(1) to (4), and

(b)a statement of the principles to be followed by the board in implementing those arrangements.

Arrangements for public involvementE+W

14The constitution must include—

(a)provision about the arrangements to be made by the integrated care board for discharging its functions under section 14Z45(2), and

(b)a statement of the principles to be followed by the board in implementing those arrangements.

Variation of constitutionE+W

15(1)The constitution must include a power to vary the constitution in accordance with a procedure set out there.

(2)The provision made by the constitution in accordance with sub-paragraph (1) must—

(a)include power for NHS England to vary the constitution on its own initiative, and

(b)require NHS England’s approval to be obtained before any other variation is made.

Further provisionE+W

16In addition to the provision authorised or required to be included under this Part of this Schedule, the constitution may make further provision.

PART 2E+WFurther provision about integrated care boards

StatusE+W

17(1)An integrated care board is a body corporate.

(2)An integrated care board is not to be regarded—

(a)as a servant or agent of the Crown, or

(b)as enjoying any status, privilege or immunity of the Crown.

(3)An integrated care board’s property is not to be regarded as property of, or property held on behalf of, the Crown.

StaffE+W

18(1)An integrated care board may appoint employees.

(2)Employees of an integrated care board are to be paid such remuneration and allowances as the board may determine.

(3)Employees of an integrated care board are to be appointed on such other terms and conditions as the board may determine.

(4)An integrated care board may pay or make provision for the payment of such pensions, allowances or gratuities as it may determine to or in respect of any person who is or has been an employee of the board.

19(1)An integrated care board may make arrangements for a person to be seconded to the board to serve as a member of the board’s staff.

(2)A period of secondment to an integrated care board does not affect the continuity of a person’s employment with the employer from whose service the person is seconded.

(3)In paragraphs 11 and 18 a reference to an employee of an integrated care board includes a person seconded to the board.

(4)In paragraph 7(2) the reference to an employee of an integrated care board includes any of the following seconded to the board—

(a)a person employed in the civil service of the State, or

(b)a person employed by—

(i)NHS England,

(ii)an NHS trust established under section 25,

(iii)an NHS foundation trust,

(iv)a Special Health Authority performing functions only or mainly in respect of England,

(v)the Care Quality Commission,

F66(vi). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(vii)the Health Services Safety Investigations Body,

(viii)the Human Tissue Authority,

(ix)the Human Fertilisation and Embryology Authority, or

(x)NICE.

(5)The Secretary of State may by regulations amend this paragraph so as to provide that other references in this Act to an employee of an integrated care board include persons, or persons of a prescribed description, seconded to the board.

Additional powers in respect of payment of allowancesE+W

20An integrated care board may pay such allowances as it considers appropriate to a member of a committee or sub-committee of the integrated care board who is not a member of the board.

Externally financed development agreementsE+W

21(1)The powers of an integrated care board include power to enter into externally financed development agreements.

(2)For the purposes of this paragraph, an agreement is an externally financed development agreement if it is certified as such in writing by the Secretary of State.

(3)The Secretary of State may give a certificate under this paragraph if—

(a)in the Secretary of State’s opinion the purpose or main purpose of the agreement is the provision of services or facilities in connection with the exercise by an integrated care board of any of its functions, and

(b)a person proposes to make a loan to, or provide any other form of finance for, another party in connection with the agreement.

(4)If an integrated care board enters into an externally financed development agreement it may also, in connection with that agreement, enter into an agreement with a person who falls within sub-paragraph (3)(b) in relation to the externally financed development agreement.

(5)In sub-paragraph (3)(b) “another party” means any party to the agreement other than the integrated care board.

(6)The fact that an agreement made by an integrated care board has not been certified under this paragraph does not affect its validity.

Accounts and auditsE+W

22(1)An integrated care board must keep proper accounts and proper records in relation to the accounts.

(2)An integrated care board must prepare annual accounts in respect of each financial year.

(3)NHS England may, with the approval of the Secretary of State, direct an integrated care board to prepare accounts in respect of such period or periods as may be specified in the direction.

(4)NHS England may, with the approval of the Secretary of State, give directions to an integrated care board as to—

(a)the methods and principles according to which any accounts under this paragraph must be prepared, and

(b)the form and content of any accounts prepared under this paragraph.

(5)For the audit of the annual accounts, see the Local Audit and Accountability Act 2014 (and, in particular, section 4 of that Act).

(6)Accounts prepared under sub-paragraph (3) are also to be audited under that Act if NHS England so directs.

