Law

Health and Social Care Act 2012

United Kingdom · statute

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In force since 2026-10-01, as the publisher states.

Copy read on 2026-11-08. The page it was read from

Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.

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Contents: 336 provisions
  1. Title and introductory text
  2. 1 Secretary of State's duty to promote comprehensive health service
  3. 2 The Secretary of State's duty as to improvement in quality of services
  4. 3 The Secretary of State's duty as to the NHS Constitution
  5. 4 The Secretary of State's duty as to reducing inequalities
  6. 5 The Secretary of State's duty as to promoting autonomy
  7. 6 The Secretary of State's duty as to research
  8. 7 The Secretary of State's duty as to education and training
  9. 8 Secretary of State's duty as to reporting on and reviewing treatment of providers
  10. 9 The NHS Commissioning Board
  11. 10 Clinical commissioning groups
  12. 11 The Secretary of State's duty as to protection of public health
  13. 12 Duties as to improvement of public health
  14. 13 Duties of clinical commissioning groups as to commissioning certain health services
  15. 14 Power of clinical commissioning groups as to commissioning certain health services
  16. 15 Power to require Board to commission certain health services
  17. 16 Secure psychiatric services
  18. 17 Other services etc. provided as part of the health service
  19. 18 Regulations as to the exercise by local authorities of certain public health functions
  20. 19 Regulations relating to EU obligations
  21. 20 Regulations as to the exercise of functions by the Board or clinical commissioning groups
  22. 21 Functions of Special Health Authorities
  23. 22 Exercise of public health functions of the Secretary of State
  24. 23 The NHS Commissioning Board: further provision
  25. 24 Financial arrangements for the Board
  26. 25 Clinical commissioning groups: establishment etc.
  27. 26 Clinical commissioning groups: general duties etc.
  28. 27 Financial arrangements for clinical commissioning groups
  29. 28 Requirement for primary medical services provider to belong to clinical commissioning group
  30. 29 Other health service functions of local authorities under the 2006 Act
  31. 30 Appointment of directors of public health
  32. 31 Exercise of public health functions of local authorities
  33. 32 Complaints about exercise of public health functions by local authorities
  34. 33 Abolition of Strategic Health Authorities
  35. 34 Abolition of Primary Care Trusts
  36. 35 Fluoridation of water supplies
  37. 36 Procedural requirements in connection with fluoridation of water supplies
  38. 37 Fluoridation of water supplies: transitional provision
  39. 38 Approval functions
  40. 39 Discharge of patients
  41. 40 After-care
  42. 41 Provision of pocket money for in-patients
  43. 42 Transfers to and from special hospitals
  44. 43 Independent mental health advocates
  45. 44 Patients' correspondence
  46. 45 Notification of hospitals having arrangements for special cases
  47. 46 Role of the Board and clinical commissioning groups in respect of emergencies
  48. 47 Secretary of State's emergency powers
  49. 48 New Special Health Authorities
  50. 49 Primary care services: directions as to exercise of functions
  51. 50 Charges in respect of certain public health functions
  52. 51 Pharmaceutical services expenditure
  53. 52 Secretary of State's duty to keep health service functions under review
  54. 53 Secretary of State's annual report
  55. 54 Certification of death
  56. 55 Amendments related to Part 1 and transitional provision
  57. 56 Abolition of Health Protection Agency
  58. 57 Functions in relation to biological substances
  59. 58 Radiation protection functions
  60. 59 Repeal of AIDS (Control) Act 1987
  61. 60 Co-operation with bodies exercising functions in relation to public health
  62. 61 Monitor
  63. 62 General duties
  64. 63 Secretary of State's guidance on duty under section 62(9)
  65. 64 General duties: supplementary
  66. 65 Power to give Monitor functions relating to adult social care services
  67. 66 Matters to have regard to in exercise of functions
  68. 67 Conflicts between functions
  69. 68 Duty to review regulatory burdens
  70. 69 Duty to carry out impact assessments
  71. 70 Information
  72. 71 Failure to perform functions
  73. 72 Functions under the Competition Act 1998
  74. 73 Functions under Part 4 of the Enterprise Act 2002
  75. 74 Competition functions: supplementary
  76. 76 Requirements under section 75: investigations, declarations and directions
  77. 77 Requirements under section 75: undertakings
  78. 79 Mergers involving NHS foundation trusts
  79. 80 Co-operation with the CMA
  80. 81 Requirement for health service providers to be licensed
  81. 82 Deemed breach of requirement to be licensed
  82. 83 Exemption regulations
  83. 84 Exemption regulations: supplementary
  84. 85 Application for licence
  85. 86 Licensing criteria
  86. 87 Grant or refusal of licence
  87. 87A Application and grant: NHS trusts
  88. 88 Application and grant: NHS foundation trusts
  89. 89 Revocation of licence
  90. 90 Right to make representations
  91. 91 Notice of decisions
  92. 92 Appeals to the Tribunal
  93. 93 Register of licence holders
  94. 94 Standard conditions
  95. 95 Special conditions
  96. 96 Limits on NHS England’s functions to set or modify licence conditions
  97. 97 Conditions: supplementary
  98. 98 Conditions relating to the continuation of the provision of services etc.
  99. 99 Notification of commissioners where continuation of services at risk
  100. 100 Modification of standard conditions
  101. 101 Modification references to the CMA
  102. 102 Modification of conditions by order under other enactments
  103. 103 Standard condition as to transparency of certain criteria
  104. 104 Power to require documents and information
  105. 105 Discretionary requirements
  106. 106 Enforcement undertakings
  107. 107 Further provision about enforcement powers
  108. 108 Guidance as to use of enforcement powers
  109. 109 Publication of enforcement action
  110. 110 Notification of enforcement action
  111. 111 Imposition of licence conditions on NHS foundation trusts
  112. 112 Duration of transitional period
  113. 113 Orders under section 112: criteria for deciding applicable trusts
  114. 114 Repeal of sections 112 and 113
  115. 114A The NHS payment scheme
  116. 114B The NHS payment scheme: enforcement
  117. 114C The NHS payment scheme: impact assessment and consultation
  118. 114D Objections to proposed NHS payment scheme
  119. 114E Amendments of the NHS payment scheme
  120. 114F Interpretation
  121. 115 Price payable by commissioners for NHS services
  122. 116 The national tariff
  123. 117 The national tariff: further provision
  124. 118 Consultation on proposals for the national tariff
  125. 119 Consultation: further provision
  126. 120 Responses to consultation
  127. 121 Determination on reference under section 120
  128. 122 Changes following determination on reference under section 120
  129. 123 Power to veto changes proposed under section 122
  130. 124 Local modifications of prices: agreements
  131. 125 Local modifications of prices: applications
  132. 126 Applications under section 125: notification of commissioners
  133. 127 Correction of mistakes
  134. 130 Health special administration regulations
  135. 131 Transfer schemes
  136. 132 Indemnities
  137. 133 Modification of this Chapter under Enterprise Act 2002
  138. 134 Duty to establish mechanisms for providing financial assistance
  139. 138 Power to impose charges on commissioners
  140. 140 Power of Secretary of State to set limit on levy and charges
  141. 142 Responses to consultation
  142. 144 Investment principles and reviews
  143. 145 Borrowing
  144. 146 Shortfall or excess of available funds, etc.
  145. 147 Secretary of State's duty as respects variation in provision of health services
  146. 148 Service of documents
  147. 149 Electronic communications
  148. 150 Interpretation, transitional provision and consequential amendments
  149. 151 Governors
  150. 152 Directors
  151. 153 Members
  152. 154 Accounts: initial arrangements
  153. 156 Annual report and forward plan
  154. 157 Meetings
  155. 158 Voting
  156. 159 Authorisation
  157. 160 Bodies which may apply for foundation trust status
  158. 161 Amendment of constitution
  159. 162 Panel for advising governors
  160. 163 Financial powers etc.
  161. 164 Goods and services
  162. 165 Private health care
  163. 166 Information
  164. 167 Significant transactions
  165. 168 Mergers
  166. 169 Acquisitions
  167. 170 Separations
  168. 171 Dissolution
  169. 172 Supplementary
  170. 173 Repeal of de-authorisation provisions
  171. 174 Trust special administrators
  172. 175 Objective of trust special administration
  173. 176 Procedure etc.
  174. 177 Action following final report
  175. 178 Sections 174 to 177: supplementary
  176. 181 Healthwatch England
  177. 182 Activities relating to local care services
  178. 183 Local authority arrangements
  179. 184 Local arrangements: power to make further provision
  180. 185 Independent advocacy services
  181. 186 Requests, rights of entry and referrals
  182. 187 Annual reports
  183. 188 Transitional arrangements
  184. 189 Consequential provision
  185. 190 Scrutiny functions of local authorities
  186. 191 Amendments consequential on section 190
  187. 192 Joint strategic needs assessments
  188. 193 Joint health and wellbeing strategies
  189. 194 Establishment of Health and Wellbeing Boards
  190. 195 Duty to encourage integrated working
  191. 196 Other functions of Health and Wellbeing Boards
  192. 197 Participation of NHS England
  193. 198 Discharge of functions of Health and Wellbeing Boards
  194. 199 Supply of information to Health and Wellbeing Boards
  195. 200 Care Trusts
  196. 201 Disclosure of reports etc. by the Health Service Commissioner
  197. 202 Medical services: minor amendments
  198. 203 Persons eligible to enter into general dental services contracts
  199. 204 Arrangements under section 107 of the National Health Service Act 2006
  200. 205 Payments in respect of costs of sight tests
  201. 206 Pharmaceutical needs assessments
  202. 207 Control of entry on pharmaceutical lists
  203. 208 Lists of performers of pharmaceutical services and assistants etc.
  204. 209 Power to regulate social workers etc. in England
  205. 210 Training etc. of approved mental health professionals in England
  206. 211 Orders regulating social care workers in England: further provision
  207. 212 Abolition of the General Social Care Council
  208. 213 Regulation of social workers in England
  209. 214 The Health and Care Professions Council
  210. 215 Functions of the Council in relation to social work in England
  211. 216 Appeals in cases involving social workers in England
  212. 217 Approval of courses for approved mental health professionals
  213. 218 Exercise of function of approving courses, etc.
  214. 219 Arrangements with other health or social care regulators
  215. 220 References in enactments to registered health professionals, etc.
  216. 221 Functions of the Secretary of State in relation to social care workers
  217. 222 The Professional Standards Authority for Health and Social Care
  218. 223 Functions of the Authority
  219. 224 Funding of the Authority
  220. 225 Power to advise regulatory bodies, investigate complaints, etc.
  221. 226 Accountability and governance
  222. 227 Appointments to regulatory bodies
  223. 228 Establishment of voluntary registers
  224. 229 Accreditation of voluntary registers
  225. 230 Consequential provisions and savings, etc.
  226. 231 Abolition of the Office of the Health Professions Adjudicator
  227. 232 The National Institute for Health and Care Excellence
  228. 233 General duties
  229. 234 Quality standards
  230. 235 Supply of quality standards to other persons
  231. 236 Advice or guidance to the Secretary of State or NHS England
  232. 237 Advice, guidance, information and recommendations
  233. 238 NICE recommendations: appeals
  234. 239 Training
  235. 240 Advisory services
  236. 241 Commissioning guidance
  237. 242 NICE's charter
  238. 243 Additional functions
  239. 244 Arrangements with other bodies
  240. 245 Failure by NICE to discharge any of its functions
  241. 246 Protection from personal liability
  242. 247 Interpretation of this Part
  243. 248 Dissolution of predecessor body
  244. 249 Consequential and transitional provision
  245. 250 Powers to publish information standards
  246. 250A Standards relating to information technology
  247. 251 ... Procedure etc
  248. 251ZA Monitoring compliance
  249. 251ZB Notice requesting compliance by relevant IT providers
  250. 251ZC Public censure of relevant IT providers
  251. 251ZD Exercise of functions of Secretary of State by other persons
  252. 251ZE Accreditation of information technology etc
  253. 251A Consistent identifiers
  254. 251B Duty to share information
  255. 251C Continuity of information: interpretation
  256. 252 The Health and Social Care Information Centre
  257. 253 NHS England data functions: general
  258. 254 Powers to direct NHS England to establish information systems
  259. 255 Powers to request NHS England to establish information systems
  260. 256 Requests for collection under section 255: confidential information
  261. 257 Requests under section 255: supplementary
  262. 258 Information systems: supplementary
  263. 259 Powers to require and request provision of information
  264. 260 Publication of information
  265. 261 Other dissemination of information
  266. 262 Other dissemination: directions and requests under sections 254 and 255
  267. 262A Publication and other dissemination: supplementary
  268. 263 Code of practice on confidential information
  269. 264 Information Register
  270. 265 Advice or guidance
  271. 266 Assessment of quality of information
  272. 267 Power to establish accreditation scheme
  273. 268 Database of quality indicators
  274. 269 Power to confer functions in relation to identification of GPs
  275. 270 Additional functions
  276. 272 Failure by Information Centre to discharge any of its functions
  277. 274 Powers of Secretary of State or NHS England to give directions
  278. 274A Secretary of State’s guidance about NHS England data functions
  279. 275 Interpretation of this Chapter
  280. 276 Dissolution of predecessor body
  281. 277 Consequential provision
  282. 277A Provision of adult social care information to Secretary of State
  283. 277B Restrictions on onward disclosure of information
  284. 277C Directions to certain bodies to exercise functions under this Chapter
  285. 277D Arrangements with third parties
  286. 277E Enforcement of provisions under this Part
  287. 277F Directions to Special Health Authority to exercise functions under section 277E
  288. 278 The Alcohol Education and Research Council
  289. 279 The Appointments Commission
  290. 280 The National Information Governance Board for Health and Social Care
  291. 281 The National Patient Safety Agency
  292. 282 The NHS Institute for Innovation and Improvement
  293. 283 Standing advisory committees
  294. 284 Special notices of births and deaths
  295. 285 Provision of information by Registrar General
  296. 286 Provision of information by Registrar General: Wales
  297. 287 Provision of statistical information by Statistics Board
  298. 288 Monitor: duty to co-operate with Care Quality Commission
  299. 289 Care Quality Commission: duty to co-operate with Monitor
  300. 290 Other duties to co-operate
  301. 291 Breaches of duties to co-operate
  302. 292 Requirement for Secretary of State to approve remuneration policy etc.
  303. 293 Conduct of reviews etc.
  304. 294 Failure to discharge functions
  305. 295 Arrangements between NHS England and Northern Ireland Ministers
  306. 296 Arrangements between NHS England and Scottish Ministers etc.
  307. 296A Arrangements between NHS England and devolved authorities in respect of education and training
  308. 297 Relationships between the health services
  309. 298 Advice or assistance to public authorities in the Isle of Man or Channel Islands
  310. 299 Certificate of consent of community patients to treatment
  311. 300 Transfer schemes
  312. 301 Transfer schemes: supplemental
  313. 302 Transfer schemes in respect of previously transferred property
  314. 303 Power to make consequential provision
  315. 304 Regulations, orders and directions
  316. 305 Financial provision
  317. 306 Commencement
  318. 307 Commencement: consultation with Scottish Ministers
  319. 308 Extent
  320. 309 Short title
  321. SCHEDULE 1 The National Health Service Commissioning Board
  322. SCHEDULE 2 Clinical commissioning groups
  323. SCHEDULE 3 Pharmaceutical remuneration
  324. SCHEDULE 4 Amendments of the National Health Service Act 2006
  325. SCHEDULE 5 Part 1: amendments of other enactments
  326. SCHEDULE 7 Abolition of the Health Protection Agency: consequential amendments
  327. SCHEDULE 8 Monitor
  328. SCHEDULE 11 Further provision about NHS England’s enforcement powers
  329. SCHEDULE 12 Procedure on references under section 120
  330. SCHEDULE 13 Part 3: minor and consequential amendments
  331. SCHEDULE 15 Part 7: consequential amendments and savings
  332. SCHEDULE 16 The National Institute for Health and Care Excellence
  333. SCHEDULE 17 Part 8: consequential amendments
  334. SCHEDULE 19 Part 9: consequential amendments
  335. SCHEDULE 20 Part 10: consequential amendments and savings
  336. SCHEDULE 21 Amendments relating to relationships between the health services

