Legislation – Health and Social Care Act 2012

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Introduction

PART 1
The health service in England

1 Secretary of State’s duty to promote comprehensive health service

2 The Secretary of State’s duty as to improvement in quality of services

3 The Secretary of State’s duty as to the NHS Constitution

4 The Secretary of State’s duty as to reducing inequalities

5 The Secretary of State’s duty as to promoting autonomy

6 The Secretary of State’s duty as to research

7 The Secretary of State’s duty as to education and training

8 Secretary of State’s duty as to reporting on and reviewing treatment of providers

9 The NHS Commissioning Board

10 Clinical commissioning groups

11 The Secretary of State’s duty as to protection of public health

12 Duties as to improvement of public health

13 Duties of clinical commissioning groups as to commissioning certain health services

14 Power of clinical commissioning groups as to commissioning certain health services

15 Power to require Board to commission certain health services

16 Secure psychiatric services

17 Other services etc. provided as part of the health service

18 Regulations as to the exercise by local authorities of certain public health functions

19 Regulations relating to EU obligations

20 Regulations as to the exercise of functions by the Board or clinical commissioning groups

21 Functions of Special Health Authorities

22 Exercise of public health functions of the Secretary of State

23 The NHS Commissioning Board: further provision

24 Financial arrangements for the Board

25 Clinical commissioning groups: establishment etc.

26 Clinical commissioning groups: general duties etc.

27 Financial arrangements for clinical commissioning groups

28 Requirement for primary medical services provider to belong to clinical commissioning group

29 Other health service functions of local authorities under the 2006 Act

30 Appointment of directors of public health

31 Exercise of public health functions of local authorities

32 Complaints about exercise of public health functions by local authorities

33 Abolition of Strategic Health Authorities

34 Abolition of Primary Care Trusts

35 Fluoridation of water supplies

36 Procedural requirements in connection with fluoridation of water supplies

37 Fluoridation of water supplies: transitional provision

38 Approval functions

39 Discharge of patients

40 After-care

41 Provision of pocket money for in-patients

42 Transfers to and from special hospitals

43 Independent mental health advocates

44 Patients’ correspondence

45 Notification of hospitals having arrangements for special cases

46 Role of the Board and clinical commissioning groups in respect of emergencies

47 Secretary of State’s emergency powers

48 New Special Health Authorities

49 Primary care services: directions as to exercise of functions

50 Charges in respect of certain public health functions

51 Pharmaceutical services expenditure

52 Secretary of State’s duty to keep health service functions under review

53 Secretary of State’s annual report

54 Certification of death

55 Amendments related to Part 1 and transitional provision

PART 2
Further provision about public health

56 Abolition of Health Protection Agency

57 Functions in relation to biological substances

58 Radiation protection functions

59 Repeal of AIDS (Control) Act 1987

60 Co-operation with bodies exercising functions in relation to public health

PART 3
Regulation of health and adult social care services

CHAPTER 1 Monitor

61 Monitor

62 General duties

63 Secretary of State’s guidance on duty under section 62(9)

64 General duties: supplementary

65 Power to give Monitor functions relating to adult social care services

66 Matters to have regard to in exercise of functions

67 Conflicts between functions

68 Duty to review regulatory burdens

69 Duty to carry out impact assessments

70 Information

71 Failure to perform functions

CHAPTER 2 Competition

72 Functions under the Competition Act 1998

73 Functions under Part 4 of the Enterprise Act 2002

74 Competition functions: supplementary

75 Requirements as to procurement, patient choice and competition

76 Requirements under section 75: investigations, declarations and directions

77 Requirements under section 75: undertakings

78 Guidance

79 Mergers involving NHS foundation trusts

80 Co-operation with the Office of Fair Trading

CHAPTER 3 Licensing

Licensing requirement

81 Requirement for health service providers to be licensed

82 Deemed breach of requirement to be licensed

83 Exemption regulations

84 Exemption regulations: supplementary

Licensing procedure

85 Application for licence

86 Licensing criteria

87 Grant or refusal of licence

88 Application and grant: NHS foundation trusts

89 Revocation of licence

90 Right to make representations

91 Notice of decisions

92 Appeals to the Tribunal

93 Register of licence holders

Licence conditions

94 Standard conditions

95 Special conditions

96 Limits on Monitor’s functions to set or modify licence conditions

97 Conditions: supplementary

98 Conditions relating to the continuation of the provision of services etc.

99 Notification of commissioners where continuation of services at risk