(7)The Comptroller and Auditor General may examine—

(a)the annual accounts and any records relating to them, and

(b)any report on them by the auditor or auditors.

(8)An integrated care board must send any audited accounts prepared under this paragraph to NHS England by the date specified in a direction by NHS England.

(9)NHS England may direct an integrated care board to send it any unaudited accounts prepared under this paragraph by the date specified in a direction by NHS England.

Incidental powersE+W

23The power conferred on an integrated care board by section 2 includes, in particular, power to—

(a)enter into agreements,

(b)acquire and dispose of property, and

(c)accept gifts (including property to be held on trust for the purposes of the integrated care board).

Seal and evidenceE+W

24(1)The application of an integrated care board’s seal must be authenticated by the signature of any person who has been authorised (generally or specially) for that purpose.

(2)A document purporting to be duly executed under an integrated care board’s seal or to be signed on its behalf must be received in evidence and, unless the contrary is proven, taken to be so executed or signed.]

Section 13

F67SCHEDULE 2E+WStrategic Health Authorities

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 18

F68SCHEDULE 3E+WPrimary Care Trusts

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 25

SCHEDULE 4E+WNHS trusts established under section 25

Part 1E+WConstitution, establishment, etc

StatusE+W

1E+WEach NHS trust is a body corporate.

2(1)An NHS trust must not be regarded as the servant or agent of the Crown or as enjoying any status, immunity or privilege of the Crown.E+W

(2)An NHS trust's property must not be regarded as property of, or property held on behalf of, the Crown.

Board of directorsE+W

3(1)Each NHS trust has a board of directors consisting of—E+W

(a)a chairman appointed by [F69NHS England], and

(b)executive and non-executive directors.

(2)Sub-paragraph (1)(b) is subject to paragraph 7(2).

(3)An executive director is a director who is an employee of the NHS trust, and a non-executive director is a director who is not an employee of the NHS trust.

(4)Sub-paragraph (3) is subject to any provision made by regulations under paragraph 4(1)(d).

RegulationsE+W

4(1)The Secretary of State may by regulations make provision with respect to—E+W

(a)the qualifications for and the tenure of office of the chairman and directors of an NHS trust (including the circumstances in which they cease to hold, or may be removed from, office or may be suspended from performing the functions of the office),

(b)the persons by whom the directors and any of the officers must be appointed and the manner of their appointment,

(c)the maximum and minimum numbers of the directors,

(d)the circumstances in which a person who is not an employee of the NHS trust is nevertheless, on appointment as a director, to be regarded as an executive rather than a non-executive director,

(e)the proceedings of the NHS trust (including the validation of proceedings in the event of a vacancy or defect in appointment), and

(f)the appointment, constitution and exercise of functions by committees and sub-committees of the NHS trust (whether or not consisting of or including any members of the board).

(2)Regulations under sub-paragraph (1) may, in particular, make provision to deal with cases where the post of any officer of an NHS trust is held jointly by two or more persons or where the functions of such an officer are in any other way performed by more than one person.

Provision to be made by first NHS trust orderE+W

5(1)The first NHS trust order made in relation to any NHS trust must specify—E+W

(a)the name of the NHS trust,

(b)the functions of the NHS trust,

(c)the number of executive directors and non-executive directors,

(d)where the NHS trust has a significant teaching commitment, a provision to secure the inclusion in the non-executive directors referred to in paragraph (c) of a person appointed from a university with a medical or dental school specified in the order,

(e)the operational date of the NHS trust, and

(f)if a scheme is to be made under paragraph 8, the F70... Special Health Authority or Local Health Board which is to make the scheme.

(2)The functions which may be specified in an NHS trust order include a duty to provide goods or services so specified at or from a hospital or other establishment or facility so specified.

(3)For the purposes of sub-paragraph (1)(d), an NHS trust has a significant teaching commitment in the following cases—

(a)if the NHS trust is established to provide services at a hospital or other establishment or facility which, in the opinion of the Secretary of State, has a significant teaching and research commitment, and

(b)in any other case, if the Secretary of State so provides in the order.

(4)In a case where the order contains a provision made by virtue of sub-paragraph (1)(d) and a person who is being considered for appointment by virtue of that provision—

(a)is employed by the university in question, and

(b)would also, apart from this sub-paragraph, be regarded as employed by the NHS trust,

his employment by the NHS trust must be disregarded in determining whether, if appointed, he will be a non-executive director of the NHS trust.

(5)The operational date of the NHS trust is the date on which it will begin to undertake the whole of the functions conferred on it.