Proposed changes to this act

No one has proposed a change to this act yet.

336 provisions

164 Goods and services

(1) In section 43 of the National Health Service Act 2006 (authorised services), for subsections (1) and (2) substitute— (1) The principal purpose of an NHS foundation trust is the provision of goods and services for the purposes of the health service in England. (2) An NHS foundation trust may provide goods and services for any purposes related to— (a) the provision of services provided to individuals for or in connection with the prevention, diagnosis or treatment of illness, and (b) the promotion and protection of public health. (2A) An NHS foundation trust does not fulfil its principal purpose unless, in each financial year, its total income from the provision of goods and services for the purposes of the health service in England is greater than its total income from the provision of goods and services for any other purposes. (2) In subsection (3) of that section (power to carry on other activities in order to generate additional income)— (a) for “The” substitute “An”, (b) for “subsection (1)” substitute “subsection (2)”, and (c) omit “, subject to any restrictions in the authorisation,”. (3) After that subsection insert— (3A) Each annual report prepared by an NHS foundation trust must give information on the impact that income received by the trust otherwise than from the provision of goods and services for the purposes of the health service in England has had on the provision by the trust of goods and services for those purposes. (3B) Each document prepared by an NHS foundation trust under paragraph 27 of Schedule 7 (forward plan) must include information about— (a) the activities other than the provision of goods and services for the purposes of the health service in England that the trust proposes to carry on, and (b) the income it expects to receive from doing so. (3C) Where a document which is being prepared under paragraph 27 of Schedule 7 contains a proposal that an NHS foundation trust carry on an activity of a kind mentioned in subsection (3B)(a), the council of governors of the trust must— (a) determine whether it is satisfied that the carrying on of the activity will not to any significant extent interfere with the fulfilment by the trust of its principal purpose or the performance of its other functions, and (b) notify the directors of the trust of its determination. (3D) An NHS foundation trust which proposes to increase by 5% or more the proportion of its total income in any financial year attributable to activities other than the provision of goods and services for the purposes of the health service in England may implement the proposal only if more than half of the members of the council of governors of the trust voting approve its implementation. (4) Omit subsections (4) to (7) of that section (goods and services that may be authorised, etc.). (5) For the title to that section substitute “Provision of goods and services”. (6) In paragraph 2 of Schedule 7 to that Act (constitution), the existing text of which becomes sub-paragraph (1), after that sub-paragraph insert— (2) If the corporation is an NHS foundation trust, the constitution must specify its principal purpose (as to which, see section 43(1)).

Propose a change

165 Private health care

(1) In section 44 of the National Health Service Act 2006 (private health care), omit— (a) subsection (1) (restriction on provision of private health services), (b) subsection (2) (cap on private income), (c) subsection (2A) (special provision for mental health foundation trusts), and (d) subsections (3) to (5) (interpretation etc.). (2) For the title to that section substitute “Power to charge for accommodation etc.”. (3) In consequence of subsection (1)(b) and (c), omit section 33 of the Health Act 2009.

Propose a change

166 Information

For section 48 of the National Health Service Act 2006 (information) substitute— Information 48 (1) The Secretary of State may require an NHS foundation trust to provide the Secretary of State 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. (2) The information must be provided in such form, and at such time or within such period, as the Secretary of State may require.

Propose a change

167 Significant transactions

After section 51 of the National Health Service Act 2006 insert— Significant transactions 51A (1) An NHS foundation trust may enter into a significant transaction only if more than half of the members of the council of governors of the trust voting approve entering into the transaction. (2) “Significant transaction” means a transaction or arrangement of such description as may be specified in the trust's constitution. (3) If an NHS foundation trust does not wish to specify any descriptions of transaction or arrangement for the purposes of subsection (2), the constitution of the trust must specify that it contains no such descriptions.

Propose a change

168 Mergers

(1) In section 56 of the National Health Service Act 2006 (mergers), in subsection (1)— (a) in paragraph (b), after “NHS trust” insert “established under section 25”, and (b) for the words from “authorisation” to the end substitute “the dissolution of the trusts and the establishment of a new NHS foundation trust.” (2) After that subsection insert— (1A) An application under this section may be made only with the approval of more than half of the members of the council of governors of each applicant (that is an NHS foundation trust). (3) In subsection (2) of that section, omit— (a) paragraph (c) (but not the “and” following it), and (b) the words from “and must give” to the end. (4) Omit subsection (3) of that section. (5) For subsection (4) of that section substitute— (4) The regulator must grant the application if it is satisfied that such steps as are necessary to prepare for the dissolution of the trusts and the establishment of the proposed new trust have been taken. (6) Omit subsections (5) to (10) of that section. (7) In subsection (11) of that section, for “On an authorisation being given under this section” substitute “On the grant of the application”.

Propose a change

169 Acquisitions

After section 56 of the National Health Service Act 2006 insert— Acquisitions 56A (1) An application may be made jointly by— (a) an NHS foundation trust (A), and (b) another NHS foundation trust or an NHS trust established under section 25 (B), to the regulator for the acquisition by A of B. (2) An application under this section may be made only with the approval of more than half of the members of the council of governors of each applicant (that is an NHS foundation trust). (3) The application must— (a) be supported by the Secretary of State if B is an NHS trust, and (b) be accompanied by a copy of the proposed constitution of A, amended on the assumption that A acquires B. (4) The regulator must grant the application if it is satisfied that such steps as are necessary to prepare for the acquisition have been taken. (5) On the grant of the application, the proposed constitution has effect, but where a person who is specified as a director of A in the constitution has yet to be appointed as such, the directors of A may exercise that person's functions under the constitution.

Propose a change

170 Separations

After section 56A of the National Health Service Act 2006 insert— Separations 56B (1) An application may be made to the regulator by an NHS foundation trust for the dissolution of the trust and the establishment of two or more new NHS foundation trusts. (2) An application under this section may be made only with the approval of more than half of the members of the council of governors of the applicant. (3) The application must, by reference to each of the proposed new trusts— (a) specify the property and liabilities proposed to be transferred to it; (b) be accompanied by a copy of its proposed constitution. (4) The regulator must grant the application if it is satisfied that such steps as are necessary to prepare for the dissolution of the trust and the establishment of each of the proposed new trusts have been taken. (5) On the grant of the application, the proposed constitution of each of the new trusts has effect but, in the case of each of the new trusts, the proposed directors may exercise the functions of the trust on its behalf until a board of directors is appointed in accordance with the constitution.

Propose a change

171 Dissolution

After section 57 of the National Health Service Act 2006 insert— Dissolution 57A (1) An application may be made by an NHS foundation trust to the regulator for dissolution. (2) An application under this section may be made only with the approval of more than half of the members of the council of governors of the applicant. (3) The regulator must grant the application if it is satisfied that— (a) the trust has no liabilities, and (b) such steps as are necessary to prepare for the dissolution have been taken. (4) Where an application under this section is granted, the regulator must make an order— (a) dissolving the trust in question, and (b) transferring, or providing for the transfer of, the property of the trust (if any) to the Secretary of State.

Propose a change

172 Supplementary

(1) In section 57 of the National Health Service Act 2006 (mergers: supplementary), in subsection (1)— (a) for “an authorisation is given under section 56” substitute “an application is granted under section 56 or 56B”, and (b) at the end insert “or trusts”. (2) In subsection (2) of that section— (a) for “such an authorisation is given, the Secretary of State” substitute “such an application is granted, the regulator”, and (b) in paragraph (a), after “dissolving the” insert “trust or”, and (c) in paragraph (b), at the end insert “or trusts”. (3) After that subsection insert— (2A) An order under section 56 or 56B is conclusive evidence of incorporation and conclusive evidence that the corporation is an NHS foundation trust. (4) In subsection (3)(a) of that section, for “section 54(3)” substitute “section 54(4)”. (5) In subsection (4) of that section— (a) for “section 56(1) and (2)” substitute “sections 56(2) and 56B(3)”, and (b) for “section 54(4)(a) to (c)” substitute “section 54(4)(a) or (c)”. (6) In subsection (5) of that section, after “section 56” insert “or 56A”. (7) Omit subsection (6) of that section. (8) For the title to that section substitute “Sections 56 to 56B: supplementary”. (9) For the cross-heading preceding section 56 of that Act substitute “Mergers, acquisitions and separations”. (10) In section 64 of that Act (orders and regulations under Chapter 5 of Part 2 of that Act), in subsection (4)— (a) omit the “or” following paragraph (b), and (b) after paragraph (c), insert , or (d) section 57A. (11) After that subsection insert— (4A) The Statutory Instruments Act 1946 applies in relation to the power of the regulator to make an order under section 57 or 57A as if the regulator were a Minister of the Crown. (12) In section 271(3)(b) of that Act (territorial limit of exercise of functions under Chapter 5), for “Part 1” substitute “Part 2”.

