(1)Where—
(a)a Primary Care Trust or an NHS trust is, or will be, a party to any existing or proposed LA delegation arrangements, and
(b)the Secretary of State considers that designation of the body as a Care Trust would be likely to promote the effective exercise by the body of prescribed health-related functions of a local authority (in accordance with the arrangements) in conjunction with prescribed NHS functions of the body,
the Secretary of State may designate the body as a Care Trust.
(2)A Primary Care Trust or NHS trust may, however, be designated only in pursuance of an application made to the Secretary of State jointly by each prescribed body.
(3)If the application under subsection (2) requests the Secretary of State to do so, he may when designating a body as a Care Trust make a direction under subsection (4).
(4)The direction is that while the body is designated it may (in addition to exercising health-related functions of the local authority as mentioned in subsection (1)(b)) exercise such prescribed health-related functions of the local authority as are specified in the direction in relation to persons in any area so specified, even though it does not exercise any NHS functions in relation to persons in that area.
(5)Where a body is designated as a Care Trust under this section—
(a)its designation may be revoked by the Secretary of State at any time—
(i)of the Secretary of State's own motion, and
(ii)after such consultation as he considers appropriate,
(b)if an application for the revocation of its designation is made to the Secretary of State by one or more of the parties to the LA delegation arrangements, its designation must be revoked by the Secretary of State at the earliest time at which he considers it practicable to do so, having regard, in particular, to any steps that need to be taken in relation to those arrangements in connection with the revocation.
(6)The designation of a body as a Care Trust under this section must be effected by an order under section 18 or 25 which—
(a)(in the case of an existing body) amends the order establishing the body so as to change its name to one that includes the words “Care Trust”, or
(b)(in the case of a new body) establishes the body with a name that includes those words,
and any revocation of its designation must be effected by a further order under section 18 or 25 which makes such provision for changing the name of the body as the Secretary of State considers expedient.
(7)The power of the Secretary of State to dissolve a Primary Care Trust or an NHS trust includes power to dissolve such a Primary Care Trust or NHS trust where he considers that it is appropriate to do so in connection with the designation of any other such body (whether existing or otherwise) as a Care Trust.
(8)Regulations may make such incidental, supplementary or consequential provision (including provision amending, repealing or revoking enactments) as the Secretary of State considers expedient in connection with the preceding provisions of this section.
(9)Regulations under subsection (8) may, in particular, make provision—
(a)prescribing—
(i)the manner and circumstances in which, and
(ii)any conditions which must be satisfied before,
an application may be made for a body to be designated as a Care Trust under this section, or to cease to be so designated, and the information to be supplied with such an application,
(b)enabling the Secretary of State to terminate appointments of persons as members of a Primary Care Trust or of the board of directors of an NHS trust (or of a committee of such a Primary Care Trust or NHS trust) where he considers that it is appropriate to do so in connection with the designation of the Primary Care Trust or NHS trust as a Care Trust,
(c)requiring the consent of the Secretary of State to be obtained before any prescribed change is made with respect to the governance of a body so designated,
(d)for supplementing or modifying, in connection with the operation of subsection (3), any provision made by regulations under section 75.
(10)The designation of a body as a Care Trust under this section does not affect any of the functions, rights or liabilities of that body in its capacity as a Primary Care Trust or NHS trust.
(11)In connection with the exercise by a body so designated of any relevant social services functions under LA delegation arrangements—
(a)section 7 of the Local Authority Social Services Act 1970 (c. 42) (authorities to exercise social services functions under guidance), and
(b)section 7A of that Act (directions as to exercise of such functions),
apply to the body as if it were a local authority within the meaning of that Act.
(12)In this section—
“” has the meaning given by section 75(8),
“LA delegation arrangements” means arrangements falling within section 75(2)(b), whether or not made in conjunction with any pooled fund arrangements,
“NHS functions” means functions exercisable by a Primary Care Trust or NHS trust in its capacity as such,
“pooled fund arrangements” means arrangements falling within section 75(2)(a),
“relevant social services functions” means health-related functions which are social services functions within the meaning of the Local Authority Social Services Act 1970.