(6)An NHS trust order must specify the accounting date of the NHS trust.

Temporary availability of staff etc.E+W

6(1)An NHS trust order may require a F71... Special Health Authority F72... or Local Health Board to make staff, premises and other facilities available to an NHS trust pending the transfer or appointment of staff to or by the NHS trust and the transfer of premises or other facilities to the NHS trust.E+W

(2)An NHS trust order making provision under this paragraph may make provision with respect to the time when the functions of the F73... Special Health Authority F74... or Local Health Board under the provision are to come to an end.

Establishment of NHS trust prior to operational dateE+W

7(1)An NHS trust order may provide for the establishment of an NHS trust with effect from a date earlier than the operational date of the NHS trust and, during the period between that earlier date and the operational date, the NHS trust has such limited functions for the purpose of enabling it to begin to operate satisfactorily with effect from the operational date as may be specified in the order.E+W

(2)If an NHS trust order makes the provision referred to in sub-paragraph (1), then, at any time during the period referred to in that sub-paragraph, the NHS trust must be regarded as properly constituted (and may carry out its limited functions accordingly) notwithstanding that, at that time, all or any of the executive directors have not yet been appointed.

(3)If an NHS trust order makes the provision referred to in sub-paragraph (1), the order may require a F75... Special Health Authority or Local Health Board to discharge such liabilities of the NHS trust as—

(a)may be incurred during the period referred to in that sub-paragraph, and

(b)are of a description specified in the order.

Transfer of staff to NHS trustsE+W

8(1)This paragraph applies to any person who, immediately before an NHS trust's operational date—E+W

(a)is employed by a Special Health Authority F76... or Local Health Board to work solely at, or for the purposes of, a hospital or other establishment or facility which will become the responsibility of the NHS trust, or

(b)is employed by a Special Health Authority F76... or Local Health Board to work at, or for the purposes of, such a hospital, establishment or facility and is designated for the purposes of this paragraph by a scheme made by the Special Health Authority F76... or Local Health Board specified as mentioned in paragraph 5(1)(f).

(2)Sub-paragraph (1) is subject to sub-paragraph (6).

(3)A scheme under this paragraph does not have effect unless approved by the Secretary of State.

(4)Subject to sub-paragraphs (9) to (11), the contract of employment between a person to whom this paragraph applies and the Special Health Authority F77... or Local Health Board by whom he is employed has effect from the operational date as if originally made between him and the NHS trust.

(5)In particular—

(a)all the rights, powers, duties and liabilities of the Special Health Authority F78... or Local Health Board under or in connection with a contract to which sub-paragraph (4) applies are by virtue of this paragraph transferred to the NHS trust on its operational date, and

(b)anything done before that date by or in relation to the Special Health Authority F78... or Local Health Board in respect of that contract or the employee is deemed from that date to have been done by or in relation to the NHS trust.

(6)In any case where—

(a)an NHS trust order provides for the establishment of an NHS trust with effect from a date earlier than the operational date of the NHS trust,

(b)on or after that earlier date but before its operational date the NHS trust makes an offer of employment by the NHS trust to a person who at that time is employed by a Special Health Authority F79... or Local Health Board to work (whether solely or otherwise) at, or for the purposes of, the hospital or other establishment or facility which will become the responsibility of the NHS trust, and

(c)as a result of the acceptance of the offer, the person to whom it was made becomes an employee of the NHS trust,

sub-paragraphs (4) and (5) have effect in relation to that person's contract of employment as if he were a person to whom this paragraph applies and as if any reference in those sub-paragraphs to the operational date of the NHS trust were a reference to the date on which he takes up employment with the NHS trust.

(7)Sub-paragraphs (4) and (5) do not affect any right of an employee to terminate his contract of employment if a substantial change is made to his detriment in his working conditions; but no such right arises by reason only of the change in employer effected by this paragraph.

(8)A scheme under this paragraph may designate a person either individually or as a member of a class or description of employees.

(9)In the case of a person who falls within sub-paragraph (1)(b), a scheme under this paragraph may provide that, with effect from the NHS trust's operational date, his contract of employment (his “original contract”) must be treated, in accordance with the scheme, as divided so as to constitute—

(a)a contract of employment with the NHS trust, and

(b)a contract of employment with the Special Health Authority F80... or Local Health Board by whom he was employed before that date (the “transferor authority”).