100 Modification of standard conditions

101 Modification references to the Competition Commission

102 Modification of conditions by order under other enactments

103 Standard condition as to transparency of certain criteria

Enforcement

104 Power to require documents and information

105 Discretionary requirements

106 Enforcement undertakings

107 Further provision about enforcement powers

108 Guidance as to use of enforcement powers

109 Publication of enforcement action

110 Notification of enforcement action

Transitional provision

111 Imposition of licence conditions on NHS foundation trusts

112 Duration of transitional period

113 Orders under section 112: criteria for deciding applicable trusts

114 Repeal of sections 112 and 113

CHAPTER 4 Pricing

115 Price payable by commissioners for NHS services

116 The national tariff

117 The national tariff: further provision

118 Consultation on proposals for the national tariff

119 Consultation: further provision

120 Responses to consultation

121 Determination on reference under section 120

122 Changes following determination on reference under section 120

123 Power to veto changes proposed under section 122

124 Local modifications of prices: agreements

125 Local modifications of prices: applications

126 Applications under section 125: notification of commissioners

127 Correction of mistakes

CHAPTER 5 Health special administration

128 Health special administration orders

129 Objective of a health special administration

130 Health special administration regulations

131 Transfer schemes

132 Indemnities

133 Modification of this Chapter under Enterprise Act 2002

CHAPTER 6 Financial assistance in special administration cases

Establishment of mechanisms

134 Duty to establish mechanisms for providing financial assistance

135 Power to establish fund

Applications for financial assistance

136 Applications

137 Grants and loans

Charges on commissioners

138 Power to impose charges on commissioners

Levy on providers

139 Imposition of levy

140 Power of Secretary of State to set limit on levy and charges

141 Consultation

142 Responses to consultation

143 Amount payable

Supplementary

144 Investment principles and reviews

145 Borrowing

146 Shortfall or excess of available funds, etc.

CHAPTER 7 Miscellaneous and general

147 Secretary of State’s duty as respects variation in provision of health services

148 Service of documents

149 Electronic communications

150 Interpretation, transitional provision and consequential amendments

PART 4
NHS foundation trusts & NHS trusts

151 Governors

152 Directors

153 Members

154 Accounts: initial arrangements

155 Accounts: variations to initial arrangements

156 Annual report and forward plan

157 Meetings

158 Voting

159 Authorisation

160 Bodies which may apply for foundation trust status

161 Amendment of constitution

162 Panel for advising governors

163 Financial powers etc.

164 Goods and services

165 Private health care

166 Information

167 Significant transactions

168 Mergers

169 Acquisitions

170 Separations

171 Dissolution

172 Supplementary

173 Repeal of de-authorisation provisions

174 Trust special administrators

175 Objective of trust special administration

176 Procedure etc.

177 Action following final report

178 Sections 174 to 177: supplementary

179 Abolition of NHS trusts in England

180 Repeal of provisions on authorisation for NHS foundation trusts

PART 5
Public involvement and local government

CHAPTER 1 Public involvement

Healthwatch England

181 Healthwatch England

Local Healthwatch organisations

182 Activities relating to local care services

183 Local authority arrangements

184 Local arrangements: power to make further provision

185 Independent advocacy services

186 Requests, rights of entry and referrals

187 Annual reports

188 Transitional arrangements

189 Consequential provision

CHAPTER 2 Local government

Scrutiny functions of local authorities

190 Scrutiny functions of local authorities

191 Amendments consequential on section 190

Joint strategic needs assessments and strategies

192 Joint strategic needs assessments

193 Joint health and wellbeing strategies

Health and Wellbeing Boards: establishment

194 Establishment of Health and Wellbeing Boards

Health and Wellbeing Boards: functions

195 Duty to encourage integrated working

196 Other functions of Health and Wellbeing Boards

Health and Wellbeing Boards: supplementary

197 Participation of NHS Commissioning Board

198 Discharge of functions of Health and Wellbeing Boards

199 Supply of information to Health and Wellbeing Boards

Care Trusts

200 Care Trusts

CHAPTER 3 The Health Service Commissioner for England

201 Disclosure of reports etc. by the Health Service Commissioner

PART 6
Primary care services

202 Medical services: minor amendments

203 Persons eligible to enter into general dental services contracts

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

205 Payments in respect of costs of sight tests

206 Pharmaceutical needs assessments

207 Control of entry on pharmaceutical lists

208 Lists of performers of pharmaceutical services and assistants etc.

PART 7
Regulation of health and social care workers

209 Power to regulate social workers etc. in England