Propose a change

173 Repeal of de-authorisation provisions

(1) Omit section 52C of the National Health Service Act 2006 (guidance etc. on de-authorisation notices). (2) Omit sections 53 to 55 of, and Schedule 9 to, that Act (voluntary arrangements and dissolution); and in consequence of that— (a) in section 57 of that Act (as amended by section 172 of this Act)— (i) in subsection (3)(a), for “the persons mentioned in section 54(4)” substitute “another NHS foundation trust, an NHS trust established under section 25 or the Secretary of State”, (ii) omit subsection (3)(b), and (iii) in subsection (4), for “any of the bodies mentioned in section 54(4)(a) or (c)” substitute “another NHS foundation trust or an NHS trust established under section 25”, (b) in section 64(4) of that Act (as amended by section 172 of this Act), omit paragraph (b), and (c) omit section 18(2) to (6) and (11) of the Health Act 2009. (3) Omit section 65E of the National Health Service Act 2006 (NHS foundation trusts: de-authorisation and appointment of administrator). (4) Omit Schedule 8A to that Act (de-authorised NHS trusts and NHS foundation trusts). (5) Omit section 15 of the Health Act 2009 (which inserts sections 52A to 52E and Schedule 8A in the National Health Service Act 2006). (6) In section 272 of the National Health Service Act 2006 (orders, regulations, rules and directions)— (a) in subsection (5), omit paragraph (aa), and (b) in subsection (6A), omit “52D(1), 52E(6),”. (7) In section 275(1) of that Act (interpretation), in the definition of “NHS trust”— (a) omit “, subject to Schedule 8A,”, and (b) omit “52D(1) or”. (8) In section 206(1) of the National Health Service (Wales) Act 2006, in the definition of “NHS trust”, omit “52D(1) or”.

Propose a change

174 Trust special administrators

(1) In section 65A of the National Health Service Act 2006 (bodies to which trust special administration regime applies)— (a) in subsection (1), for paragraphs (b) and (c) substitute— (b) any NHS foundation trust. , and (b) omit subsection (2). (2) For the title to section 65B of that Act substitute “NHS trusts: appointment of trust special administrator”. (3) In section 65D of that Act (NHS foundation trusts: regulator's notice), for subsections (1) to (3) substitute— (1) This section applies if the regulator is satisfied that an NHS foundation trust is, or is likely to become, unable to pay its debts. (2) The regulator may make an order authorising the appointment of a trust special administrator to exercise the functions of the governors, chairman and directors of the trust. (3) As soon as reasonably practicable after the making of an order under subsection (2), the Care Quality Commission must provide to the regulator a report on the safety and quality of the services that the trust provides under this Act. (4) In subsection (4) of that section— (a) for “giving a notice” substitute “making an order”, (b) after paragraph (a) insert— (aa) the Board, , (c) omit paragraph (b), (d) in paragraph (c), omit “goods or”, and (e) after paragraph (c) insert , and (d) the Care Quality Commission. (5) After that subsection insert— (5) An order under subsection (2) must specify the date when the appointment is to take effect, which must be within the period of 5 working days beginning with the day on which the order is made. (6) The regulator must lay before Parliament (with the statutory instrument containing the order) a report stating the reasons for making the order. (7) If the regulator makes an order under subsection (2), it must— (a) appoint a person as the trust special administrator with effect from the day specified in the order, and (b) publish the name of the person appointed. (8) A person appointed as a trust special administrator under this section holds and vacates office in accordance with the terms of the appointment. (9) A person appointed as a trust special administrator under this section must manage the trust's affairs, business and property, and exercise the trust special administrator's functions, so as to achieve the objective set out in section 65DA as quickly and as efficiently as is reasonably practicable. (10) When the appointment of a trust special administrator under this section takes effect, the trust's governors, chairman and executive and non-executive directors are suspended from office; and Chapter 5 of this Part, in its application to the trust, is to be read accordingly. (11) But subsection (10) does not affect the employment of the executive directors or their membership of any committee or sub-committee of the trust. (12) The regulator may indemnify a trust special administrator appointed under this section in respect of such matters as the regulator may determine. (6) For the title to that section substitute “NHS foundation trusts: appointment of trust special administrator”. (7) Omit the cross-heading preceding that section.

Propose a change

175 Objective of trust special administration

(1) After section 65D of the National Health Service Act 2006 insert— Objective of trust special administration 65DA (1) The objective of a trust special administration is to secure— (a) the continued provision of such of the services provided for the purposes of the NHS by the NHS foundation trust that is subject to an order under section 65D(2), at such level, as the commissioners of those services determine, and (b) that it becomes unnecessary for the order to remain in force for that purpose. (2) The commissioners may determine that the objective set out in subsection (1) is to apply to a service only if they are satisfied that the criterion in subsection (3) is met. (3) The criterion is that ceasing to provide the service under this Act would, in the absence of alternative arrangements for its provision under this Act, be likely to— (a) have a significant adverse impact on the health of persons in need of the service or significantly increase health inequalities, or (b) cause a failure to prevent or ameliorate either a significant adverse impact on the health of such persons or a significant increase in health inequalities. (4) In determining whether that criterion is met, the commissioners must (in so far as they would not otherwise be required to do so) have regard to— (a) the current and future need for the provision of the service under this Act, (b) whether ceasing to provide the service under this Act would significantly reduce equality between those for whom the commissioner arranges for the provision of services under this Act with respect to their ability to access services so provided, and (c) such other matters as may be specified in relation to NHS foundation trusts in guidance published by the regulator. (5) The regulator may revise guidance under subsection (4)(c) and, if it does so, must publish the guidance as revised. (6) Before publishing guidance under subsection (4)(c) or (5), the regulator must obtain the approval of— (a) the Secretary of State; (b) the Board. (7) The Board must make arrangements for facilitating agreement between commissioners in determining the services provided by the trust under this Act to which the objective set out in subsection (1) is to apply. (8) Where commissioners fail to reach agreement in pursuance of arrangements under subsection (7), the Board may make the determination (and the duty imposed by subsection (1)(a), so far as applying to the commissioners concerned, is to be regarded as discharged). (9) In this section— “commissioners” means the persons to which the trust provides services under this Act, and “health inequalities” means the inequalities between persons with respect to the outcomes achieved for them by the provision of services that are provided as part of the health service. (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Propose a change

176 Procedure etc.

(1) In section 65F of the National Health Service Act 2006 (administrator's draft report), in subsection (2)— (a) before paragraph (a) insert— (za) the Board, , and (b) omit paragraph (a) (but not the following “and”). (2) At the end of that section insert— (4) For the purposes of this section in its application to the case of an NHS foundation trust, the references to the Secretary of State are to be read as references to the regulator. (5) In the case of an NHS foundation trust, the administrator may not provide the draft report to the regulator under subsection (1)— (a) without having obtained from each commissioner a statement that the commissioner considers that the recommendation in the draft report would achieve the objective set out in section 65DA, or (b) where the administrator does not obtain a statement to that effect from one or more commissioners (other than the Board), without having obtained a statement to that effect from the Board. (6) Where the Board decides not to provide to the administrator a statement to that effect, the Board must— (a) give a notice of the reasons for its decision to the administrator and to the regulator; (b) publish the notice; (c) lay a copy of it before Parliament. (7) In subsection (5), “commissioner” means a person to which the trust provides services under this Act. (3) At the end of section 65G of that Act (consultation plan) insert— (4) In the case of an NHS foundation trust, the administrator may not make a variation to the draft report following the consultation period— (a) without having obtained from each commissioner a statement that the commissioner considers that the recommendation in the draft report as so varied would achieve the objective set out in section 65DA, or (b) where the administrator does not obtain a statement to that effect from one or more commissioners (other than the Board), without having obtained a statement to that effect from the Board. (5) Where the Board decides not to provide to the administrator a statement to that effect, the Board must— (a) give a notice of the reasons for its decision to the administrator and to the regulator; (b) publish the notice; (c) lay a copy of it before Parliament. (6) In subsection (4), “commissioner” means a person to which the trust provides services under this Act. (4) In section 65H of that Act (consultation requirements), in subsection (7)— (a) before paragraph (a) insert— (za) the Board, , (b) omit paragraph (a), (c) in paragraph (b), omit “, if required by directions given by the Secretary of State”, and (d) after paragraph (c) insert ; (d) any other person specified in a direction given by the Secretary of State. (5) In subsection (8) of that section, omit paragraphs (a) to (d). (6) In subsection (9) of that section— (a) after “representatives of” insert “the Board and”, and (b) for “(7)(a) or (b)” substitute “(7)(b), (c) or (d)”. (7) At the end of that section insert— (12) For the purposes of this section in its application to the case of an NHS foundation trust— (a) in subsection (7)(b), the words “goods or” are to be ignored, and (b) in subsections (7)(c) and (d) and (10), the references to the Secretary of State are to be read as references to the regulator. (13) In the case of an NHS foundation trust, the Secretary of State may direct the regulator as to persons from whom it should direct the administrator under subsection (10) to request or seek a response. (8) At the end of section 65I of that Act (administrator's final report) insert— (4) For the purposes of this section in its application to the case of an NHS foundation trust, the references to the Secretary of State are to be read as references to the regulator. (9) At the end of section 65J of that Act (power to extend time limits for preparing reports and carrying out consultation) insert— (5) For the purposes of this section in its application to the case of an NHS foundation trust, the references to the Secretary of State are to be read as references to the regulator.