(10)Where a scheme makes provision as mentioned in sub-paragraph (9)—

(a)the scheme must secure that the benefits to the employee under the two contracts referred to in that sub-paragraph, when taken together, are not less favourable than the benefits under his original contract,

(b)this paragraph applies in relation to the contract referred to in sub-paragraph (9)(a) as if it were a contract transferred under this paragraph from the transferor authority to the NHS trust, and

(c)so far as necessary to preserve any rights and obligations, the contract referred to in sub-paragraph (9)(b) must be regarded as a continuation of the employee's original contract.

(11)Where, as a result of the provisions of this paragraph, by virtue of his employment during any period after the operational date of the NHS trust—

(a)an employee has contractual rights against an NHS trust to benefits in the event of his redundancy, and

(b)he also has statutory rights against the trust under Part 11 of the Employment Rights Act 1996 (c. 18) (redundancy payments),

any benefits provided to him by virtue of the contractual rights referred to in paragraph (a) must be taken as satisfying his entitlement to benefits under that Part of that Act.

Transfer of property and liabilities to NHS trustsE+W

9(1)The Secretary of State may by order transfer, or provide for the transfer of, any of the property and liabilities of F81... F82... a Special Health Authority, a Local Health Board or the Secretary of State, to an NHS trust, with effect from any date as may be specified in the order.E+W

(2)An order under this paragraph may create or impose such new rights or liabilities in respect of what is transferred or what is retained as appear to the Secretary of State to be necessary or expedient.

(3)Nothing in this paragraph affects the power of the Secretary of State or any power of a F83... F84... Special Health Authority or Local Health Board to transfer property or liabilities to an NHS trust otherwise than under sub-paragraph (1).

(4)Stamp duty is not chargeable in respect of any transfer to an NHS trust effected by or by virtue of an order under this paragraph.

(5)Where an order under this paragraph provides for the transfer—

(a)of land held on lease from a third party, or

(b)of any other asset leased or hired from a third party or in which a third party has an interest,

the transfer is binding on the third party notwithstanding that, apart from this sub-paragraph, it would have required his consent or concurrence.

(6)“Third party” means a person other than the Secretary of State, F85...F86... a Special Health Authority or a Local Health Board.

(7)Any property and liabilities which—

(a)belong to, or are used or managed by, a F87... Special Health Authority or Local Health Board F88..., and

(b)will be transferred to an NHS trust by or by virtue of an order under this paragraph,

must be identified by agreement between the F89... F90... Special Health Authority or Local Health Board and the NHS trust or, in default of agreement, by direction of the Secretary of State.

(8)Where, for the purpose of a transfer pursuant to an order under this paragraph, it becomes necessary to apportion any property or liabilities, the order may contain such provisions as appear to the Secretary of State to be appropriate for the purpose.

(9)Where any such property or rights fall within sub-paragraph (5), the order must contain such provisions as appear to the Secretary of State to be appropriate to safeguard the interests of third parties, including, where appropriate, provision for the payment of compensation of an amount to be determined in accordance with the order.

(10)In the case of any transfer made by or pursuant to an order under this paragraph, a certificate issued by the Secretary of State that any property specified in the certificate or any such interest in or right over any such property as may be so specified, or any right or liability so specified, is vested in the NHS trust specified in the order is conclusive evidence of that fact for all purposes.

(11)An order under this paragraph may include provision for matters to be settled by arbitration by a person determined in accordance with the order.

(12)Sub-paragraph (11) does not affect section 272(8).

F91...E+W

F9110E+W. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Pay and allowancesE+W

11(1)An NHS trust must pay—E+W

(a)to the chairman and any non-executive director of the NHS trust remuneration of an amount determined by the Secretary of State, not exceeding such amount as may be approved by the Treasury,

(b)to the chairman and any non-executive director of the NHS trust such travelling and other allowances as may be determined by the Secretary of State with the approval of the Treasury,

(c)to any member of a committee or sub-committee of the NHS trust who is not also a director such travelling and other allowances as may be so determined.

(2)If an NHS trust so determines in the case of a person who is or has been a chairman of the NHS trust, the NHS trust must pay such pension, allowances or gratuities to or in respect of him as may be determined by the Secretary of State with the approval of the Treasury.

(3)Different determinations may be made under sub-paragraph (1) or sub-paragraph (2) in relation to different cases or descriptions of cases.

[F92Accounts and auditE+W

11A(1)An NHS trust must keep proper accounts and proper records in relation to the accounts.E+W

(2)The Secretary of State may give an NHS trust directions as to the form in which its accounts must be kept.

(3)An NHS trust must prepare, in respect of each financial year, annual accounts in such form as the Secretary of State may direct.

