National Health Service Act 2006

Chapter 7 E+W Miscellaneous

Remuneration E+W

164 Remuneration for persons providing pharmaceutical services E+W

(1) The remuneration to be paid to persons who provide pharmaceutical services under this Part must be determined by determining authorities.

(2) Determining authorities may also determine the remuneration to be paid to persons who provide those services in respect of the instruction of any person in matters relating to those services.

(3) For the purposes of this section and section 165 determining authorities are—

(a) the Secretary of State, and

(b) so far as authorised by him to exercise the functions of determining authorities, [F1 the Board] or other person appointed by him in an instrument.

(4) The instrument mentioned in subsection (3)(b) is called in this section an “instrument of appointment”.

[F2 (4A) An instrument of appointment—

(a) must be contained in regulations if it provides for the appointment of [F3 the Board] or other person as a determining authority in relation to the remuneration to be paid [F4 for providing] services under section 126, and

(b) if paragraph (a) does not apply, may be contained in regulations.]

(5) An instrument of appointment—

(a) may contain requirements with which a determining authority appointed by that instrument must comply in making determinations, F5 ...

F5 (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6) Subject to this section and section 165, regulations may make provision about determining remuneration under this section and may in particular impose requirements with which determining authorities must comply in making, or in connection with, determinations (including requirements as to consultation and publication).

(7) Regulations may provide that determinations may be made by reference to any of—

(a) rates or conditions of remuneration of any persons or any descriptions of persons which are fixed or determined, or will be fixed or determined, otherwise than by way of a determination under this section,

(b) scales, indices or other data of any description specified in the regulations.

(8) Where regulations provide as mentioned in subsection (7)(b), they may provide that any determination which falls to be made by reference to a scale, index or other data may be made by reference to the scale, index or data—

(a) in the form current at the time of the determination, and

(b) in any subsequent form taking effect after that time.

[F6 (8A) Regulations may impose requirements in relation to remuneration in respect of special medicinal products.

(8B) Such regulations may, for example, require determining authorities to ensure—

(a) that remuneration is to be calculated by reference to the outcome of prescribed procedures, or

(b) that determinations do not provide for or permit remuneration to be paid in prescribed circumstances.

(8C) Procedures prescribed by virtue of subsection (8B)(a) may include the person to whom remuneration is payable, a health service body or a determining authority—

(a) carrying out inquiries to ensure that remuneration is reasonable, or

(b) estimating an amount of remuneration that is reasonable (whether or not the estimated amount corresponds exactly to expenses in respect of which remuneration is to be paid).

(8D) Circumstances prescribed by virtue of subsection (8B)(b) may include circumstances in which special medicinal products are made available to persons who provide pharmaceutical services under this Part—

(a) by a health service body, or

(b) under an arrangement for the supply of special medicinal products to which a health service body is a party.

(8E) In subsections (8A) to (8D)—

• “health service body” has the meaning given by section 9(4);

• “special medicinal product” means a product which is a special medicinal product for the purposes of regulation 167 of the Human Medicines Regulations 2012 (S.I. 2012/1916).]

(9) Regulations may—

(a) provide that determining authorities may make determinations which have effect in relation to remuneration in respect of a period beginning on or after a date specified in the determination, which may be the date of the determination or an earlier or later date, but may be an earlier date only if, taking the determination as a whole, it is not detrimental to the persons to whose remuneration it relates,

(b) provide that any determination which does not specify such a date has effect in relation to remuneration in respect of a period beginning—

(i) if it is required to be published, on the date of publication,

(ii) if it is not so required, on the date on which it is made.

(10) A reference in this section or section 165 to a determination is to a determination of remuneration under this section.

Textual Amendments

F1 Words in s. 164(3)(b) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 89(2); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F2 S. 164(4A) inserted (1.4.2013) by Health and Social Care Act 2008 (c. 14), ss. 141(1)(a), 170(3)(4); S.I. 2013/159, art. 2(a)

F3 Words in s. 164(4A)(a) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 89(3)(a); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F4 Words in s. 164(4A)(a) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 89(3)(b); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F5 S. 164(5)(b) and word repealed (1.4.2013) by Health and Social Care Act 2008 (c. 14), ss. 141(1)(b), 170(3)(4), Sch. 15 Pt. 4; S.I. 2013/159, art. 2(a)(c)

F6 S. 164(8A)-(8E) inserted (7.8.2017) by Health Service Medical Supplies (Costs) Act 2017 (c. 23), ss. 1, 12(3); S.I. 2017/809, reg. 2(a)

165 Section 164: supplementary E+W

(1) Before a determination is made by the Secretary of State which relates to all persons who provide pharmaceutical services, or a category of such services, he—

(a) must consult a body appearing to him to be representative of persons to whose remuneration the determination would relate, and

(b) may consult such other persons as he considers appropriate.