Propose a change

177 Action following final report

(1) In section 65K of the National Health Service Act 2006 (Secretary of State's decision on what action to take), in subsection (1), after “a final report under section 65I” insert “relating to an NHS trust”; and in consequence of that, for the title to that section substitute “Secretary of State's decision in case of NHS trust”. (2) After that section insert— Regulator's decision in case of NHS foundation trust 65KA (1) Within the period of 20 working days beginning with the day on which the regulator receives a final report under section 65I relating to an NHS foundation trust, the regulator must decide whether it is satisfied— (a) that the action recommended in the final report would achieve the objective set out in section 65DA, and (b) that the trust special administrator has carried out the administration duties. (2) In subsection (1)(b), “administration duties” means the duties imposed on the administrator by— (a) this Chapter, (b) a direction under this Chapter, or (c) the administrator's terms of appointment. (3) If the regulator is satisfied as mentioned in subsection (1), it must as soon as reasonably practicable provide to the Secretary of State— (a) the final report, and (b) the report provided to the regulator by the Care Quality Commission under section 65D(3). (4) If the regulator is not satisfied as mentioned in subsection (1), it must as soon as reasonably practicable give a notice of that decision to the administrator. (5) Where the regulator gives a notice under subsection (4), sections 65F to 65J apply in relation to the trust to such extent, and with such modifications, as the regulator may specify in the notice. (6) The regulator must as soon as reasonably practicable after giving a notice under subsection (4)— (a) publish the notice; (b) lay a copy of it before Parliament. Secretary of State's response to regulator's decision 65KB (1) Within the period of 30 working days beginning with the day on which the Secretary of State receives the reports referred to in section 65KA(3), the Secretary of State must decide whether the Secretary of State is satisfied— (a) that the persons to which the NHS foundation trust in question provides services under this Act have discharged their functions for the purposes of this Chapter, (b) that the trust special administrator has carried out the administration duties (within the meaning of section 65KA(1)(b)), (c) that the regulator has discharged its functions for the purposes of this Chapter, (d) that the action recommended in the final report would secure the continued provision of the services provided by the trust to which the objective set out in section 65DA applies, (e) that the recommended action would secure the provision of services that are of sufficient safety and quality to be provided under this Act, and (f) that the recommended action would provide good value for money. (2) If the Secretary of State is not satisfied as mentioned in subsection (1), the Secretary of State must as soon as reasonably practicable— (a) give the trust special administrator a notice of the decision and of the reasons for it; (b) give a copy of the notice to the regulator; (c) publish the notice; (d) lay a copy of it before Parliament. Action following Secretary of State's rejection of final report 65KC (1) Within the period of 20 working days beginning with the day on which the trust special administrator receives a notice under section 65KB(2), the administrator must provide to the regulator the final report varied so far as the administrator considers necessary to secure that the Secretary of State is satisfied as mentioned in section 65KB(1). (2) Where the administrator provides to the regulator a final report under subsection (1), section 65KA applies in relation to the report as it applies in relation to a final report under section 65I; and for that purpose, that section has effect as if— (a) in subsection (1), for “20 working days” there were substituted “10 working days”, and (b) subsection (3)(b) were omitted. (3) If the Secretary of State thinks that, in the circumstances, it is not reasonable for the administrator to be required to carry out the duty under subsection (1) within the period mentioned in that subsection, the Secretary of State may by order extend the period. (4) If an order is made under subsection (3), the administrator must— (a) publish a notice stating the date on which the period will expire, and (b) where the administrator is proposing to carry out consultation in response to the notice under section 65KB(2), publish a statement setting out the means by which the administrator will consult during the extended period. Secretary of State's response to re-submitted final report 65KD (1) Within the period of 30 working days beginning with the day on which the Secretary of State receives a final report under section 65KA(3) as applied by section 65KC(2), the Secretary of State must decide whether the Secretary of State is, in relation to the report, satisfied as to the matters in section 65KB(1)(a) to (f). (2) If the Secretary of State is not satisfied as mentioned in subsection (1), the Secretary of State must as soon as reasonably practicable— (a) publish a notice of the decision and the reasons for it; (b) lay a copy of the notice before Parliament. (3) Where the Secretary of State publishes a notice under subsection (2)(a), subsections (4) to (8) apply. (4) If the notice states that the Board has failed to discharge a function— (a) the Board is to be treated for the purposes of this Act as having failed to discharge the function, and (b) the failure is to be treated for those purposes as significant (and section 13Z2 applies accordingly). (5) If the notice states that a clinical commissioning group has failed to discharge a function— (a) the group is to be treated for the purposes of this Act as having failed to discharge the function, (b) the Secretary of State may exercise the functions of the Board under section 14Z21(2), (3)(a) and (8)(a), and (c) the Board may not exercise any of its functions under section 14Z21. (6) Where, by virtue of subsection (5)(b), the Secretary of State exercises the function of the Board under subsection (3)(a) of section 14Z21, subsection (9)(a) of that section applies but with the substitution for the references to the Board of references to the Secretary of State. (7) If the notice states that the trust special administrator has failed to discharge the administration duties (within the meaning of section 65KA(1)(b))— (a) the administration duties are to be treated for the purposes of this Act as functions of the regulator, (b) the regulator is to be treated for the purposes of this Act as having failed to discharge those functions, and (c) the failure is to be treated for those purposes as significant (and section 71 of the Health and Social Care Act 2012 applies accordingly, but with the omission of subsection (3)). (8) If the notice states that the regulator has failed to discharge a function— (a) the regulator is to be treated for the purposes of this Act as having failed to discharge the function, and (b) the failure is to be treated for those purposes as significant (and section 71 of the Health and Social Care Act 2012 applies accordingly, but with the omission of subsection (3)). (9) Within the period of 60 working days beginning with the day on which the Secretary of State publishes a notice under subsection (2)(a), the Secretary of State must decide what action to take in relation to the trust. (10) The Secretary of State must as soon as reasonably practicable— (a) publish a notice of the decision and the reasons for it; (b) lay a copy of the notice before Parliament. (3) In section 65L of that Act (trusts coming out of administration), after subsection (2) insert— (2A) For the purposes of subsection (1) in its application to the case of an NHS foundation trust, the reference to section 65K is to be read as a reference to section 65KD(9); and this section also applies in the case of an NHS foundation trust if— (a) the Secretary of State is satisfied as mentioned in section 65KB(1) or 65KD(1) in relation to the trust, and (b) the action recommended in the final report is to do something other than dissolve the trust. (2B) For the purposes of subsection (2) in its application to the case of an NHS foundation trust— (a) the reference to the Secretary of State is to be read as a reference to the regulator, and (b) the reference to the chairman and directors of the trust is to be read as including a reference to the governors. (4) Omit subsections (3) to (5) of that section. (5) At the end of that section insert— (6) Subsection (7) applies in the case of an NHS foundation trust. (7) If it appears to the regulator to be necessary in order to comply with Schedule 7, the regulator may by order— (a) terminate the office of any governor or of any executive or non-executive director of the trust; (b) appoint a person to be a governor or an executive or non-executive director of the trust. (6) After that section insert— Trusts to be dissolved 65LA (1) This section applies if— (a) the Secretary of State is satisfied as mentioned in section 65KB(1) or 65KD(1), and (b) the action recommended in the final report is to dissolve the NHS foundation trust in question. (2) This section also applies if the Secretary of State decides under section 65KD(9) to dissolve the NHS foundation trust in question. (3) The regulator may make an order— (a) dissolving the trust, and (b) transferring, or providing for the transfer of, the property and liabilities of the trust— (i) to another NHS foundation trust or the Secretary of State, or (ii) between another NHS foundation trust and the Secretary of State. (4) An order under subsection (3) may include provision for the transfer of employees of the trust. (5) The liabilities that may be transferred to an NHS foundation trust by virtue of subsection (3)(b) include criminal liabilities. (7) For the cross-heading preceding section 65K substitute “Action by the Secretary of State and the regulator”.

Propose a change

178 Sections 174 to 177: supplementary

(1) At the end of section 65M of the National Health Service Act 2006 (replacement of trust special administrator) insert— (3) For the purposes of this section in its application to the case of an NHS foundation trust, the references to the Secretary of State are to be read as references to the regulator. (2) In section 65N of that Act (power to issue guidance), after subsection (2) insert— (2A) It must include guidance about the publication of— (a) notices under section 65KC(4)(a); (b) statements under section 65KC(4)(b). (3) At the end of that section insert— (4) For the purposes of this section in its application to cases of NHS foundation trusts, the reference in subsection (1) to the Secretary of State is to be read as a reference to the regulator. (4) In section 65O of that Act (interpretation of Chapter 5A), in the definition of “trust special administrator”, after “65B(6)(a)” insert “, section 65D(2)”. (5) In section 39 of that Act (register of NHS foundation trusts), in subsection (2), at the end insert , (g) a copy of any order made under section 65D, 65J, 65KC, 65L or 65LA, (h) a copy of any report laid under section 65D, (i) a copy of any information published under section 65D, (j) a copy of any draft report published under section 65F, (k) a copy of any statement provided under section 65F, (l) a copy of any notice published under section 65F, 65G, 65H, 65J, 65KA, 65KB, 65KC or 65KD, (m) a copy of any statement published or provided under section 65G, (n) a copy of any final report published under section 65I, (o) a copy of any statement published under section 65J or 65KC, (p) a copy of any information published under section 65M. (6) In section 272 of that Act (orders etc.), in subsection (5), in paragraph (ab)— (a) after “65B(1),” insert “65D(2),”, (b) omit “65E(1),”, (c) after “65J(2),” insert “65KC(3),”, and (d) for “65L(2), (4) or (5)” substitute “65L(2) or (7), 65LA(3)”. (7) After subsection (6) insert— (6ZA) The Statutory Instruments Act 1946 applies in relation to the power of the regulator to make an order under Chapter 5A as if the regulator were a Minister of the Crown. (8) In subsection (6A) of that section— (a) after “65B(1),” insert “65D(2),”, (b) omit “65E(1),”, (c) after “65J(2),” insert “65KC(3),”, (d) after “65L(2) or (4)” insert “, 65LA(3)”, and (e) for “(4)” substitute “(7)”. (9) In section 275(1) of that Act (interpretation), in the definition of “NHS trust”, omit the words from “and” to the end. (10) In paragraph 22(1) of Schedule 7 to that Act (documents which must be made available to the public free of charge), at the end insert , (g) a copy of any order made under section 65D, 65J, 65KC, 65L or 65LA, (h) a copy of any report laid under section 65D, (i) a copy of any information published under section 65D, (j) a copy of any draft report published under section 65F, (k) a copy of any statement provided under section 65F, (l) a copy of any notice published under section 65F, 65G, 65H, 65J, 65KA, 65KB, 65KC or 65KD, (m) a copy of any statement published or provided under section 65G, (n) a copy of any final report published under section 65I, (o) a copy of any statement published under section 65J or 65KC, (p) a copy of any information published under section 65M. (11) In section 206(1) of the National Health Service (Wales) Act 2006, in the definition of “NHS trust”, omit the words from “(including” to the end.

Propose a change

181 Healthwatch England

(1) The Health and Social Care Act 2008 is amended as follows. (2) In Schedule 1 (the Care Quality Commission: constitution, etc.), in paragraph 6, after sub-paragraph (1) insert— (1A) A committee of the Commission known as “the Healthwatch England committee” is to be appointed in accordance with regulations. (1B) The purpose of the Healthwatch England committee is to provide the Commission or other persons with advice, information or other assistance in accordance with provision made by or under this or any other Act. (3) After sub-paragraph (5) insert— (5A) Regulations under sub-paragraph (1A) must make provision requiring a person who has power to appoint a member of the Healthwatch England committee to secure that a majority of the members of the committee are not members of the Commission. (5B) Regulations under sub-paragraph (1A) may specify other results which a person who has power to appoint a member of the committee must secure. (5C) Regulations under sub-paragraph (1A) may, in particular, make provision as to— (a) eligibility for appointment; (b) procedures for selecting or proposing persons for appointment. (5D) Regulations under sub-paragraph (1A) may, in particular, make provision as to— (a) the removal or suspension of members of the committee; (b) the payment of remuneration and allowances to members. (4) In Chapter 3 of Part 1 (quality of health and social care), before section 46 and the preceding cross-heading insert— Healthwatch England and Local Healthwatch organisations Functions to be exercised by Healthwatch England 45A (1) The Commission has the functions set out in subsections (2) to (5), but must arrange for the Healthwatch England committee to exercise the functions on its behalf. (2) The function in this subsection is to provide Local Healthwatch organisations with general advice and assistance in relation to— (a) the making of arrangements under section 221(1) of the Local Government and Public Involvement in Health Act 2007 (local care services); (b) the making of arrangements in pursuance of arrangements made under section 221(1) of that Act (see section 222(2B) of that Act); (c) the carrying-on of activities specified in section 221(2) of that Act. (3) The function in this subsection is a power to make recommendations of a general nature to English local authorities about the making of arrangements under section 221(1) of that Act. (4) The function in this subsection is a power, where the Healthwatch England committee is of the opinion that the activities specified in section 221(2) of that Act are not being carried on properly in an English local authority's area, to give the authority concerned written notice of its opinion. (5) The function in this subsection is to provide the persons mentioned in subsection (6) with information and advice on— (a) the views of people who use health or social care services and of other members of the public on their needs for and experiences of health and social care services, and (b) the views of Local Healthwatch organisations and of other persons on the standard of provision of health and social care services and on whether or how the standard could or should be improved. (6) The persons referred to in subsection (5) are— (a) the Secretary of State; (b) the National Health Service Commissioning Board; (c) Monitor; (d) English local authorities. (7) A person provided with advice under subsection (5) must inform the Healthwatch England committee in writing of its response or proposed response to the advice. (8) The Healthwatch England committee may provide the Commission with information and advice on the matters mentioned in subsection (5)(a) and (b); and the Commission must inform the committee in writing of its response or proposed response to the advice. (9) The Commission must publish details of arrangements it makes under subsection (1) (including details of payments of remuneration or other amounts); and inclusion of the details in a report under section 83 is not to be regarded as a discharge of the duty imposed by this subsection. (10) In performing functions under this section, the Healthwatch England committee must have regard to such aspects of government policy as the Secretary of State may direct. Conflicts of interest 45B (1) In making arrangements under section 45A(1), the Commission must have regard to any conflicts guidance issued by the Secretary of State. (2) In exercising functions on behalf of the Commission, the Healthwatch England committee must have regard to any conflicts guidance issued by the Secretary of State. (3) In this section, “conflicts guidance” means guidance about managing conflicts between— (a) the exercise of functions by the Commission, and (b) the exercise of functions by the Healthwatch England committee on the Commission's behalf. Reports 45C (1) As soon as possible after the end of each financial year, the Healthwatch England committee— (a) must make a report to the Commission (whether or not in writing) on the matters mentioned in section 45A(5)(a) and (b), and (b) must publish a report on the way in which it has exercised during the year the functions exercisable by it. (2) The committee must— (a) lay before Parliament a copy of each report made under subsection (1)(b), and (b) send a copy of each such report to the Secretary of State and to every Local Healthwatch organisation. (3) The committee may publish other reports at such times, and on such matters relating to health or social care, as it thinks appropriate. (4) Where a recommendation is made to the committee under section 221(2)(h) of the Local Government and Public Involvement in Health Act 2007 (reports under subsection (3)), the committee must have regard to the recommendation. (5) Before publishing a report under subsection (1)(b) or (3), the committee must, so far as practicable, exclude any matter which relates to the private affairs of an individual the publication of which, in the committee's opinion, would or might seriously and prejudicially affect that individual's interests. (6) In this section, “financial year” means— (a) the period beginning with the date on which the committee is appointed and ending with the following 31 March, and (b) each successive period of 12 months ending with 31 March. (5) In section 82 (failure by Commission to discharge functions), after subsection (1) insert— (1A) The Secretary of State may give a direction to the Healthwatch England committee if the Secretary of State considers that the committee— (a) is failing or has failed to discharge a function under section 45A or any other function it is required to discharge, or (b) is failing or has failed properly to discharge a function under that section or any other function it is required to discharge, and that the failure is significant. (6) In subsection (2) of that section— (a) after “(1)” insert “or (1A)”, and (b) after “the Commission” insert “or (as the case may be) the committee”. (7) In subsection (2A) of that section (inserted by section 294), after “(1)” insert “or (1A)”. (8) In subsection (3) of that section— (a) after “the Commission” insert “or the committee”, and (b) after “(1)” insert “or (1A)”. (9) In subsection (4) of that section (inserted by section 294), after “(1)” insert “, (1A)”. (10) For the title to that section substitute “Failure by the Commission or Healthwatch England in discharge of functions”. (11) In section 83 (reports for each financial year etc), after subsection (1) insert— (1A) The reference in subsection (1)(a) to the Commission's functions does not include a reference to its functions under section 45A. (12) After subsection (2) of that section insert— (2A) The reports under subsection (1)(b) and (c) must, in particular, set out (and identify as such) the contents of the report made by the Healthwatch England committee under section 45C(1)(a) in respect of the year concerned. (13) In each of the following provisions, at the end of the entry for the Care Quality Commission insert “and the Healthwatch England committee”— (a) Part 2 of Schedule 1 to the Public Records Act 1958, (b) Part 2 of Schedule 1 to the House of Commons Disqualification Act 1975, and (c) Part 2 of Schedule 1 to the Northern Ireland Assembly Disqualification Act 1975. (14) The Healthwatch England committee is to be treated for the purposes of section 2(1) of the Public Bodies (Admission to Meetings) Act 1960 as a body that includes all the members of the Care Quality Commission.