210 Training etc. of approved mental health professionals in England

211 Orders regulating social care workers in England: further provision

212 Abolition of the General Social Care Council

213 Regulation of social workers in England

214 The Health and Care Professions Council

215 Functions of the Council in relation to social work in England

216 Appeals in cases involving social workers in England

217 Approval of courses for approved mental health professionals

218 Exercise of function of approving courses, etc.

219 Arrangements with other health or social care regulators

220 References in enactments to registered health professionals, etc.

221 Functions of the Secretary of State in relation to social care workers

222 The Professional Standards Authority for Health and Social Care

223 Functions of the Authority

224 Funding of the Authority

225 Power to advise regulatory bodies, investigate complaints, etc.

226 Accountability and governance

227 Appointments to regulatory bodies

228 Establishment of voluntary registers

229 Accreditation of voluntary registers

230 Consequential provisions and savings, etc.

231 Abolition of the Office of the Health Professions Adjudicator

PART 8
The National Institute for Health and Care Excellence

232 The National Institute for Health and Care Excellence

233 General duties

234 Quality standards

235 Supply of quality standards to other persons

236 Advice or guidance to the Secretary of State or the Board

237 Advice, guidance, information and recommendations

238 NICE recommendations: appeals

239 Training

240 Advisory services

241 Commissioning guidance

242 NICE’s charter

243 Additional functions

244 Arrangements with other bodies

245 Failure by NICE to discharge any of its functions

246 Protection from personal liability

247 Interpretation of this Part

248 Dissolution of predecessor body

249 Consequential and transitional provision

PART 9
Health and adult social care services: information

CHAPTER 1 Information standards

250 Powers to publish information standards

251 Information standards: supplementary

CHAPTER 2 The Health and Social Care Information Centre

Establishment and general duties

252 The Health and Social Care Information Centre

253 General duties

Functions: information systems

254 Powers to direct Information Centre to establish information systems

255 Powers to request Information Centre to establish information systems

256 Requests for collection under section 255: confidential information

257 Requests under section 255: supplementary

258 Information systems: supplementary

259 Powers to require and request provision of information

260 Publication of information

261 Other dissemination of information

262 Other dissemination: directions and requests under sections 254 and 255

263 Code of practice on confidential information

264 Information Register

265 Advice or guidance

Functions: quality of health and social care information

266 Assessment of quality of information

267 Power to establish accreditation scheme

Functions: other

268 Database of quality indicators

269 Power to confer functions in relation to identification of GPs

270 Additional functions

271 Arrangements with other bodies

272 Failure by Information Centre to discharge any of its functions

273 Protection from personal liability

General and supplementary

274 Powers of Secretary of State or Board to give directions

275 Interpretation of this Chapter

276 Dissolution of predecessor body

277 Consequential provision

PART 10
Abolition of certain public bodies etc

278 The Alcohol Education and Research Council

279 The Appointments Commission

280 The National Information Governance Board for Health and Social Care

281 The National Patient Safety Agency

282 The NHS Institute for Innovation and Improvement

283 Standing advisory committees

PART 11
Miscellaneous

284 Special notices of births and deaths

285 Provision of information by Registrar General

286 Provision of information by Registrar General: Wales

287 Provision of statistical information by Statistics Board

288 Monitor: duty to co-operate with Care Quality Commission

289 Care Quality Commission: duty to co-operate with Monitor

290 Other duties to co-operate

291 Breaches of duties to co-operate

292 Requirement for Secretary of State to approve remuneration policy etc.

293 Conduct of reviews etc.

294 Failure to discharge functions

295 Arrangements between the Board and Northern Ireland Ministers

296 Arrangements between the Board and Scottish Ministers etc.

297 Relationships between the health services

298 Advice or assistance to public authorities in the Isle of Man or Channel Islands

299 Certificate of consent of community patients to treatment

300 Transfer schemes

301 Transfer schemes: supplemental

302 Subsequent property transfer schemes

PART 12
Final provisions

303 Power to make consequential provision

304 Regulations, orders and directions

305 Financial provision

306 Commencement

307 Commencement: consultation with Scottish Ministers

308 Extent

309 Short title

SCHEDULES

SCHEDULE 1 The National Health Service Commissioning Board

SCHEDULE 2 Clinical commissioning groups

SCHEDULE 3 Pharmaceutical remuneration

SCHEDULE 4 Amendments of the National Health Service Act 2006

