Part I Organisation

Trusts

12AF1 National Health Service trusts.

C11

Subject to subsection (2), the Secretary of State may by order establish bodies, to be known as National Health Service trusts (in this Act referred to as “NHS trusts”) F2to provide goods and services for the purposes of the health service

2

The Secretary of State shall by regulations provide for such consultation as may be so prescribed to be carried out by a Health Board or the Agency, before he makes an order under subsection (1).

3

Every NHS trust—

F3a

shall be a body corporate having a board of directors consisting of a chairman who is not an employee of the trust, appointed by the Secretary of State; and, subject to paragraph 5(2) of Schedule 7A, executive directors (directors who, subject to subsection (5), are employees of the trust) and non-executive directors (directors who, subject to subsection (5), are not employees of the trust and who shall be known as “trustees")

b

shall have the functions conferred on it by an order under subsection (1) and by Schedule 7A.

F44

The functions which may be specified in an order under subsection (1) include a duty to provide goods or services so specified at, from, or through a hospital or other establishment or facility so specified.

F54A

The functions of an NHS trust also include power to provide services in accordance with section 17C arrangements, and to do so as a member of a qualifying body (within the meaning of section 17D).

5

Regulations may make general provision with respect to—

a

the qualifications for and the tenure of office of the chairman F6, directors and trustees of an NHS trust (including the circumstances in which they shall cease to hold, or may be removed from, office or may be suspended from performing the functions of the office);

b

the persons by whom the directors F7, trustees, and any of the officers are to be appointed and the manner of their appointment;

c

the maximum and minimum numbers of the directors F8and trustees;

d

the circumstances in which a person who is not an employee of the trust is nevertheless, on appointment as a director F9trustee, to be regarded as an executive director rather than as a trustee;

e

the proceedings of the trust (including the validation of proceedings in the event of a vacancy or defect in appointment);

f

the appointment, constitution and exercise of functions by committees and sub-committees of the trust (whether or not consisting of or including any members of the board); and

g

the application of the seal of the trust and the constitution and proof of instruments.

6

Part I of Schedule 7A shall have effect with respect to orders under subsection (1); Part II of that Schedule shall have effect, subject to subsection (7), with respect to the general duties and the powers and status of NHS trusts; the supplementary provisions of Part III of that Schedule shall have effect; and Part IV of that Schedule shall have effect with respect to the dissolution of NHS trusts.

7

The specific powers conferred by paragraphs 14 and 15 in Part II of Schedule 7A may be exercised only to the extent that the exercise will not—

a

interfere with the duty of the trust to comply with directions under paragraph 6 of that Schedule and

b

to any significant exent interfere with the performance by the trust of its obligations under any NHS contract or any obligations imposed by an order under subsection (1).

8

The Secretary of State may by order confer on NHS trusts specific powers additional to those contained in paragraphs 10 to 15 of Schedule 7A.