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182 Activities relating to local care services

(1) Section 221 of the Local Government and Public Involvement in Health Act 2007 (health services and social services) is amended as follows. (2) In subsection (2)— (a) in each of paragraphs (a) to (c), before “people” insert “local”, and (b) omit the “and” preceding paragraph (d). (3) At the end of that paragraph, insert “and to the Healthwatch England committee of the Care Quality Commission.” (4) After that paragraph insert— (e) providing advice and information about access to local care services and about choices that may be made with respect to aspects of those services; (f) reaching views on the matters mentioned in subsection (3) and making those views known to the Healthwatch England committee of the Care Quality Commission; (g) making recommendations to that committee to advise the Commission about special reviews or investigations to conduct (or, where the circumstances justify doing so, making such recommendations direct to the Commission); (h) making recommendations to that committee to publish reports under section 45C(3) of the Health and Social Care Act 2008 about particular matters; and (i) giving that committee such assistance as it may require to enable it to carry out its functions effectively, efficiently and economically. (5) In subsection (3), after “(2)(b)” insert “and (f)”. (6) After that subsection insert— (3A) A person to whom views are made known or reports or recommendations are made under subsection (2)(d) must, in exercising any function relating to care services, have regard to the views, reports or recommendations. (7) After subsection (3A) insert— (3B) Each local authority must ensure that only one set of arrangements under subsection (1) in relation to its area is in force at any one time. (8) In subsection (6), after the definition of “local care services” insert— “local people”, in relation to a local authority, means— (a) people who live in the local authority's area, (b) people to whom care services are being or may be provided in that area, (c) people from that area to whom care services are being provided in any place, and who are (taken together) representative of the people mentioned in paragraphs (a) to (c); . (9) In the title to section 221, omit “: local involvement networks”. (10) For the cross-heading preceding that section substitute “Local arrangements”. (11) After section 45C of the Health and Social Care Act 2008 (inserted by section 181(4)), insert— Granting licence to use trade mark 45D (1) The Commission may grant a Local Healthwatch organisation a licence authorising the use, in relation to the carrying-on of activities under arrangements made under section 221(1) of the Local Government and Public Involvement in Health Act 2007, of a registered trade mark of which the Commission is the proprietor. (2) A licence under this section may not provide for the grant of a sub-licence by the licensee other than a sub-licence authorising the use of the mark by a Local Healthwatch contractor in relation to the carrying-on of activities under Local Healthwatch arrangements. (3) In this section— “Local Healthwatch arrangements” has the meaning given by section 222 of the Local Government and Public Involvement in Health Act 2007, “Local Healthwatch contractor” has the meaning given by section 223 of that Act, and “registered trade mark” and “use” have the same meaning as in the Trade Marks Act 1994.

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183 Local authority arrangements

(1) Section 222 of the Local Government and Public Involvement in Health Act 2007 (arrangements under section 221 of that Act) is amended as follows. (2) For subsection (2) substitute— (2) The arrangements must be made with a body corporate which— (a) is a social enterprise, and (b) satisfies such criteria as may be prescribed by regulations made by the Secretary of State. (2A) For so long as the arrangements are in force, the body with which they are made— (a) has the function of carrying on in A's area the activities specified in section 221(2), and (b) is to be known as the “Local Healthwatch organisation” for A's area. (2B) But the arrangements may authorise the Local Healthwatch organisation to make, in pursuance of those arrangements, arrangements (“Local Healthwatch arrangements”) with a person (other than A) for that person— (a) to assist the organisation in carrying on in A's area some or all of the activities, or (b) (subject to provision made under section 223(2)(e)) to carry on in A's area some (but not all) of the activities on the organisation's behalf. (3) In subsection (3), for the words from the beginning to “who is not” substitute “None of the following is capable of being a Local Healthwatch organisation”. (4) For subsection (4) substitute— (4) The arrangements must secure the result that Local Healthwatch arrangements will not be made with a body of a description specified in subsection (3) or with the National Health Service Commissioning Board. (5) For subsection (5) substitute— (5) The arrangements may (in particular) make provision as respects co-operation between the Local Healthwatch organisation for the area and one or more other Local Healthwatch organisations. (6) After subsection (7) insert— (7A) A must exercise its functions under this Part so as to secure that the arrangements— (a) operate effectively, and (b) represent value for money. (7B) A must publish a report of its findings in seeking to secure the objective mentioned in subsection (7A). (7) For subsection (8) substitute— (8) For the purposes of this section, a body is a social enterprise if— (a) a person might reasonably consider that it acts for the benefit of the community in England, and (b) it satisfies such criteria as may be prescribed by regulations made by the Secretary of State. (9) Regulations made by the Secretary of State may provide that activities of a prescribed description are to be treated as being, or as not being, activities which a person might reasonably consider to be activities carried on for the benefit of the community in England. (10) In subsections (8) and (9), “community” includes a section of the community; and regulations made by the Secretary of State may make provision about what does, does not or may constitute a section of the community. (8) For the title to section 222 substitute “Local Healthwatch organisations”. (9) After section 222 insert— Local authority arrangements: conflicts of interest 222A (1) In making arrangements under section 221(1), a local authority must have regard to any conflicts guidance issued by the Secretary of State. (2) Arrangements under section 221(1) must require the Local Healthwatch organisation, in exercising its function of carrying on the activities specified in section 221(2) or in making Local Healthwatch arrangements, to have regard to any conflicts guidance issued by the Secretary of State. (3) In this section, “conflicts guidance” means guidance about managing conflicts between— (a) the making of arrangements under section 221(1), and (b) the carrying-on of the activities specified in section 221(2). (4) In this section, “Local Healthwatch arrangements” has the meaning given by section 222.

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184 Local arrangements: power to make further provision

(1) Section 223 of the Local Government and Public Involvement in Health Act 2007 (power to make further provision about local authority arrangements) is amended as follows. (2) In subsection (1), for “require prescribed provision to be included in local involvement network arrangements” substitute “include prescribed provision”. (3) After that subsection insert— (1A) The Secretary of State may make regulations which provide that local authority arrangements must require Local Healthwatch arrangements to include prescribed provision. (4) In subsection (2)— (a) for “must require local involvement network arrangements to include” substitute “must include or (as the case may be) must require Local Healthwatch arrangements to include”, (b) in paragraphs (a), (c) and (d), for “a local involvement network” substitute “a Local Healthwatch organisation or a Local Healthwatch contractor”, and (c) after paragraph (d) insert ; (e) prescribed provision relating to the activities which a Local Healthwatch contractor may not carry on on a Local Healthwatch organisation's behalf; (f) prescribed provision relating to the obtaining by a Local Healthwatch organisation of a licence under section 45D of the Health and Social Care Act 2008 and the grant by the organisation to a Local Healthwatch contractor of a sub-licence; (g) prescribed provision relating to the use by a Local Healthwatch organisation or a Local Healthwatch contractor of the trade mark to which a licence under that section relates; (h) prescribed provision relating to the infringement of the trade mark to which a licence under that section relates; (i) prescribed provision relating to the imposition of a requirement on a Local Healthwatch organisation to act with a view to securing that its Local Healthwatch contractors (taken together) are representative of— (i) people who live in the local authority's area, (ii) people to whom care services are being or may be provided in that area, and (iii) people from that area to whom care services are being provided in any place. (5) After subsection (2) insert— (2A) The provision which may be prescribed in relation to a Local Healthwatch contractor includes provision that relates to the contractor— (a) only in so far as it assists the Local Healthwatch organisation in the carrying-on of activities specified in section 221(2); (b) only in so far as it carries on such activities on the organisation's behalf. (2B) Regulations under this section may make provision which applies to all descriptions of Local Healthwatch contractor, which applies to all those descriptions subject to specified exceptions or which applies only to such of those descriptions as are prescribed. (6) In subsection (3)— (a) before the definition of “a local involvement network” insert— “care services” has the meaning given by section 221; , (b) omit the definition of “a local involvement network”, (c) for the definition of “local involvement network arrangements” substitute— “Local Healthwatch arrangements” has the meaning given by section 222; , (d) after that definition insert— “Local Healthwatch contractor”, in relation to a Local Healthwatch organisation, means a person with whom the organisation makes Local Healthwatch arrangements; , and (e) after the definition of “prescribed provision” insert ; trade mark”, and “use” and “infringement” in relation to a trade mark, each have the same meaning as in the Trade Marks Act 1994.