SCHEDULE 5 Part 1: amendments of other enactments

SCHEDULE 6 Part 1: transitional provision

SCHEDULE 7 Abolition of the Health Protection Agency: consequential amendments

SCHEDULE 8 Monitor

SCHEDULE 9 Requirements under section 77: undertakings

SCHEDULE 10 References by Monitor to the Competition Commission

SCHEDULE 11 Further provision about Monitor’s enforcement powers

SCHEDULE 12 Procedure on references under section 120

SCHEDULE 13 Part 3: minor and consequential amendments

SCHEDULE 14 Abolition of NHS trusts in England: consequential amendments

SCHEDULE 15 Part 7: consequential amendments and savings

SCHEDULE 16 The National Institute for Health and Care Excellence

SCHEDULE 17 Part 8: consequential amendments

SCHEDULE 18 The Health and Social Care Information Centre

SCHEDULE 19 Part 9: consequential amendments

SCHEDULE 20 Part 10: consequential amendments and savings

SCHEDULE 21 Amendments relating to relationships between the health services

SCHEDULE 22 Property transfer schemes

SCHEDULE 23 Staff transfer schemes

PART 3Regulation of health and adult social care services

CHAPTER 3Licensing

Licence conditions

94Standard conditions

(1)

Monitor must determine and publish the conditions to be included in each licence under this Chapter (referred to in this Chapter as “the standard conditions”).

(2)

Different standard conditions may be determined for different descriptions of licences.

(3)

For the purposes of subsection (2) a description of licences may, in particular, be framed wholly or partly by reference to—

(a)

the nature of the licence holder,

(b)

the services provided under the licence, or

(c)

the areas in which those services are provided.

(4)

But different standard conditions must not be determined for different descriptions of licences to the extent that the description is framed by reference to the nature of the licence holder unless Monitor considers that at least one of requirements 1 and 2 is met.

(5)

Requirement 1 is that—

(a)

the standard conditions in question relate to the governance of licence holders, and

(b)

it is necessary to determine different standard conditions in order to take account of differences in the status of different licence holders.

(6)

Requirement 2 is that it is necessary to determine different standard conditions for the purpose of ensuring that the burdens to which different licence holders are subject as a result of holding a licence are broadly consistent.

(7)

Before determining the first set of the standard conditions Monitor must consult the persons mentioned in subsection (8) on the conditions it is proposing to determine (“the draft standard conditions”).

(8)

Those persons are—

(a)

the Secretary of State,

(b)

the NHS Commissioning Board Authority,

(c)

every Primary Care Trust,

(d)

the Care Quality Commission, and

(e)

such other persons as are likely to be affected by the inclusion of the conditions in licences under this Chapter as Monitor considers appropriate.

(9)

Monitor must also publish the draft standard conditions.

(10)

The Secretary of State may direct Monitor not to determine that the standard conditions will be the draft standard conditions.

(11)

If, at the time Monitor discharges the function under subsection (7), the day specified by the Secretary of State for the purposes of section 14A of the National Health Service Act 2006 has passed or section 9 or 181 has come into force—

(a)

in the case of section 14A of the National Health Service Act 2006, the reference in subsection (8)(c) to every Primary Care Trust is to be read as a reference to every clinical commissioning group;

(b)

in the case of section 9, the reference in subsection (8)(b) to the NHS Commissioning Board Authority is to be read as a reference to the National Health Service Commissioning Board;

(c)

in the case of section 181, the reference in subsection (8)(d) to the Care Quality Commission is to be read as including a reference to its Healthwatch England committee.

95Special conditions

(1)

Monitor may—

(a)

with the consent of the applicant, include a special condition in a licence under this Chapter, and

(b)

with the consent of the licence holder, modify a special condition of a licence.

(2)

Before including a special condition or making such modifications Monitor must give notice to—

(a)

the applicant or the licence holder (as the case may be),

(b)

the Secretary of State,

(c)

the National Health Service Commissioning Board,

(d)

such clinical commissioning groups as are likely to be affected by the proposed inclusion or modifications, and

(e)

the Care Quality Commission and its Healthwatch England committee.

(3)

Monitor must also publish the notice under subsection (2).

(4)

The notice under subsection (2) must—

(a)

state that Monitor proposes to include the special condition or make the modifications and set out its or their proposed effect,

(b)

set out Monitor’s reasons for the proposal, and

(c)

specify the period (“the notice period”) within which representations with respect to the proposal may be made to Monitor.

(5)

The notice period must be not less than 28 days beginning with the day after that on which the notice is published under subsection (3).

