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NHS Foundation Trusts: Reimbursement

House of Lords written question – answered on 17th November 2003.

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Photo of Earl Howe Earl Howe Conservative

asked Her Majesty's Government:

Whether they believe that the long-term contracts to be entered into by National Health Service foundation trusts are capable of providing an adequate level of reimbursement to those trusts which have a higher than average proportion of complex treatments and procedures.

Photo of Lord Warner Lord Warner Parliamentary Under-Secretary, Department of Health, Parliamentary Under-Secretary (Department of Health)

The contracts for National Health Service foundation trusts will be based on the national tariff, which aims to reflect the higher costs associated with a more complex case mix and should therefore be capable of providing an adequate level of reimbursement to those trusts. However, first-wave NHS foundation trusts can choose to have their baseline income guaranteed from 2004–05 to the end of the tariff transition period in 2007–08. In the mean time, in developing the tariff we are considering a policy of outlier payments for complex patients with health resource groups.

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