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185 Independent advocacy services

(1) After section 223 of the Local Government and Public Involvement in Health Act 2007 insert— Independent advocacy services 223A (1) Each local authority must make such arrangements as it considers appropriate for the provision of independent advocacy services in relation to its area. (2) In this section, “independent advocacy services” means services providing assistance (by way of representation or otherwise) to persons making or intending to make— (a) a complaint under a procedure operated by a health service body or independent provider; (b) a complaint under section 113(1) or (2) of the Health and Social Care (Community Health and Standards) Act 2003; (c) a complaint to the Health Service Commissioner for England; (d) a complaint to the Public Services Ombudsman for Wales which relates to a Welsh health body; (e) a complaint under section 73C(1) of the National Health Service Act 2006; (f) a complaint to a Local Commissioner under Part 3 of the Local Government Act 1974 about a matter which could be the subject of a complaint under section 73C(1) of the National Health Service Act 2006; or (g) a complaint of such description as the Secretary of State may by regulations prescribe which relates to the provision of services as part of the health service and— (i) is made under a procedure of a description prescribed in the regulations, or (ii) gives rise, or may give rise, to proceedings of a description prescribed in the regulations. (3) Each local authority may make such other arrangements as it considers appropriate for the provision of services in relation to its area providing assistance to individuals in connection with complaints relating to the provision of services as part of the health service. (4) Arrangements under this section may not provide for a person to make arrangements for the provision of services by a Local Healthwatch organisation. (5) In making arrangements under this section, a local authority must have regard to the principle that the provision of services under the arrangements or arrangements made in pursuance of the arrangements should, so far as practicable, be independent of any person who is— (a) the subject of a relevant complaint; or (b) involved in investigating or adjudicating on such a complaint. (6) A local authority may make payments to— (a) a person providing services under arrangements under this section; (b) a person arranging for the provision of services in pursuance of arrangements under this section; (c) a person providing services under arrangements made in pursuance of arrangements under this section. (7) The Secretary of State may by regulations make provision requiring a person providing services under arrangements under this section or arrangements made in pursuance of the arrangements to have cover against the risk of a claim in negligence arising out of the provision of the services. (8) The Secretary of State may give directions to a local authority about the exercise of its functions under this section. (9) A direction under subsection (8) may be varied or revoked. (10) In this section— “the health service” has the same meaning as in the National Health Service Act 2006; “health service body” means— in relation to England, a body which, under section 2(1) of the Health Service Commissioners Act 1993, is subject to investigation by the Health Service Commissioner for England; in relation to Wales, a Welsh health service body (within the meaning of the Public Services Ombudsman (Wales) Act 2005); “independent provider” means— in relation to England, a person who, under section 2B(1) of the Health Service Commissioners Act 1993, is subject to investigation by the Health Service Commissioner for England; in relation to Wales, a person who is an independent provider in Wales (within the meaning of the Public Services Ombudsman (Wales) Act 2005); “Welsh health body” means— a Local Health Board, an NHS trust managing a hospital or other establishment or facility in Wales, a Special Health Authority not discharging functions only or mainly in England, an independent provider in Wales (within the meaning of the Public Services Ombudsman (Wales) Act 2005), a family health service provider in Wales (within the meaning of that Act), or a person with functions conferred under section 113(2) of the Health and Social Care (Community Health and Standards) Act 2003. (2) Omit section 248 of the National Health Service Act 2006 (arrangements by the Secretary of State for the provision of independent advocacy arrangements). (3) In section 134 of the Mental Health Act 1983 (correspondence of patients), in subsection (3A)(b)(ii), for “section 248 of the National Health Service Act 2006” substitute “section 223A of the Local Government and Public Involvement in Health Act 2007”. (4) In section 59 of the Safeguarding Vulnerable Groups Act 2006 (vulnerable adults), in subsection (10)(e), for “section 248 of the National Health Service Act 2006 (c. 41)” substitute “section 223A of the Local Government and Public Involvement in Health Act 2007”.

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186 Requests, rights of entry and referrals

(1) Section 224 of the Local Government and Public Involvement in Health Act 2007 (duties of services-providers to respond to requests for information etc.) is amended as follows. (2) In subsection (1), in paragraphs (a) and (b), for “a local involvement network” substitute “a Local Healthwatch organisation or a Local Healthwatch contractor”. (3) For subsection (3) substitute— (3) For the purposes of subsection (1), something is done by a Local Healthwatch organisation if it is done by that organisation— (a) in the carrying-on, under arrangements made under section 221(1), of activities specified in section 221(2), or (b) in compliance with a requirement imposed by virtue of section 223(2)(i). (3A) For the purposes of subsection (1), something is done by a Local Healthwatch contractor if it is done by that contractor in the carrying-on, under Local Healthwatch arrangements, of activities specified in section 221(2). (4) After subsection (4) insert— (5) In this section— “Local Healthwatch arrangements” has the meaning given by section 222; “Local Healthwatch contractor” has the meaning given by section 223. (5) In the title to that section, for “local involvement networks” substitute “Local Healthwatch organisations or contractors”. (6) Section 225 of that Act (duties of services-providers to allow entry to premises) is amended as follows. (7) In subsection (2), in paragraph (f), and in subsection (5), for “a local involvement network” substitute “a Local Healthwatch organisation or a Local Healthwatch contractor”. (8) In subsection (4), in paragraph (a), after “section 221(1)” insert “or Local Healthwatch arrangements”. (9) After subsection (5) insert— (5A) In this section— “Local Healthwatch arrangements” has the meaning given by section 222; “Local Healthwatch contractor” has the meaning given by section 223. (10) Omit subsection (6). (11) For the title to that section substitute “Duties of services-providers to allow entry by Local Healthwatch organisations or contractors”. (12) Section 226 of that Act (referrals of social care matters) is amended as follows. (13) In subsections (1) and (5), for “a local involvement network” substitute “a Local Healthwatch organisation or a Local Healthwatch contractor”. (14) For subsection (7) substitute— (7) For the purposes of this section, something is done by a Local Healthwatch organisation if it is done by that organisation in the carrying-on, under arrangements made under section 221(1), of activities specified in section 221(2). (7A) For the purposes of this section, something is done by a Local Healthwatch contractor if it is done by that contractor in the carrying-on, under Local Healthwatch arrangements, of activities specified in section 221(2). (15) In subsection (8), before the definition of “overview and scrutiny committee” insert— “Local Healthwatch arrangements” has the meaning given by section 222; “Local Healthwatch contractor” has the meaning given by section 223; . (16) For the title to that section substitute “Referrals of social care matters”.

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187 Annual reports

(1) Section 227 of the Local Government and Public Involvement in Health Act 2007 (annual reports) is amended as follows. (2) In subsection (2), omit “by a local authority with another person (“H”)”. (3) In that subsection, in paragraph (a)— (a) in sub-paragraph (i)— (i) omit “, for each local involvement network,”, (ii) for “the network”, in the first place it appears, substitute “the Local Healthwatch organisation”, (iii) for “the network”, in the second place it appears, substitute “the organisation”, (iv) after “carried on” insert “under the arrangements or arrangements made”, (b) omit sub-paragraph (ii), and (c) omit sub-paragraph (iii) and the preceding “and”. (4) In subsection (3)— (a) after paragraph (a) insert “and”, (b) in paragraph (b)— (i) omit the words from “, if it is” to “(2)(a)(ii)),”, and (ii) in sub-paragraph (i), for “H in respect of the network” substitute “the Local Healthwatch organisation in its capacity as such, and the amounts spent by its Local Healthwatch contractors in their capacity as such,”, and (c) omit paragraph (c) and the preceding “and”. (5) In subsection (4)— (a) after paragraph (a) insert— (aa) the National Health Service Commissioning Board; (ab) each clinical commissioning group, whose area or any part of whose area falls within the area of the local authority; ; (b) after paragraph (ca) insert— (cb) the Healthwatch England committee of the Care Quality Commission; , and (c) omit paragraph (d) (but not the following “and”). (6) In subsection (5)— (a) in paragraph (a)— (i) omit the words from the beginning to “(2)(a)(ii)),”, (ii) for “the network” substitute “the Local Healthwatch organisation”, and (iii) after “carried on” insert “under the arrangements made under section 221(1) or arrangements made”, and (b) omit paragraph (b) and the “and” preceding it. (7) Omit subsections (6) to (8). (8) In subsection (9), after the definition of “financial year” insert— “Local Healthwatch contractor” has the meaning given by section 223; . (9) For the title to section 227 substitute “Local Healthwatch organisations: annual reports”.

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188 Transitional arrangements

(1) This section applies where arrangements made under section 221 of the Local Government and Public Involvement in Health Act 2007 before the commencement of this Chapter provide for the arrangements to come to an end at a time that falls after that commencement. (2) The Secretary of State may make a scheme providing for the transfer from the person with whom the local authority in question made the arrangements of property, rights and liabilities to the Local Healthwatch organisation for the authority's area. (3) A scheme under this section may make provision for rights and liabilities relating to an individual's contract of employment; and the scheme may, in particular, make provision which is the same as or similar to provision in the Transfer of Undertakings (Protection of Employment) Regulations 2006 (S.I. 2006/246). (4) A scheme under this section may provide for the transfer of property, rights or liabilities— (a) whether or not they would otherwise be capable of being transferred; (b) irrespective of any requirement for consent that would otherwise apply. (5) A scheme under this section may create rights, or impose liabilities, in relation to property, rights or liabilities transferred. (6) A scheme under this section may provide for things done by or in relation to the transferor for the purposes of or in connection with anything transferred to be— (a) treated as done by or in relation to the transferee or its employees; (b) continued by or in relation to the transferee or its employees. (7) A scheme under this section may in particular make provision about continuation of legal proceedings. (8) A scheme under this section may include provision requiring the local authority to pay compensation to the transferor; and for that purpose the scheme may— (a) impose a duty on the local authority to determine the amount of the compensation; (b) confer power on the Secretary of State to do so. (9) A scheme under this section may include supplementary, incidental and consequential provision. (10) Omit section 228 of the Local Government and Public Involvement in Health Act 2007 (previous transitional arrangements).

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189 Consequential provision

(1) In the Schedule to the Public Bodies (Admission to Meetings) Act 1960, after paragraph (bk) (as inserted by paragraph 2 of Schedule 13) insert— (bl) Local Healthwatch organisations, as regards the carrying-on of activities specified in section 221(1) of the Local Government and Public Involvement in Health Act 2007 (local care services); . (2) In Part 3 of Schedule 1 to the House of Commons Disqualification Act 1975, at the appropriate place insert— “ Director of a Local Healthwatch organisation. ” (3) In Part 3 of Schedule 1 to the Northern Ireland Assembly Disqualification Act 1975, at the appropriate place insert— “ Director of a Local Healthwatch organisation. ” (4) In Part 2 of Schedule 1 to the Freedom of Information Act 2000 (local government), after paragraph 35D insert— 35E A Local Healthwatch organisation, in respect of information held in connection with— (a) arrangements made under section 221(1) of the Local Government and Public Involvement in Health Act 2007, or (b) arrangements made in pursuance of arrangements made under section 221(1) of that Act. (5) In section 65H of the National Health Service Act 2006 (NHS foundation trust special administration provisions: consultation requirements), in subsection (8), for subsection (e) substitute— (e) a Local Healthwatch organisation; . (6) In section 4 of the Health and Social Care Act 2008 (matters to which the Care Quality Commission must have regard)— (a) in subsection (1)(c)— (i) for “local involvement networks” substitute “Local Healthwatch organisations or Local Healthwatch contractors”, and (ii) omit “in their areas”; and (b) for subsection (3) substitute— (3) In subsection (1)(c), “Local Healthwatch contractor” has the meaning given by section 223 of the Local Government and Public Involvement in Health Act 2007.

