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NHS Foundation Trusts

House of Lords written question – answered on 11th February 2003.

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Photo of Baroness Noakes Baroness Noakes Conservative

asked Her Majesty's Government:

Further to the Written Answer by Lord Hunt of Kings Heath on 15 January (WA 45), whether the existence of a private finance initiative contract has any bearing on the prudential borrowing limit to be set for National Health Service foundation trusts; and, if so, how it will be taken into account.

Photo of Lord Hunt of Kings Heath Lord Hunt of Kings Heath Parliamentary Under-Secretary, Department of Health, Parliamentary Under-Secretary (Department of Health)

Any private finance initiative charges paid by NHS foundation trusts will reduce their ability to service borrowing. Each NHS foundation trust will be able to borrow up to a prudential limit assessed by the independent regulator based on the individual NHS foundation trust's ability to service the borrowing.

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