National Health Service Act 1977

97A Financial duties of health authorities. E+W+S

(1) It is the duty of every Regional Health Authority, in respect of each financial year, so to perform their functions as to secure that [F1 the expenditure attributable to the performance by the Regional Health Authority and the Area Health Authorities and District Health Authorities whose areas or districts are in the region of their functions in that year does not exceed the aggregate of—

(a) the amounts allotted to the Regional Health Authority for that year under section 97(1) above;

(b) any other sums received under this Act in that year by the Regional Health Authority or the Area Health Authorities or District Health Authorities whose areas or districts are in the region; and

(c) any sums received otherwise than under this Act in that year by any of those Authorities for the purpose of enabling the Authority to defray any such expenditure.]

[F1 (a) the expenditure attributable to the performance by the Regional Health Authority of its functions in that year, and

(b) the expenditure attributable to the performance by the District Health Authorities whose districts are in the region of their functions in that year, and

(c) the expenditure attributable to the performance by each Family Health Services Authority in relation to which the Regional Health Authority is the relevant Regional Health Authority of the Family Health Services Authority’s functions in that year, other than expenditure falling within section 97(1)(aa) above,

does not exceed the aggregate of—

(i) the amounts allotted to the Regional Health Authority for that year under section 97(1)(a) above;

(ii) any other sums received under this Act, other than under section 97(1)(aa) above, in that year by the Regional Health Authority or by the District Health Authorities or Family Health Services Authorities concerned; and

(iii) any sums received otherwise than under this Act in that year by any of those Authorities for the purpose of enabling them to defray any such expenditure.]

(2) It is the duty of every [F2 Area Health Authority and every District Health Authority][F2 District Health Authority and every Family Health Services Authority], in respect of each financial year, so to perform their functions as to secure that the expenditure attributable to the performance of their functions in that year does not exceed the aggregate of—

(a) the amounts allotted to the Authority for that year under section 97(1) or (2) above [F3 other than section 97(1)(aa)];

(b) any other sums received by the Authority under this Act in that year; and

(c) any sum received otherwise than under this Act in that year by the Authority for the purpose of enabling the Authority to defray any such expenditure.

(3) It is the duty of every special health authority, in respect of each financial year, so to perform their functions under this Act as to secure that the expenditure attributable to the performance of their functions in that year does not exceed the aggregate of—

(a) the amount allotted to the authority for that year under section 97(1) above;

(b) any other sums received by the Authority under this Act in that year; and

(c) any sums received otherwise than under this Act in that year by the authority for the purpose of enabling the authority to defray any such expenditure.

(4) The Secretary of State may give such directions to a health authority [F4 or Family Health Services Authority] as appear to him to be requisite to secure that the authority comply with the duty imposed on them by subsection (1), (2) or (3) above and it shall be the duty of the authority to comply with the directions.

Directions under this subsection may be specific in character.

(5) To the extent to which—

(a) any expenditure is defrayed by a health authority as trustee or on a health authority’s behalf by special trustees; or

(b) any sums are received by a health authority as trustee or under section 96A above,

that expenditure and, subject to subsection (6) below, those sums shall be disregarded for the purposes of this section and, for those purposes, sums which, in the hands of an authority, cease to be trust funds and become applicable by the authority otherwise than as trustee shall be treated, on their becoming so applicable, as having been received by the authority otherwise than as trustee.

(6) Of the sums received by a health authority under section 96A above so much only as accrues to the authority after defraying any expenses incurred in obtaining them shall be disregarded under subsection (5) above.

(7) Subject to subsection (5) above, the Secretary of State may, by directions, determine—

(a) whether sums of a description specified in the directions are or are not to be treated for the purposes of this section as being receivable under this Act by an authority of a description so specified;

(b) whether expenditure of a description specified in the directions is or is not to be treated for the purposes of this section as being attributable to the performance of functions by an authority of a description so specified; or

(c) the extent to which and the circumstances in which sums received but not yet spent by an authority under section 97(1) or (2) above are to be treated for the purposes of this section as part of the expenditure of the authority and to which financial year’s expenditure they are to be attributed.

Textual Amendments

F1 S. 97A(1)(a)(b)(c) substituted (1.4.1991) for words by National Health Service and Community Care Act 1990 (c. 19, SIF 113:2), s. 13(2)

F2 Words commencing “Area Health Authority” substituted (1.4.1991) for words commencing “District Health Authority” by National Health Service and Community Care Act 1990 (c. 19, SIF 113:2), s. 13(3)(a)

F3 Words inserted (1.4.1991) by National Health Service and Community Care Act 1990 (c. 19, SIF 113:2), s. 13(3)(b)

F4 Words inserted (1.4.1991) by National Health Service and Community Care Act 1990 (c. 19, SIF 113:2), s. 13(4)