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190 Scrutiny functions of local authorities

(1) Section 244 of the National Health Service Act 2006 is amended as follows. (2) In subsection (2)— (a) omit “an overview and scrutiny committee of”, (b) for “the committee” (in each place where it occurs) substitute “the authority”, (c) for “local NHS bodies” (in each place where it occurs) substitute “relevant NHS bodies or relevant health service providers”, (d) for “local NHS body” (in each place where it occurs except paragraph (f)) substitute “relevant NHS body or relevant health service provider”, (e) omit the words in brackets in paragraph (c), and (f) in subsection (f) for “any officer of a local NHS body” substitute “any member or employee of a relevant NHS body, or a relevant health service provider or member or employee of a relevant health service provider,”. (3) After subsection (2) insert— (2ZA) If (by virtue of subsection (2)(c)) regulations make provision as to matters on which relevant NHS bodies or relevant health service providers must consult the authority, the regulations may also make provision— (a) as to circumstances in which the authority may refer any of those matters to the Secretary of State, the regulator or the Board; (b) conferring powers on the Secretary of State to give directions to the Board in relation to a matter referred to the Secretary of State by virtue of regulations under paragraph (a); (c) conferring powers on the Board to give directions to a clinical commissioning group in relation to a matter so referred; (d) conferring powers on the Board to give directions to a clinical commissioning group in relation to a matter referred to the Board by virtue of regulations under paragraph (a); (e) conferring powers on the Secretary of State to give directions to the Board as to the exercise of its powers by virtue of regulations under paragraph (c) or (d). (2ZB) The powers that may be conferred under any of paragraphs (b) to (d) of subsection (2ZA) include powers to require the person to whom the direction is given— (a) to consult (or consult further) with the authority on the matter in question; (b) to determine the matter in a particular way; (c) to take, or not to take, any other steps in relation to the matter. (2ZC) If (by virtue of subsection (2ZA)(a)) regulations make provision for an authority to refer a matter to the Secretary of State, the regulator or the Board, the regulations may also provide for any provision of section 101 of the Local Government Act 1972— (a) not to apply in relation to the discharge by the authority of that function, or (b) to apply in relation to its discharge with such modifications as may be prescribed. (2ZD) Any functions conferred on a local authority by regulations under this section are not to be the responsibility of an executive of the authority under executive arrangements (within the meaning of Part 1A of the Local Government Act 2000). (2ZE) Regulations under this section may authorise a local authority to arrange for its functions under the regulations to be discharged by an overview and scrutiny committee of the authority. (4) For subsection (3) substitute— (3) For the purposes of subsections (2) and (2ZA)— “relevant NHS body”, in relation to an authority to which this section applies, means an NHS body, other than a Special Health Authority, which is prescribed for those purposes in relation to the authority; “relevant health service provider”, in relation to an authority to which this section applies, means a body or person which— provides services in pursuance of arrangements made— by the Board or a clinical commissioning group under section 3, 3A, 3B or 4 or Schedule 1, by a local authority for the purpose of the exercise of its functions under or by virtue of section 2B or 6C(1) or Schedule 1, or by the Board, a clinical commissioning group or a local authority by virtue of section 7A, and is prescribed, or is of a description prescribed, for those purposes in relation to the authority. (5) After subsection (3) insert— (3A) In subsection (2)(f) “member”— (a) in relation to a clinical commissioning group, includes a person who is not a member of the group but is a member of a committee or sub-committee of it; (b) in relation to a relevant health service provider which is a body corporate, includes a person who is not a member of the body but is a director of it; (c) in relation to an NHS trust, means a director of the trust; (d) in relation to an NHS foundation trust, means a director or governor of the trust. (3B) For the purposes of subsection (2)(f)— (a) a member of a body which is a member of a clinical commissioning group or relevant health service provider is to be treated as a member of the group or (as the case may be) relevant health service provider, and (b) an employee of a body which is a member of a clinical commissioning group or relevant health service provider is to be treated as an employee of the group or (as the case may be) relevant health service provider. (6) In subsection (5), for “this section, section 245 and section 246” substitute “this section and section 245”. (7) For the heading to section 244 substitute “Review and scrutiny by local authorities”. (8) For the title to Chapter 3 of Part 12 of the National Health Service Act 2006 substitute “Review and scrutiny by local authorities”. (9) Until the coming into force of paragraph 19 of Schedule 3 to the Localism Act 2011, section 21 of the Local Government Act 2000 (overview and scrutiny committees) is amended as follows— (a) in subsection (2)(f)— (i) omit “section 244 of the National Health Service Act 2006 or”, (ii) for “either of those sections” substitute “that section”, (iii) for “the Act concerned” substitute “that Act”, and (iv) for “the section concerned” substitute “that section”, (b) omit subsection (2A)(a) and (b), and (c) in subsection (4) at the end insert “or under section 244(2ZE) of the National Health Service Act 2006.” (10) In section 9F of the Local Government Act 2000 (overview and scrutiny committees) (as inserted by Schedule 2 to the Localism Act 2011)— (a) omit subsection (2)(f), (b) omit subsection (3)(a) and (b), and (c) in subsection (5) omit the word “or” following paragraph (a) and after paragraph (b) insert or (c) any functions which may be conferred on it by virtue of regulations under section 244(2ZE) of the National Health Service Act 2006 (local authority scrutiny of health matters).

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191 Amendments consequential on section 190

(1) Section 245 of the National Health Service Act 2006 (joint overview and scrutiny committees) is amended in accordance with subsections (2) to (4). (2) In subsection (1) for the words from “relevant functions” to the end of the subsection substitute “ “relevant functions” means functions under regulations under section 244(2) to (2ZC).” (3) In subsection (2)(c), in each of sub-paragraphs (i) and (ii), for “relevant functions of the committee” substitute “relevant functions exercisable by the committee”. (4) After subsection (4) insert— (4A) The regulations may provide that, where a relevant function in relation to a local authority is exercisable by a joint overview and scrutiny committee by virtue of arrangements under regulations under subsection (2)(a), the local authority may not discharge the function. (5) Omit subsections (5) and (9). (6) Section 246 of that Act (exempt information) is amended in accordance with subsections (7) to (9). (7) In subsection (1) for the words from “a meeting of” to the end of the subsection substitute “a meeting of a local authority or a committee of a local authority which is an item relating to functions of the authority under regulations under section 244(2) to (2ZC).” (8) In subsection (5) for “overview and scrutiny committees” substitute “local authorities”. (9) In the heading to section 246 for “Overview and scrutiny committees” substitute “Business relating to functions of local authorities by virtue of section 244”. (10) Section 247 of that Act (application to the City of London) is amended in accordance with subsections (11) to (13). (11) For subsection (1) substitute— (1) This section applies to a committee of the Common Council appointed to exercise functions that the Council has under regulations under section 244(2) to (2ZC). (12) In subsection (2)— (a) for the words from the beginning to “apply” substitute “Section 245(2)(b) and (c) applies”, and (b) omit the words from “and as if” to the end of the subsection. (13) In subsection (4)— (a) for “subsections (2) to (3A)” substitute “subsections (3) and (3A)”, and (b) for the words from “in the case of the committee” to the end of the subsection substitute “in the case of a committee to which this section applies, references to functions under regulations under section 244(2) to (2ZC) which are exercisable by the committee.” (14) Omit section 247A (application to local authorities without overview and scrutiny committees). (15) In consequence of the amendments made by subsections (2), (7), (11), (13)(a) and (14), paragraphs 75(2), 76, 77(2) and (5)(a) and 78 of Schedule 3 to the Localism Act 2011 are omitted.

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192 Joint strategic needs assessments

(1) Section 116 of the Local Government and Public Involvement in Health Act 2007 (health and social care: joint strategic needs assessments) is amended as follows. (2) In subsection (4), for paragraph (b) substitute— (b) each of its partner clinical commissioning groups, . (3) In subsection (6)— (a) for “for which a partner PCT acts” substitute “of a partner clinical commissioning group”, (b) for “the partner PCT” substitute “the partner clinical commissioning group”, and (c) after “a need” insert “or to be likely to be a need”. (4) In subsection (7)— (a) in paragraph (a)(ii) for “the partner PCT” substitute “the partner clinical commissioning group or the National Health Service Commissioning Board”, and (b) in paragraph (b)(i) for “the partner PCT” substitute “the partner clinical commissioning group or the National Health Service Commissioning Board”. (5) In subsection (8)— (a) for “each partner PCT” substitute “each of its partner clinical commissioning groups”, (b) after paragraph (b) (but before the “and” immediately following it) insert— (ba) involve the Local Healthwatch organisation for the area of the responsible local authority; (bb) involve the people who live or work in that area; , and (c) in paragraph (c) for “consult” substitute “involve”. (6) After subsection (8) insert— (8A) In preparing an assessment under this section, the responsible local authority or a partner clinical commissioning group may consult any person it thinks appropriate. (7) In subsection (9)— (a) for the definition of “partner PCT” substitute— “partner clinical commissioning group”, in relation to a responsible local authority, means any clinical commissioning group whose area coincides with or falls wholly or partly within the area of the authority; , and (b) in the definition of “relevant district council”, in paragraph (b)— (i) for “a partner PCT” substitute “a partner clinical commissioning group”, and (ii) for “the area for which the partner PCT acts” substitute “the area of the clinical commissioning group.

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193 Joint health and wellbeing strategies

After section 116 of the Local Government and Public Involvement in Health Act 2007 insert— Health and social care: joint health and wellbeing strategies 116A (1) This section applies where an assessment of relevant needs is prepared under section 116 by a responsible local authority and each of its partner clinical commissioning groups. (2) The responsible local authority and each of its partner clinical commissioning groups must prepare a strategy for meeting the needs included in the assessment by the exercise of functions of the authority, the National Health Service Commissioning Board or the clinical commissioning groups (“a joint health and wellbeing strategy”). (3) In preparing a strategy under this section, the responsible local authority and each of its partner clinical commissioning groups must, in particular, consider the extent to which the needs could be met more effectively by the making of arrangements under section 75 of the National Health Service Act 2006 (rather than in any other way). (4) In preparing a strategy under this section, the responsible local authority and each of its partner clinical commissioning groups must have regard to— (a) the mandate published by the Secretary of State under section 13A of the National Health Service Act 2006, and (b) any guidance issued by the Secretary of State. (5) In preparing a strategy under this section, the responsible local authority and each of its partner clinical commissioning groups must— (a) involve the Local Healthwatch organisation for the area of the responsible local authority, and (b) involve the people who live or work in that area. (6) The responsible local authority must publish each strategy prepared by it under this section. (7) The responsible local authority and each of its partner clinical commissioning groups may include in the strategy a statement of their views on how arrangements for the provision of health-related services in the area of the local authority could be more closely integrated with arrangements for the provision of health services and social care services in that area. (8) In this section and section 116B— (a) “partner clinical commissioning group”, in relation to a responsible local authority, has the same meaning as in section 116, and (b) “health services”, “health-related services” and “social care services” have the same meaning as in section 195 of the Health and Social Care Act 2012. Duty to have regard to assessments and strategies 116B (1) A responsible local authority and each of its partner clinical commissioning groups must, in exercising any functions, have regard to— (a) any assessment of relevant needs prepared by the responsible local authority and each of its partner clinical commissioning groups under section 116 which is relevant to the exercise of the functions, and (b) any joint health and wellbeing strategy prepared by them under section 116A which is so relevant. (2) The National Health Service Commissioning Board must, in exercising any functions in arranging for the provision of health services in relation to the area of a responsible local authority, have regard to— (a) any assessment of relevant needs prepared by the responsible local authority and each of its partner clinical commissioning groups under section 116 which is relevant to the exercise of the functions, and (b) any joint health and wellbeing strategy prepared by them under section 116A which is so relevant.

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194 Establishment of Health and Wellbeing Boards

(1) A local authority must establish a Health and Wellbeing Board for its area. (2) The Health and Wellbeing Board is to consist of— (a) subject to subsection (4), at least one councillor of the local authority, nominated in accordance with subsection (3), (b) the director of adult social services for the local authority, (c) the director of children's services for the local authority, (d) the director of public health for the local authority, (e) a representative of the Local Healthwatch organisation for the area of the local authority, (f) a representative of each relevant integrated care board, and (g) such other persons, or representatives of such other persons, as the local authority thinks appropriate. (3) A nomination for the purposes of subsection (2)(a) must be made— (a) in the case of a local authority operating executive arrangements, by the elected mayor or the executive leader of the local authority; (b) in any other case, by the local authority. (4) In the case of a local authority operating executive arrangements, the elected mayor or the executive leader of the local authority may, instead of or in addition to making a nomination under subsection (2)(a), be a member of the Board. (5) The Local Healthwatch organisation for the area of the local authority must appoint one person to represent it on the Health and Wellbeing Board. (6) A relevant integrated care board must appoint a person to represent it on the Health and Wellbeing Board. (7) A person may, with the agreement of the Health and Wellbeing Board, represent more than one integrated care board on the Board. (8) The Health and Wellbeing Board may appoint such additional persons to be members of the Board as it thinks appropriate. (9) At any time after a Health and Wellbeing Board is established, a local authority must, before appointing another person to be a member of the Board under subsection (2)(g), consult the Health and Wellbeing Board. (10) A relevant integrated care board must co-operate with the Health and Wellbeing Board in the exercise of the functions of the Board. (11) A Health and Wellbeing Board is a committee of the local authority which established it and, for the purposes of any enactment, is to be treated as if it were a committee appointed by that authority under section 102 of the Local Government Act 1972. (12) But regulations may provide that any enactment relating to a committee appointed under section 102 of that Act of 1972— (a) does not apply in relation to a Health and Wellbeing Board, or (b) applies in relation to it with such modifications as may be prescribed in the regulations. (13) In this section— (a) “enactment” includes an enactment contained in subordinate legislation (within the meaning of the Interpretation Act 1978); (b) “elected mayor”, “executive arrangements” and “executive leader”, in relation to a local authority, have the same meaning as in Part 1A of the Local Government Act 2000; (c) “relevant integrated care board”, in relation to a local authority, means any integrated care board whose area coincides with or falls wholly or partly within the area of the local authority. (14) In this section and in sections 195 to 199, “local authority” means— (a) a county council in England; (b) a district council in England, other than a council for a district in a county for which there is a county council; (c) a London borough council; (d) the Council of the Isles of Scilly; (e) the Common Council of the City of London in its capacity as a local authority.