(6)

In this section, a reference to modifying a condition includes a reference to amending, omitting or adding a condition.

96Limits on Monitor’s functions to set or modify licence conditions

(1)

This section applies to the following functions of Monitor—

(a)

the duty to determine the standard conditions to be included in each licence under this Chapter or in licences of a particular description (see section 94);

(b)

the powers to include a special condition in a licence and to modify such a condition (see section 95);

(c)

the power to modify the standard conditions applicable to all licences, or to licences of a particular description (see section 100).

(2)

Monitor may only exercise a function to which this section applies—

(a)

for the purpose of regulating the price payable for the provision of health care services for the purposes of the NHS;

(b)

for the purpose of preventing anti-competitive behaviour in the provision of health care services for those purposes which is against the interests of people who use such services;

(c)

for the purpose of protecting and promoting the right of patients to make choices with respect to treatment or other health care services provided for the purposes of the NHS;

(d)

for the purpose of ensuring the continued provision of health care services for the purposes of the NHS;

(e)

for the purpose of enabling health care services provided for the purposes of the NHS to be provided in an integrated way where Monitor considers that this would achieve one or more of the objectives referred to in subsection (3);

(f)

for the purpose of enabling the provision of health care services provided for the purposes of the NHS to be integrated with the provision of health-related services or social care services where Monitor considers that this would achieve one or more of the objectives referred to in subsection (3);

(g)

for the purpose of enabling co-operation between providers of health care services for the purposes of the NHS where Monitor considers that this would achieve one or more of the objectives referred to in subsection (3);

(h)

for purposes connected with the governance of persons providing health care services for the purposes of the NHS;

(i)

for purposes connected with Monitor’s functions in relation to the register of NHS foundation trusts required to be maintained under section 39 of the National Health Service Act 2006;

(j)

for purposes connected with the operation of the licensing regime established by this Chapter;

(k)

for such purposes as may be prescribed for the purpose of enabling Monitor to discharge its duties under section 62.

(3)

The objectives referred to in subsection (2)(e), (f) and (g) are—

(a)

improving the quality of health care services provided for the purposes of the NHS (including the outcomes that are achieved from their provision) or the efficiency of their provision,

(b)

reducing inequalities between persons with respect to their ability to access those services, and

(c)

reducing inequalities between persons with respect to the outcomes achieved for them by the provision of those services.

(4)

Monitor must not exercise a function to which this section applies in a way which it considers would result in a particular licence holder or holders of licences of a particular description being put at an unfair advantage or disadvantage in competing with others in the provision of health care services for the purposes of the NHS as a result of—

(a)

being in the public or (as the case may be) private sector, or

(b)

some other aspect of its or their status.

(5)

In subsection (2)(f), “health-related services” and “social care services” each have the meaning given in section 62(11).

97Conditions: supplementary

(1)

The standard or special conditions of a licence under this Chapter may, in particular, include conditions—

(a)

requiring the licence holder to pay to Monitor such fees of such amounts as Monitor may determine in respect of the exercise by Monitor of its functions under this Chapter,

(b)

requiring the licence holder to comply with any requirement imposed on it by Monitor under Chapter 6 (financial assistance in special administration cases),

(c)

requiring the licence holder to do, or not to do, specified things or things of a specified description (or to do, or not to do, any such things in a specified manner) within such period as may be specified in order to prevent anti-competitive behaviour in the provision of health care services for the purposes of the NHS which is against the interests of people who use such services,

(d)

requiring the licence holder to give notice to the Office of Fair Trading before entering into an arrangement under which, or a transaction in consequence of which, the licence holder’s activities, and the activities of one or more other businesses, cease to be distinct activities,

(e)

requiring the licence holder to provide Monitor with such information as Monitor considers necessary for the purposes of the exercise of its functions under this Part,

(f)

requiring the licence holder to publish such information as may be specified or as Monitor may direct,

(g)

requiring the licence holder to charge for the provision of health care services for the purposes of the NHS in accordance with the national tariff (see section 116),

(h)

requiring the licence holder to comply with other rules published by Monitor about the charging for the provision of health care services for the purposes of the NHS,

(i)

requiring the licence holder—

(i)

to do, or not to do, specified things or things of a specified description (or to do, or not to do, any such things in a specified manner) within such period as may be specified in order to ensure the continued provision of one or more of the health care services that the licence holder provides for the purposes of the NHS,

(ii)

to give Monitor notice (of such period as may be determined by or under the licence) of the licence holder’s intention to cease providing a health care service for the purposes of the NHS, and

(iii)

if Monitor so directs, to continue providing that service for a period determined by Monitor,

(j)

about the use or disposal by the licence holder of assets used in the provision of health care services for the purposes of the NHS in order to ensure the continued provision of one or more of the health care services that the licence holder provides for those purposes, and

(k)

about the making by the licence holder of investment in relation to the provision of health care services for the purposes of the NHS in order to ensure the continued provision of one or more of the health care services that the licence holder provides for those purposes.

