Part 11Property and finance
Chapter 6Finance
F1F4NHS England
Words in Act substituted (1.7.2022) by Health and Care Act 2022 (c. 31), s. 186(6), Sch. 1 para. 1(1)(2); S.I. 2022/734, reg. 2(a), Sch. (with regs. 13, 29, 30)
223BFunding of F4NHS England
1
2
3
The Secretary of State may make a new allotment under this section increasing or reducing the allotment previously so made only if—
a
F4NHS England agrees to the change,
b
a parliamentary general election takes place, or
c
the Secretary of State considers that there are exceptional circumstances that make a new allotment necessary.
4
The Secretary of State may give directions to F4NHS England with respect to the payment of sums by it to the Secretary of State in respect of charges or other sums referable to the valuation or disposal of assets.
5
Sums falling to be paid to F4NHS England under this section are payable subject to such conditions as to records, certificates or otherwise as the Secretary of State may determine.
F2F56
The Secretary of State may direct NHS England—
a
that an amount of the sums paid to it under this section in respect of a financial year is to be used for purposes relating to service integration;
b
about the use by NHS England of that amount for those purposes.
7
The amount referred to in F6subsection (6)(a)—
a
is to be determined in such manner as the Secretary of State considers appropriate, and
b
must be specified in the F7direction.
F87A
The power under subsection (6)(b) includes power to give NHS England directions about the exercise of any of its functions under or by virtue of section 223GA (including directions requiring consultation with the Secretary of State or other specified persons).
7B
The Secretary of State must publish any direction under subsection (6).
8
The reference in subsection (6) to service integration is a reference to the integration of the provision of health services with the provision of health-related services or social care services, as referred to in sections 13N and F914Z42.
223C.F3Financial duties of NHS England: expenditure
1
NHS England must exercise its functions with a view to ensuring that expenditure incurred by the following bodies in a financial year (taken together) does not exceed the aggregate of any sums received by them in the year—
a
NHS England;
b
integrated care boards.
2
The Secretary of State may by direction—
a
specify descriptions of expenditure that are, or are not, to be treated for the purposes of this section as expenditure incurred by a body, or expenditure incurred by it in a particular financial year;
b
specify descriptions of sums that are, or are not, to be treated for the purposes of this section as having been received by a body, or as having been received by it in a particular financial year;
c
provide for sums received by NHS England under section 223B in a year but not spent to be treated for the purposes of this section as expenditure incurred by it in a particular financial year;
d
provide for sums received by an integrated care board under section 223G in a year but not spent to be treated for the purposes of this section as expenditure incurred by it in a particular financial year.
3
For the purposes of this section any sum allotted to NHS England for a year under section 223B is to be treated as received by it in that year (subject to any direction under subsection (2)(b)).
223CANHS England: banking facilities
The Secretary of State may by direction require NHS England to use banking facilities specified in the direction for any purposes so specified.
223D.F3Financial duties of NHS England: controls on total resource use
1
NHS England must exercise its functions with a view to ensuring that, in respect of each financial year—
a
total capital resource use does not exceed the limit specified in a direction by the Secretary of State;
b
total revenue resource use does not exceed the limit specified in a direction by the Secretary of State.
2
In subsection (1) “total capital resource use” and “total revenue resource use” means the use of capital resources or (as the case may be) revenue resources by relevant NHS bodies, other than use that consists of the transfer of resources between relevant NHS bodies.
3
In subsection (2) “relevant NHS bodies” means—
a
NHS England,
b
integrated care boards,
c
NHS trusts established under section 25, and
d
NHS foundation trusts.
4
A direction under subsection (1)(a) or (b) specifying a limit in relation to a financial year may be varied by a subsequent direction only if—
a
NHS England agrees to the change,
b
a parliamentary general election takes place, or
c
the Secretary of State considers that there are exceptional circumstances which make the variation necessary.
5
The Secretary of State must publish and lay before Parliament any directions under this section.
6
Any reference in this Chapter to the use of capital resources or revenue resources is a reference to their expenditure, consumption or reduction in value.
223E.F3Financial duties of NHS England: additional controls on resource use
1
The Secretary of State may direct NHS England to ensure—
a
that relevant capital resource in a financial year which is attributable to matters specified in the direction does not exceed an amount so specified;
b
that relevant revenue resource use in a financial year which is attributable to matters specified in the direction does not exceed an amount so specified.
2
In subsection (1) “relevant capital resource use” and “relevant revenue resource use” means the use of capital resources or (as the case may be) revenue resources by NHS England and integrated care boards.
3
The Secretary of State may direct NHS England to ensure that NHS England’s use of revenue resources in a financial year which is attributable to such matters relating to administration as are specified in the direction does not exceed an amount so specified.
223FPower to establish contingency fund
1
F4NHS England may use a proportion of the sums paid to it under section 223B to establish a contingency fund.
2
F4NHS England may make a payment out of the fund where the payment is necessary in order to enable—
a
F4NHS England to discharge any of its commissioning functions, or
b
F10an integrated care board to discharge any of its functions.
3
F4NHS England must publish guidance as to how it proposes to exercise its powers to make payments out of the contingency fund.
4
In this section, “commissioning functions” means functions in arranging for the provision of services as part of the health service.
Ss. 223B-223F and cross-heading inserted (27.3.2012 for specified purposes, 1.10.2012 for specified purposes, 1.4.2013 in so far as not already in force) by Health and Social Care Act 2012 (c. 7), ss. 24, 306(1)(d)(4); S.I. 2012/1831, art. 2(2); S.I. 2013/160, art. 2(2) (with arts. 7-9)