(2) Determinations may make different provision for different cases, including different provision for any particular case, class of case or area.

(3) Determinations may be—

(a) made in more than one stage,

(b) made by more than one determining authority,

(c) varied or revoked by subsequent determinations.

(4) A determination may be varied—

(a) to correct an error, or

(b) where it appears to the determining authority that it was made in ignorance of or under a mistake as to a relevant fact.

(5) Determinations may, in particular, provide that the whole or any part of the remuneration—

(a) is payable only if the determining authority is satisfied as to certain conditions, or

(b) must be applied for certain purposes or is otherwise subject to certain conditions.

(6) Remuneration under section 164 may be determined from time to time and may consist of payments by way of—

(a) salary,

(b) fees,

(c) allowances,

(d) reimbursement (in full or in part) of expenses incurred or expected to be incurred in connection with the provision of the services or instruction.

(7) At the time a determination is made or varied, certain matters which require determining may be reserved to be decided at a later time.

(8) The matters which may be reserved include in particular—

(a) the amount of remuneration to be paid in particular cases,

(b) whether any remuneration is to be paid in particular cases.

(9) Any determination may be made only after taking into account all the matters which are considered to be relevant by the determining authority.

(10) Such matters may include in particular—

(a) the amount or estimated amount of expenses (taking into account any discounts) incurred in the past or likely to be incurred in the future (whether or not by persons to whose remuneration the determination will relate) in connection with the provision of pharmaceutical services or of any category of pharmaceutical services,

(b) the amount or estimated amount of any remuneration paid or likely to be paid to persons providing such services,

(c) the amount or estimated amount of any other payments or repayments or other benefits received or likely to be received by any such persons,

(d) the extent to which it is desirable to encourage the provision, either generally or in particular places, of pharmaceutical services or the category of pharmaceutical services to which the determination will relate,

(e) the desirability of promoting pharmaceutical services which are—

(i) economic and efficient, and

(ii) of an appropriate standard.

(11) If the determination is of remuneration for a category of pharmaceutical services, the reference in subsection (10)(a) to a category of pharmaceutical services is a reference to the same category of pharmaceutical services or to any other category of pharmaceutical services falling within the same description.

[F7 165A Pharmaceutical remuneration: further provision E+W

(1) The Board must provide the Secretary of State with such information relating to the remuneration paid by the Board to persons providing pharmaceutical services or local pharmaceutical services as the Secretary of State may require.

(2) The information must be provided in such form, and at such time or within such period, as the Secretary of State may require.

(3) Schedule 12A makes further provision about pharmaceutical remuneration.]

Textual Amendments

F7 S. 165A inserted (1.4.2013) by Health and Social Care Act 2012 (c. 7), ss. 51(1), 306(4); S.I. 2013/160, art. 2(2) (with arts. 7-9)

Indemnity cover E+W

166 Indemnity cover E+W

(1) Regulations may make provision for the purpose of securing that, in prescribed circumstances, prescribed persons included in a pharmaceutical list hold approved indemnity cover.

(2) The regulations may, in particular, make provision as to the consequences of a failure to hold approved indemnity cover, including provision—

(a) for securing that a person must not be added to a pharmaceutical list unless he holds approved indemnity cover,

(b) for the removal from a pharmaceutical list prepared by [F8 the Board] of a person who does not within a prescribed period after the making of a request by [F9 the Board] in the prescribed manner satisfy [F9 the Board] that he holds approved indemnity cover.

(3) For the purposes of this section—

• “approved body” means a person or persons approved in relation to indemnity cover of any description, after such consultation as may be prescribed, by the Secretary of State or by such other person as may be prescribed,

• “approved indemnity cover” means indemnity cover made—

  (a)

  on prescribed terms, and

  (b)

  with an approved body,

• “indemnity cover”, in relation to a person included in a pharmaceutical list (or a person who proposes to provide pharmaceutical services), means a contract of insurance or other arrangement made for the purpose of indemnifying him, and any person prescribed in relation to him, to any prescribed extent against any liability which—

  (a)

  arises out of the provision of pharmaceutical services in accordance with arrangements made by him with [F10 the Board], and

  (b)

  is incurred by him or any such person in respect of the death or personal injury of a person,

• “personal injury” means any disease or impairment of a person's physical or mental condition and includes the prolongation of any disease or such impairment,

and a person holds approved indemnity cover if he has entered into a contract or arrangement which constitutes approved indemnity cover.

(4) The regulations may provide that a person of any description who has entered into a contract or arrangement which is—

(a) in a form identified in accordance with the regulations in relation to persons of that description, and

(b) made with a person or persons so identified,

must be treated as holding approved indemnity cover for the purposes of the regulations.