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195 Duty to encourage integrated working

(1) A Health and Wellbeing Board must, for the purpose of advancing the health and wellbeing of the people in its area, encourage persons who arrange for the provision of any health or social care services in that area to work in an integrated manner. (2) A Health and Wellbeing Board must, in particular, provide such advice, assistance or other support as it thinks appropriate for the purpose of encouraging the making of arrangements under section 75 of the National Health Service Act 2006 in connection with the provision of such services. (3) A Health and Wellbeing Board may encourage persons who arrange for the provision of any health-related services in its area to work closely with the Health and Wellbeing Board. (4) A Health and Wellbeing Board may encourage persons who arrange for the provision of any health or social care services in its area and persons who arrange for the provision of any health-related services in its area to work closely together. (5) Any reference in this section to the area of a Health and Wellbeing Board is a reference to the area of the local authority that established it. (6) In this section— “the health service” has the same meaning as in the National Health Service Act 2006; “health services” means services that are provided as part of the health service in England; “health-related services” means services that may have an effect on the health of individuals but are not health services or social care services; “social care services” means services that are provided in pursuance of the social services functions of local authorities (within the meaning of the Local Authority Social Services Act 1970).

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196 Other functions of Health and Wellbeing Boards

(1) The functions of a local authority and its partner integrated care boards under sections 116 and 116A of the Local Government and Public Involvement in Health Act 2007 (“the 2007 Act”) are to be exercised by the Health and Wellbeing Board established by the local authority. (2) A local authority may arrange for a Health and Wellbeing Board established by it to exercise any functions that are exercisable by the authority. (3) A Health and Wellbeing Board may give the local authority that established it its opinion on whether the authority is discharging its duty under section 116B of the 2007 Act. (4) The power conferred by subsection (2) does not apply to the functions of the authority by virtue of section 244 of the National Health Service Act 2006.

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197 Participation of NHS England

(1) Subsection (2) applies where a Health and Wellbeing Board is (by virtue of section 196(1)) preparing— (a) an assessment of relevant needs under section 116 of the Local Government and Public Involvement in Health Act 2007, or (b) a strategy under section 116A of that Act. (2) NHS England must appoint a representative to join the Health and Wellbeing Board for the purpose of participating in its preparation of the assessment or (as the case may be) the strategy. (3) Subsection (4) applies where a Health and Wellbeing Board is considering a matter that relates to the exercise or proposed exercise of the commissioning functions of NHS England in relation to the area of the authority that established the Health and Wellbeing Board. (4) If the Health and Wellbeing Board so requests, NHS England must appoint a representative to join the Health and Wellbeing Board for the purpose of participating in its consideration of the matter. (5) The person appointed under subsection (2) or (4) may, with the agreement of the Health and Wellbeing Board, be a person who is not a member or employee of NHS England. (6) In this section— “commissioning functions”, in relation to NHS England, means the functions of NHS England in arranging for the provision of services as part of the health service in England (including any functions of NHS England in arranging for the provision of such services in the exercise of functions of another person); “the health service” has the same meaning as in the National Health Service Act 2006.

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198 Discharge of functions of Health and Wellbeing Boards

Two or more Health and Wellbeing Boards may make arrangements for— (a) any of their functions to be exercisable jointly; (b) any of their functions to be exercisable by a joint sub-committee of the Boards; (c) a joint sub-committee of the Boards to advise them on any matter related to the exercise of their functions.

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199 Supply of information to Health and Wellbeing Boards

(1) A Health and Wellbeing Board may, for the purpose of enabling or assisting it to perform its functions, request any of the following persons to supply it with such information as may be specified in the request— (a) the local authority that established the Health and Wellbeing Board; (b) any person who is represented on the Health and Wellbeing Board by virtue of section 194(2)(e) to (g) or (8); (c) any person who is a member of a Health and Wellbeing Board by virtue of section 194(2)(g) or (8) but is not acting as a representative. (2) A person who is requested to supply information under subsection (1) must comply with the request. (3) Information supplied to a Health and Wellbeing Board under this section may be used by the Board only for the purpose of enabling or assisting it to perform its functions. (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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200 Care Trusts

(1) In section 77 of the National Health Service Act 2006 (Care Trusts), in subsection (1)— (a) in paragraph (a), after “an NHS trust” insert “or a clinical commissioning group or an NHS foundation trust”, (b) omit the “and” preceding paragraph (b), (c) in paragraph (b), for “the Secretary of State considers” substitute “the body and the local authority concerned consider”, (d) in that paragraph, for “a local authority” substitute “the local authority”, (e) after paragraph (b), insert , and (c) the requirements in subsection (1A) are satisfied, , and (f) for “the Secretary of State may” substitute “the body and the local authority may jointly”. (2) After that subsection insert— (1A) The body and the local authority must, before designating the body as a Care Trust under this section— (a) publish in the prescribed form and manner— (i) the reasons why they consider that the proposed designation would be likely to have the result mentioned in subsection (1)(b), and (ii) information about the proposed governance arrangements of the Care Trust, and (b) consult on the proposed designation in accordance with regulations. (1B) Where a body has been designated as a Care Trust under this section, the body and the local authority must notify prescribed persons of the designation. (3) Omit subsections (2) and (3) of that section. (4) In subsection (4) of that section— (a) for “The direction is that while the body is designated it” substitute “A body designated as a Care Trust under this section”, (b) for “specified in the direction” substitute “agreed”, (c) for “so specified” substitute “so agreed”, and (d) at the end insert “; and “agreed” means agreed by the body and the local authority”. (5) For subsection (5) of that section substitute— (5) Where a body is designated as a Care Trust under this section, the body and the local authority may jointly revoke that designation. (5A) Before revoking a designation as a Care Trust under this section, the body and the local authority must consult on the proposed revocation of the designation in accordance with regulations. (5B) Where the designation of a body as a Care Trust under this section has been revoked, the body and the local authority must notify prescribed persons of the revocation. (6) After subsection (5B) of that section insert— (5C) Regulations under subsection (1A)(b) or (5A) may include provision requiring a body and a local authority to publish prescribed information following a consultation. (7) After subsection (5C) of that section insert— (5D) Where a duty is imposed by or by virtue of this section on a body and a local authority, they may make arrangements for the function to be discharged— (a) by both of them acting jointly, (b) by each of them acting separately, or (c) by one of them acting on behalf of both of them. (8) Omit subsection (6) of that section. (9) Omit subsection (7) of that section. (10) In subsection (9) of that section— (a) omit paragraph (a), (b) omit paragraph (b), (c) omit paragraph (c), and (d) in paragraph (d), for “subsection (3)” substitute “subsection (4)”. (11) In subsection (10) of that section, after “NHS trust” insert “or clinical commissioning group or NHS foundation trust”. (12) In subsection (12) of that section, in the definition of “NHS functions” after “NHS trust” insert “or clinical commissioning group or NHS foundation trust”. (13) Subsections (1)(e) and (2) do not apply in relation to a Primary Care Trust or an NHS trust which has satisfied any requirement in relation to consultation imposed by virtue of subsection (9) of section 77 of the National Health Service Act 2006 before the commencement of those subsections. (14) A Primary Care Trust or NHS trust which, after the commencement of subsection (5), has its designation as a Care Trust revoked must notify the Secretary of State of that revocation. (15) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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201 Disclosure of reports etc. by the Health Service Commissioner

In section 14 of the Health Service Commissioners Act 1993 (reports etc. by the Commissioner), after subsection (2H) insert— (2I) Where the Commissioner is required by this section to send a report or statement of reasons to certain persons, the Commissioner may send the report or statement to such other persons as the Commissioner thinks appropriate.

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202 Medical services: minor amendments

(1) In section 86 of the National Health Service Act 2006 (persons eligible to enter into general medical services contracts), in subsection (3), in paragraphs (a) and (b), before “legally and beneficially” insert “both”. (2) In section 89 of that Act (general medical services contracts: required terms), in subsection (3), for “may make” substitute “must make”. (3) In section 93 of that Act (persons with whom arrangements may be made under section 92 of that Act for the provision of primary medical services), in the definition of “qualifying body” in subsection (3), before “legally and beneficially” insert “both”.

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203 Persons eligible to enter into general dental services contracts

(1) Section 102 of the National Health Service Act 2006 (persons eligible to enter into general dental services contracts) is amended as follows. (2) In subsection (1), in paragraph (c), for “individuals” substitute “persons”. (3) After that subsection insert , (d) a limited liability partnership where the conditions in subsection (2A) are satisfied. (4) In subsection (2), for paragraph (b) substitute— (b) subsection (3A) or (3B) applies. (5) After that subsection insert— (2A) The conditions referred to in subsection (1)(d) are that— (a) at least one member is a dental practitioner, and (b) subsection (3A) or (3B) applies. (6) After subsection (3) insert— (3A) This subsection applies if a partner or member who is a dental practitioner, or who falls within subsection (3C), has the power to secure that the partnership's affairs are conducted in accordance with that partner's or member's wishes. (3B) This subsection applies if, in any combination of partners or members who, acting together, have the power (or who, if they were to act together, would have the power) to secure that the partnership's affairs are conducted in accordance with their wishes, at least one of them is a dental practitioner or a person who falls within subsection (3C). (7) After subsection (3B) insert— (3C) A person falls within this subsection if the person is— (a) an NHS employee, (b) a section 92 employee, section 107 employee, section 50 employee, section 64 employee, section 17C employee or Article 15B employee, (c) a health care professional who is engaged in the provision of services under this Act or the National Health Service (Wales) Act 2006, or (d) an individual falling within section 108(1)(d).

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204 Arrangements under section 107 of the National Health Service Act 2006

(1) Section 108 of the National Health Service Act 2006 (persons with whom section 107 arrangements may be made) is amended as follows. (2) In subsection (1)— (a) before “make an agreement” insert “, subject to such conditions as may be prescribed,”, (b) in each of paragraphs (b) and (c), omit “who meets the prescribed conditions”, (c) for paragraph (f) substitute— (f) a dental corporation, , and (d) after paragraph (f) insert— (fa) a company limited by shares where the conditions in subsection (1A) are satisfied, (fb) a limited liability partnership where subsection (1B) or (1C) applies, . (3) After subsection (1) insert— (1A) The conditions referred to in subsection (1)(fa) are that— (a) every person who owns a share in the company owns it both legally and beneficially, and (b) it is not possible for two or more members of the company who are not persons who fall within subsection (1)(a) to (e) to hold the majority of the voting rights conferred by shares in the company on any matter on which members have such rights. (4) After subsection (1A) insert— (1B) This subsection applies if a member of the partnership who falls within subsection (1)(a) to (e) has the power to secure that the partnership's affairs are conducted in accordance with that member's wishes. (1C) This subsection applies if, in any combination of members of the partnership who, acting together, have the power (or who, if they were to act together, would have the power) to secure that the partnership's affairs are conducted in accordance with their wishes, at least one of them falls within subsection (1)(a) to (e). (5) Omit subsection (2). (6) In subsection (3)— (a) at the appropriate place insert— “dental corporation”” means a body corporate which is carrying on the business of dentistry in accordance with the Dentists Act 1984, , and (b) omit the definition of “qualifying body”.

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205 Payments in respect of costs of sight tests

(1) Section 180 of the National Health Service Act 2006 (payments in respect of costs of optical appliances) is amended as follows. (2) In subsection (3), before paragraph (a) insert— (za) provide for payments to be made by the Board to meet, or to contribute towards, any cost accepted by the Board as having been incurred for the cost of a sight test of a person who— (i) falls within section 115(2)(c), but (ii) at the time of the test has not been issued with a notice by the Secretary of State of entitlement to receive assistance in respect of the cost of a sight test (or has been issued with such a notice but has yet to receive it), . (3) After that subsection insert— (3A) The amount of a payment by virtue of subsection (3)(za) or (a) must not exceed the amount for the time being set in regulations under this section as the applicable fee in the case in question for the provision of the sight-testing service under section 115(1)(a).

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