(4)For the audit of the annual accounts, see the Local Audit and Accountability Act 2014 (and, in particular, section 4 of that Act).

(5)The Comptroller and Auditor General may examine—

(a)the annual accounts and any records relating to them, and

(b)any report on them by the auditor or auditors.

(6)An NHS trust must send a copy of its audited annual accounts to NHS England by such date as NHS England may direct.

(7)Nothing in sub-paragraph (1) has effect in relation to accounts relating to a charitable trust of which an NHS trust is a trustee.

(8)Nothing in sub-paragraph (3) requires any accounts prepared by an NHS trust to include matters relating to a charitable trust of which it is a trustee.]

Reports and other informationE+W

12(1)For each accounting year an NHS trust must prepare and send to [F93NHS England] an annual report in such form as may be determined by [F93NHS England].E+W

[F94(1A)The annual report must, in particular, review the extent to which the NHS trust has exercised its functions in accordance with the plans published under—

(a)section 14Z52 (joint forward plans for integrated care board and its partners), and

(b)section 14Z56 (joint capital resource use plan for integrated care board and its partners).]

[F95(1B)The annual report must, in particular, review the extent to which the NHS trust has exercised its functions consistently with NHS England’s views set out in the latest statement published under section 13SA(1) (views about how functions relating to inequalities information should be exercised).]

(2)At such time or times as may be prescribed, an NHS trust must hold a public meeting at which must be presented—

(a)its audited accounts and annual report, and

(b)any report on the accounts made pursuant to section 8 of the Audit Commission Act 1998 (c. 18) or paragraph 19 of Schedule 8 to the Government of Wales Act 2006 (c. 32).

F96(2A). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3)In such circumstances and at such time or times as may be prescribed, an NHS trust must hold a public meeting at which such documents as may be prescribed must be presented.

13[F97(1)]An NHS trust must furnish to the Secretary of State [F98or NHS England] such reports, returns and other information, including information as to its forward planning, as, and in such form as, [F99the Secretary of State or NHS England] may require.E+W

[F100(2)An integrated care board may require any of its partner NHS trusts to provide it with any information that it requires.

(3)Information required under sub-paragraph (2) must be provided in such form, and at such time or within such period, as may be specified by the integrated care board.]

Part 2E+WPowers and duties

GeneralE+W

14(1)An NHS trust may do anything which appears to it to be necessary or expedient for the purposes of or in connection with its functions.E+W

(2)In particular it may—

(a)acquire and dispose of property,

(b)enter into contracts, and

(c)accept gifts of property (including property to be held on trust, either for the general or any specific purposes of the NHS trust or for any purposes relating to the health service).

(3)The reference in sub-paragraph (2)(c) to specific purposes of the NHS trust includes a reference to the purposes of a specific hospital or other establishment or facility at or from which services are provided by the NHS trust.

NHS contractsE+W

15(1)In addition to carrying out its other functions, an NHS trust may, as the provider, enter into NHS contracts.E+W

F101(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F101(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

ResearchE+W

16E+WAn NHS trust may undertake and commission research and make available staff and provide facilities for research by other persons.

TrainingE+W

17E+WAn NHS trust may—

(a)provide training for persons employed or likely to be employed by the NHS trust or otherwise in the provision of services under this Act, and

(b)make facilities and staff available in connection with training by a university or any other body providing training in connection with the health service.

Joint exercise of functionsE+W

18E+WAn NHS trust may enter into arrangements for the carrying out, on such terms as the NHS trust considers appropriate, of any of its functions jointly with any F102... F103... Special Health Authority, Local Health Board or other NHS trust, or any other body or individual.

Payment for accommodation or servicesE+W

19(1)According to the nature of its functions, an NHS trust may make accommodation or services available for patients who give undertakings (or for whom undertakings are given) to pay any charges imposed by the NHS trust in respect of the accommodation or services.E+W

(2)An NHS trust may exercise the power conferred by sub-paragraph (1) only—

(a)to the extent that its exercise does not to any significant extent interfere with the performance by the NHS trust of its functions or of its obligations under NHS contracts, and

(b)in circumstances specified in directions under section 8, with the Secretary of State's consent.

Additional incomeE+W

20(1)For the purpose of making additional income available in order better to perform its functions, an NHS trust has the powers specified in section 7(2) of the Health and Medicines Act 1988 (c. 49) (extension of powers of Secretary of State for financing the health service).E+W

(2)The power conferred by sub-paragraph (1) may be exercised only—