(2)

In subsection (1) “specified” means specified in a condition.

(3)

Monitor must not include a condition under subsection (1)(c) that requires the licence holder (A) to provide another licence holder with access to facilities of A.

(4)

A condition under subsection (1)(d)

(a)

may be included only in the licence of an NHS foundation trust or a body which (or part of which) used to be an NHS trust established under section 25 of the National Health Service Act 2006, and

(b)

ceases to have effect at the end of the period of five years beginning with the day on which it is included in the licence.

(5)

The references in subsection (1)(d) to the activities of a licence holder or other business include a reference to part of the activities concerned.

(6)

The references in subsections (1)(d) and (5) to the activities of a business include a reference to the activities of an NHS foundation trust in so far as its activities would not otherwise be the activities of a business.

(7)

A condition of a licence under this Chapter may provide that it is to have effect, or cease to have effect, at such times and in such circumstances as may be determined by or under the conditions.

98Conditions relating to the continuation of the provision of services etc.

(1)

The things which a licence holder may be required to do by a condition under section 97(1)(i)(i) include, in particular—

(a)

providing information to the commissioners of services to which the condition applies and to such other persons as Monitor may direct,

(b)

allowing Monitor to enter premises owned or controlled by the licence holder and to inspect the premises and anything on them, and

(c)

co-operating with such persons as Monitor may appoint to assist in the management of the licence holder’s affairs, business and property.

(2)

A commissioner of services to which a condition under section 97(1)(i), (j) or (k) applies must co-operate with persons appointed under subsection (1)(c) in their provision of the assistance that they have been appointed to provide.

(3)

Where a licence includes a condition under section 97(1)(i), (j) or (k), Monitor must carry out an ongoing assessment of the risks to the continued provision of services to which the condition applies.

(4)

Monitor must publish guidance—

(a)

for commissioners of a service to which a condition under section 97(1)(i), (j) or (k) applies about the exercise of their functions in connection with the licence holders who provide the service, and

(b)

for such licence holders about the conduct of their affairs, business and property at a time at which such a condition applies.

(5)

A commissioner of services to which a condition under section 97(1)(i), (j), or (k) applies must have regard to guidance under subsection (4)(a).

(6)

Monitor may revise guidance under subsection (4) and, if it does so, must publish the guidance as revised.

(7)

Before publishing guidance under subsection (4) or (6), Monitor must obtain the approval of—

(a)

the Secretary of State, and

(b)

the National Health Service Commissioning Board.

99Notification of commissioners where continuation of services at risk

(1)

This section applies where Monitor—

(a)

takes action in the case of a licence holder in reliance on a condition in the licence under section 97(1)(i), (j) or (k), and

(b)

does so because it is satisfied that the continued provision for the purposes of the NHS of health care services to which that condition applies is being put at significant risk by the configuration of certain health care services provided for those purposes.

(2)

In subsection (1), a reference to the provision of services is a reference to their provision by the licence holder or any other provider.

(3)

Monitor must as soon as reasonably practicable notify the National Health Service Commissioning Board and such clinical commissioning groups as Monitor considers appropriate—

(a)

of the action it has taken, and

(b)

of its reasons for being satisfied as mentioned in subsection (1)(b).

(4)

Monitor must publish for each financial year a list of the notifications under this section that it has given during that year; and the list must include for each notification a summary of Monitor’s reasons for being satisfied as mentioned in subsection (1)(b).

(5)

The Board and clinical commissioning groups, having received a notification under this section, must have regard to it in arranging for the provision of health care services for the purposes of the NHS.

100Modification of standard conditions

(1)

Monitor may, subject to the requirements of this section, modify the standard conditions applicable to all licences under this Chapter or to licences of a particular description.

(2)

Before making any such modifications Monitor must give notice to—

(a)

each relevant licence holder,

(b)

the Secretary of State,

(c)

the National Health Service Commissioning Board,

(d)

every clinical commissioning group, and

(e)

the Care Quality Commission and its Healthwatch England committee.

