The Scottish Hospital Trust Scheme 1993

Distribution of endowment funds income

2.  The Trust shall, after paying the necessary expenses of management and the taxes affecting the endowments transferred to them in terms of section 2(1) of the 1971 Act and property accepted by them in pursuance of paragraph 4(f) of Schedule 6 to the 1978 Act(1) distribute at dates in each year to be determined by the Secretary of State the resulting balance of income among Health Boards and NHS Trusts on the following basis:—

(a) the Trust shall calculate the sum attributable to each Health Board area based on that Health Board’s percentage share and thereafter—

(i) in a Health Board area where there is no NHS Trust or NHS Trusts in existence, pay that sum to the Health Board, or

(ii) in a Health Board area where there is one or more NHS Trusts in existence, divide that sum between the Health Board and the NHS Trust or among the Health Board and NHS Trusts as the case may be;

(b) where sub-paragraph (a)(ii) above applies the division shall be such as is agreed between the Health Board and the NHS Trust or NHS Trusts on the basis of the percentage of capital funds held by the Trust as between the hospitals, establishments or facilities pertaining to the NHS Trust or NHS Trusts and the hospitals, establishments or facilities which are under the administration of the Health Board;

(c) in identifying the percentage of capital funds specified in sub-paragraph (b) a Health Board and NHS Trust shall have regard to the Schedules held by the Secretary of the Trust listing the value of endowments in terms of investments held for different groups of hospitals, and to any other relevant documents held by the Health Board or NHS Trust relating to endowments transferred to the Trust;

(d) failing agreement between a Health Board and an NHS Trust or NHS Trusts on the division of income the Secretary of State shall, applying the criteria specified in sub-paragraphs (b) and (c), determine the division.

(1)

Paragraph 4(f) of Schedule 6 was amended by the 1990 Act, Schedule 9, paragraph 19(24)(c).