National Health Service (Wales) Act 2006

175 Financial duties of Local Health Boards E+W

(1) Each Local Health Board must, in respect of each financial year, perform its functions so as to secure that its expenditure which is attributable to the performance by it of its functions in that year (not including its general ophthalmic and pharmaceutical services expenditure) does not exceed the aggregate of—

(a) the amount allotted to it for that year under section 174(1)(b),

(b) any sums received by it in that year under any provision of this Act (other than sums received by it under that section), and

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

(2) The Welsh Ministers may give such directions to a Local Health Board as appear to be requisite to secure that it complies with the duty under subsection (1).

(3) To the extent to which—

(a) any expenditure is defrayed by a Local Health Board as trustee or on behalf of a Local Health Board by special trustees, or

(b) any sums are received by a Local Health Board as trustee or under section 169,

that expenditure and, subject to subsection (5) those sums, must be disregarded for the purposes of this section.

(4) For the purposes of this section sums which, in the hands of a Local Health Board, cease to be trust funds and become applicable by the Local Health Board otherwise than as trustee must be treated, on their becoming so applicable, as having been received by the Local Health Board otherwise than as trustee.

(5) Of the sums received by a Local Health Board under section 169 so much only as accrues to the Local Health Board after defraying any expenses incurred in obtaining them must be disregarded under subsection (3).

(6) Subject to subsection (3), the Welsh Ministers may by directions determine—

(a) whether specified sums must, or must not, be treated for the purposes of this section as received under this Act by a specified Local Health Board,

(b) whether specified expenditure must, or must not, be treated for those purposes as expenditure within subsection (1) of a specified Local Health Board, or

(c) the extent to which, and the circumstances in which, sums received by a Local Health Board under section 174 but not yet spent must be treated for the purposes of this section as part of the expenditure of the Local Health Board and to which financial year's expenditure they must be attributed.

(7) “Specified” means of a description specified in the directions.