Regulation and Inspection of Social Care (Wales) Act 2016

[F1 9A Fit and proper person test: financial arrangements relating to restricted children’s services E+W

(1) For the purposes of the fit and proper person test in section 9, a financial arrangement falls within this section if it is an arrangement with or for the benefit of a relevant person that—

(a) is unreasonable or disproportionate in all of the circumstances, and

(b) (in consequence) may undermine the service provider’s pursuit of its objects or purposes (as‍ to which, see section 6A(3)).

(2) When determining whether such a financial arrangement has been entered into, regard must be had to—

(a) the size or value of the arrangement and its purpose (including the extent to which it relates to the provision of the restricted children’s service);

(b) the size or value of the arrangement relative to the amount of income the service provider receives from providing the restricted children’s service;

(c) the proportion of the service provider’s total income that comes from providing the restricted children’s service;

(d) the well-being of children who receive care and support (in the provision of the restricted children’s service).

(3) For the purposes of section 9(7)(e) and this section—

(a) “entering into a financial arrangement” includes but is not limited to making a payment or awarding any benefit (direct or indirect) that has monetary value (and references to a financial arrangement are to be read as including a series of arrangements);

(b) “relevant person” means any of the following—

(i) an employee, worker or officer of the service provider;

(ii) a person connected to an employee, worker or officer of the service provider;

(iii) where the service provider is part of a group of persons under common ownership or common control, any person within that group.]

Textual Amendments

F1 Ss. 9A, 9B inserted (1.4.2026) by Health and Social Care (Wales) Act 2025 (asc 1), ss. 6(3), 29(2); S.I. 2025/1257, art. 2(2)(a)