(3)

Monitor must also publish the notice under subsection (2).

(4)

The notice under subsection (2) must—

(a)

state that Monitor proposes to make the modifications,

(b)

set out the proposed effect of the modifications,

(c)

set out Monitor’s reasons for the proposal, and

(d)

specify the period (“the notice period”) within which representations with respect to the proposal may be made to Monitor.

(5)

The notice period must be not less than 28 days beginning with the day after that on which the notice is published under subsection (3).

(6)

Monitor may not make any modifications under this section unless—

(a)

no relevant licence holder has made an objection to Monitor about the proposal within the notice period, or

(b)

subsection (7) applies to the case.

(7)

This subsection applies where—

(a)

one or more relevant licence holders make an objection to Monitor about the proposal within the notice period,

(b)

the objection percentage is less than the percentage prescribed for the purposes of this paragraph, and

(c)

the share of supply percentage is less than the percentage prescribed for the purposes of this paragraph.

(8)

In subsection (7)

(a)

the “objection percentage” is the proportion (expressed as a percentage) of the relevant licence holders who objected to the proposals;

(b)

the “share of supply percentage” is the proportion (expressed as a percentage) of the relevant licence holders who objected to the proposals, weighted according to their share of the supply in England of such services as may be prescribed.

(9)

Regulations prescribing a percentage for the purposes of subsection (7)(c) may include provision prescribing the method to be used for determining a licence holder’s share of the supply in England of the services concerned.

(10)

Where Monitor modifies the standard conditions applicable to all licences or (as the case may be) to licences of a particular description under this section, Monitor—

(a)

may also make such incidental or consequential modifications as it considers necessary or expedient of any other conditions of a licence which is affected by the modifications,

(b)

must make (as nearly as may be) the same modifications of those conditions for the purposes of their inclusion in all licences or (as the case may be) licences of that description granted after that time, and

(c)

must publish the modifications.

(11)

In this section and section 101, “relevant licence holder”—

(a)

in relation to proposed modifications of the standard conditions applicable to all licences, means any licence holder, and

(b)

in relation to proposed modifications of the standard conditions applicable to licences of a particular description, means a holder of a licence of that description.

(12)

In this section, a reference to modifying a condition includes a reference to amending, omitting or adding a condition.

101Modification references to the Competition Commission

(1)

Subsection (2) applies where—

(a)

Monitor has given notice under section 95(2) of a proposal to include a special condition in a licence or modify such a condition, and

(b)

the applicant or (as the case may be) licence holder concerned has refused consent to the inclusion of the condition or the making of the modifications.

(2)

Monitor may make a reference to the Competition Commission which is so framed as to require the Commission to investigate and report on the questions—

(a)

whether any matters which relate to the provision, or proposed provision, of a health care service for the purposes of the NHS by the applicant or (as the case may be) licence holder concerned and which are specified in the reference, operate, or may be expected to operate, against the public interest, and

(b)

if so, whether the effects adverse to the public interest which those matters have or may be expected to have could be remedied or prevented by the inclusion of a special condition in the applicant’s licence or by modifications of a special condition of the licence holder’s licence.

(3)

Subsection (4) applies where—

(a)

Monitor has given notice under section 100(2) of a proposal to make modifications to the standard conditions applicable to all licences under this Chapter, or to licences of a particular description, and

(b)

section 100 operates to prevent Monitor from making the modifications.

(4)

Monitor may make a reference to the Competition Commission which is so framed as to require the Commission to investigate and report on the questions—

(a)

whether any matters which relate to the provision of health care services for the purposes of the NHS by the relevant licence holders, and which are specified in the reference, operate, or may be expected to operate, against the public interest, and

(b)

if so, whether the effects adverse to the public interest which those matters have or may be expected to have could be remedied or prevented by modifications of the standard conditions applicable to all licences under this Chapter, or to licences of a particular description.

(5)

Schedule 10 (which makes further provision about references to the Competition Commission) has effect in relation to a reference under subsection (2) or (4); and, for that purpose, the relevant persons are—

(a)

in paragraphs 3, 6(6) and 7(6)—

(i)

the applicant or licence holder concerned or (as the case may be) relevant licence holders,

(ii)

the National Health Service Commissioning Board, and

(iii)

such clinical commissioning groups as are likely to be affected by matters to which the reference relates,

(b)

in paragraph 5(6), the applicant or licence holder concerned or (as the case may be) relevant licence holders, and

(c)

in paragraph 8(10)—

(i)

the applicant or licence holder concerned or (as the case may be) relevant licence holders,

(ii)

Monitor,

(iii)

the National Health Service Commissioning Board, and

(iv)

such clinical commissioning groups as are likely to be affected by the proposal concerned.