Textual Amendments

F8 Words in s. 166(2)(b) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 90(2)(a); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F9 Words in s. 166(2)(b) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 90(2)(b); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F10 Words in s. 166(3) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 90(3); S.I. 2013/160, art. 2(2) (with arts. 7-9)

Local Pharmaceutical Committees E+W

167 Local Pharmaceutical Committees E+W

(1) [F11 The Board may recognise a committee formed for an area] which it is satisfied is representative of—

(a) the persons providing pharmaceutical services from premises in the area for which the committee is formed (“pharmaceutical services providers”),

(b) pharmaceutical services providers and the persons to whom subsections (2) and (3) apply,

(c) pharmaceutical services providers and the persons to whom subsection (2) applies, or

(d) pharmaceutical services providers and the persons to whom subsection (3) applies.

(2) This subsection applies to each person who—

(a) is providing local pharmaceutical services F12 ... under an LPS scheme made (whether with himself or another person) by [F13 the Board], and

(b) has notified [F13 the Board] that he wishes to be represented by the committee (and has not notified it that he wishes to cease to be so represented).

(3) This subsection applies to each person who—

(a) is providing local pharmaceutical services F14 ... under a pilot scheme made (whether with himself or another person) by [F15 the Board], and

(b) has notified [F15 the Board] that he wishes to be represented by the committee (and has not notified it that he wishes to cease to be so represented).

(4) A committee recognised under this section is called the Local Pharmaceutical Committee for the area for which it is formed.

(5) Any such committee may delegate any of its functions, with or without restrictions or conditions, to sub-committees composed of members of that committee.

(6) Regulations may require [F16 the Board], in the exercise of functions relating to pharmaceutical services or local pharmaceutical services, to consult committees recognised by it under this section on such occasions and to such extent as may be prescribed.

(7) Subsection (6) does not affect any other power to require [F17 the Board] to consult committees recognised by it under this section.

(8) A committee recognised under this section has such other functions as may be prescribed.

(9) [F18 The Board] may, on the request of any committee recognised by it under this section, allot to that committee such sums for defraying the committee's administrative expenses (other than any determined under subsection (12)) as may be determined by [F19 the Board].

(10) Any sums so allotted must be out of the moneys available to [F20 the Board] for the remuneration of persons of whom the committee is representative under subsection (1)(a).

(11) The amount of any such sums must be deducted from the remuneration of those persons in such manner as may be determined by [F21 the Board].

(12) A committee recognised under subsection (1)(b), (c) or (d) must, in respect of each year, determine the amount of its administrative expenses for that year attributable to the persons of whom it is representative under subsection (2) or (3).

(13) The committee must apportion the amount determined under subsection (12) among the persons of whom it is representative under subsection (2) or (3), and each such person must pay in accordance with the committee's directions the amount so apportioned to him.

(14) The administrative expenses of a committee include the travelling and subsistence allowances payable to its members.

Textual Amendments

F11 Words in s. 167(1) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(2); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F12 Words in s. 167(2)(a) omitted (1.4.2013) by virtue of Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(3); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F13 Words in s. 167(2)(a)(b) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(4); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F14 Words in s. 167(3)(a) omitted (1.4.2013) by virtue of Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(3); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F15 Words in s. 167(3)(a)(b) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(4); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F16 Words in s. 167(6) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(5); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F17 Words in s. 167(7) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(5); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F18 Words in s. 167(9) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(6); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F19 Words in s. 167(9) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(4); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F20 Words in s. 167(10) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(4); S.I. 2013/160, art. 2(2) (with arts. 7-9)

F21 Words in s. 167(11) substituted (1.4.2013) by Health and Social Care Act 2012 (c. 7), s. 306(4), Sch. 4 para. 91(4); S.I. 2013/160, art. 2(2) (with arts. 7-9)

Provision of accommodation by the Secretary of State E+W

168 Use of accommodation: provision of pharmaceutical services and local pharmaceutical services E+W

If the Secretary of State considers that any accommodation provided by him by virtue of this Act is suitable for use in connection with the provision of pharmaceutical services or local pharmaceutical services, he may make the accommodation available on such terms as he considers appropriate to persons providing those services.

[F22 Directions E+W

Textual Amendments

F22 S. 168A and cross-heading inserted (27.3.2012 for specified purposes, 1.4.2013 in so far as not already in force) by Health and Social Care Act 2012 (c. 7), ss. 49(4), 306(1)(d)(4); S.I. 2013/160, art. 2(2) (with arts. 7-9)

168A Exercise of functions E+W

(1) The Secretary of State may direct the Board to exercise any of the Secretary of State's functions relating to services that may be provided as pharmaceutical services, or as local pharmaceutical services, under this Part.

(2) Subsection (1) does not apply to any function of the Secretary of State of making an order or regulations.

(3) The Secretary of State may give directions to the Board about its exercise of any functions relating to pharmaceutical services or to local pharmaceutical services (including functions which the Board has been directed to exercise under subsection (1)).]