8. In regulation 1 (citation, commencement and interpretation) in paragraph (2) omit the definitions of “primary care purchasing practice”, “purchasing co-operative” and “standard fund-holding practice”.
9. In regulation 2 of the principal Regulations (application for recognition as a fund-holding practice) omit paragraph (2).
10. In regulation 3 of the principal Regulations (grant of recognition as a fund-holding practice) in paragraph (1), for “as a standard fund-holding practice, primary care purchasing practice or a purchasing co-operative (as the case may be)”, substitute “as a residual fund-holding practice”.
11. In regulation 6 of the principal Regulations (conditions for continuing recognition) in paragraph (1), for “of a standard fund-holding practice, a primary care purchasing practice or a purchasing co-operative (as the case may be)”, substitute “of a residual fund-holding practice”.
12. In regulation 8 of the principal Regulations (withdrawal or death of a member of a fund-holding practice)–
(a)in paragraph (1), omit “in relation to the kind of practice in question”; and
(b)omit paragraphs (2) to (6).
13. In regulation 11 of the principal Regulations (consequences of renunciation of recognition) in paragraph (3), for “ending on that date”, substitute “in which that date falls”.
14. In regulation 12 of the principal Regulations (grounds for removal of recognition), in paragraph (2), for the words “a standard fund-holding practice, a primary care purchasing practice or a purchasing co-operative (as the case may be)” substitute “a fund-holding practice”.
15.—(1) Regulation 18 of the principal Regulations (payment for goods and services) is amended as follows.
(2) Omit paragraphs (3) to (6) and (11)(a).
(3) In paragraph (1), for “Subject to paragraphs (3) to (9)” substitute “Subject to paragraphs (7) to (10) and to regulation 19A”.
(4) For paragraph (2) substitute–
“(2) The goods and services referred to in paragraph (1) are the goods and services specified in the list set out in Schedule 4 to these Regulations.”.
(5) After paragraph (2), insert–
“(2A) Except where goods and services are purchased pursuant to an agreement entered into before 1st April 1999, fund-holding practices shall purchase goods and services only from providers which are health service bodies.”.
16.—(1) Regulation 19 of the principal Regulations (payments to members of the practice) is amended as follows.
(2) In paragraph (1)–
(a)at the beginning insert “Subject to regulation 19A,”;
(b)at the end of sub-paragraph (a) insert “or”;
(c)omit sub-paragraph (b).
17. After regulation 19 insert–
19A.—(1) Any agreement entered into on or after 1st April 1999 by the members of a fund-holding practice whereby the allotted sum would be applied as provided for in regulation 18, 19, 20 or 21, must comply with the requirements of paragraph (2).
(2) The agreement shall contain terms the effect of which shall be that–
(a)it shall come to an end not later than the end of the period of 6 months beginning with the date the agreement was made and that the duration of the agreement may not be extended; and
(b)without prejudice to the availability of any remedy for breach of the agreement, no rights, liabilities or obligations are imposed beyond the end of that period.”.
18.—(1) Regulation 21 of the principal Regulations (payment for management expenses) is amended as follows.
(2) In paragraph (1), at the beginning insert “Subject to regulation 19A”.
(3) Omit paragraph (7).
(4) In paragraph (8) omit sub-paragraph (c).
19. In regulation 23 of the principal Regulations (recovery of mis-applied amounts), in paragraph (1) omit “17”.
20. In Schedule 1 to the principal Regulations (conditions for obtaining recognition as a fund-holding practice)–
(a)omit paragraph 1; and
(b)in paragraph 5(c)(1), for “, in the case of standard fund-holding practices in Part I, and in the case of primary care purchasing practices in Part II, of” substitute “in”.
21.—(1) Schedule 2 to the principal Regulations (conditions for continuing recognition as a fund-holding practice) is amended as follows.
(2) Omit paragraph 1.
(3) In paragraph 3, for “17 to 22” substitute “18 to 22”.
(4) In paragraph 14(c)(2), for “, in the case of standard fund-holding practices in Part I, and in the case of primary care purchasing practices in Part II, of” substitute “in”.
(5) After paragraph 14 insert the following–
“15. There shall be no changes to the membership of the fund-holding practice, either by addition of new members or withdrawal of existing members, except in circumstances of death or retirement of a member.
16. The members of the practice shall not let the fund-holding account become overdrawn.”.
22. After Schedule 3 to the principal Regulations, insert the new Schedule 4 set out in the Schedule to these Regulations.
23. Regulations 7 and 17 of the principal Regulations are hereby revoked.
24.—(1) The amendments made by regulation 12 do not affect the members of any fund-holding practice from which a member has withdrawn before 1st April 1999 in circumstances other than death or retirement provided that the notice required in accordance with regulation 8(2) of the principal Regulations has been sent before 1st April 1999 and in such cases regulation 8 of the principal Regulations shall continue to apply in relation to members and former members of such practices as if the amendment referred to above had not been made.
(2) In respect of any part of an allotted sum applied before 1st April 1999, regulation 23 of the principal Regulations shall continue to have effect as though the amendments made by regulations 19 and 23 of these Regulations had not been made, notwithstanding that the Secretary of State does not make his determination until on or after that date.