(6)

In investigating the question under subsection (2)(a) or (4)(a) the Competition Commission must have regard to—

(a)

the matters in respect of which Monitor has duties under section 62, and

(b)

the matters to which Monitor must have regard by virtue of section 66.

(7)

Where the standard conditions applicable to all licences or (as the case may be) to licences of a particular description are modified pursuant to a reference made under subsection (4), Monitor—

(a)

may also make such incidental or consequential modifications as it considers necessary or expedient of any other conditions of a licence which is affected by the modifications,

(b)

must make (as nearly as may be) the same modifications of those conditions for the purposes of their inclusion in all licences or (as the case may be) licences of that description granted after that time, and

(c)

must publish any modifications made under this subsection.

(8)

In this section, a reference to modifying a condition includes a reference to amending, omitting or adding a condition.

102Modification of conditions by order under other enactments

(1)

This section applies where the Office of Fair Trading, Competition Commission or Secretary of State (the “relevant authority”) makes a relevant order.

(2)

A relevant order may modify—

(a)

the conditions of a particular licence, or

(b)

the standard conditions applicable to all licences under this Chapter or to licences of a particular description.

(3)

The modifications which may be made by a relevant order are those which the relevant authority considers necessary or expedient for the purpose of giving effect to, or taking account of, any provision made by the order.

(4)

In this section “relevant order” means—

(a)

an order under section 75, 83 or 84 of, or paragraph 5, 10 or 11 of Schedule 7 to, the Enterprise Act 2002 where one or more of the enterprises which have, or may have, ceased to be distinct enterprises were engaged in the provision of health care services for the purposes of the NHS;

(b)

an order under any of those provisions of that Act where one or more of the enterprises which will or may cease to be distinct enterprises is engaged in the provision of health care services for the purposes of the NHS;

(c)

an order under section 160 or 161 of that Act where the feature, or combination of features, of the market in the United Kingdom for goods or services which prevents, restricts or distorts competition relates to—

(i)

the commissioning by the National Health Service Commissioning Board or a clinical commissioning group of health care services for the purposes of the NHS, or

(ii)

the provision of those services.

(5)

The modification under subsection (2)(a) of part of a standard condition of a licence does not prevent any other part of the condition from continuing to be regarded as a standard condition for the purposes of this Chapter.

(6)

Where the relevant authority modifies the standard conditions applicable to all licences or (as the case may be) to licences of a particular description under this section, the relevant authority—

(a)

may, after consultation with Monitor, make such incidental or consequential modifications as the relevant authority considers necessary or expedient of any other conditions of any licence which is affected by the modifications,

(b)

must also make (as nearly as may be) the same modifications of those conditions for the purposes of their inclusion in all licences or (as the case may be) licences of that description granted after that time, and

(c)

must publish any modifications it makes under paragraph (b).

(7)

Expressions used in subsection (4) and in Part 3 or (as the case may be) Part 4 of the Enterprise Act 2002 have the same meaning in that subsection as in that Part.

(8)

In this section, a reference to modifying a condition includes a reference to amending, omitting or adding a condition.

103Standard condition as to transparency of certain criteria

(1)

The standard conditions applicable to any licence under this Chapter must include a condition requiring the licence holder to—

(a)

set transparent eligibility and selection criteria, and

(b)

apply those criteria in a transparent way to persons who, having a choice of persons from whom to receive health care services for the purposes of the NHS, choose to receive them from the licence holder.

(2)

“Eligibility and selection criteria”, in relation to a licence holder, means criteria for determining—

(a)

whether a person is eligible, or is to be selected, to receive health care services provided by the licence holder for the purposes of the NHS, and

(b)

if the person is selected, the manner in which the services are provided to the person.

(3)

The following powers must not be exercised so as to omit the condition mentioned in subsection (1) from any licence under this Chapter—

(a)

the powers conferred on Monitor by sections 100, 101(7) and paragraph 7(2) of Schedule 10 to modify the standard conditions applicable to all licences, or to licences of a particular description,

(b)

the power conferred on the Competition Commission by paragraph 8(5) of that Schedule to modify those conditions, and

(c)

the powers conferred by section 102 on the Office of Fair Trading, Competition Commission and Secretary of State to modify those conditions or the conditions of a particular licence.