Clause 13 - Public dividend capital
Health and Social Care (Community Health and Standards) Bill
5:15 pm
Sir George Young (North West Hampshire, Conservative)
I have a small query about subsection (5), which obliges the Secretary of State to consult the regulator before he uses his powers under subsection (3). It might seem innocuous, but on page 14 of the explanatory notes we see that subsection (5)
''requires the Secretary of State to consult the Independent Regulator before deciding the terms on which any public dividend capital of an NHS foundation trust is to be issued.''
The implication is that the terms on which the capital might be issued could differ between an NHS foundation trust and an ordinary trust. Does the Secretary of State envisage different terms being attached to the public dividend capital for an NHS foundation trust and an ordinary trust? Those terms might be more severe or more lenient for a foundation trust.