These Regulations consolidate the National Health Service (Fund-holding Practices) (Scotland) Regulations 1993 (S.I 1993/488), the National Health Service (Fund-holding Practices) (Scotland) Amendment Regulations 1993 (S.I. 1993/1369), the National Health Service (Fund-holding Practices) (Scotland) Amendment Regulations 1995 (S.I. 1995/1571) and the National Health Service (Fund-holding Practices) (Scotland) Amendment Regulations 1996 (S.I. 1996/748).

The Regulations contain provision relating to the recognition and operation of fund-holding practices. A fund-holding practice means a practice of one or more medical practitioners who are providing general medical services in accordance with arrangements under section 19 of the National Health Service (Scotland) Act 1978 (“the Act”) and which has been recognised as a fund-holding practice in accordance with section 87A of the Act.

A fund-holding practice is entitled to be paid an allotted sum in accordance with section 87B of the Act and may use that sum for purposes specified in these Regulations.

The Regulations include provision about:

• the interpretation of the Regulations (Part I),

• recognition as a fund-holding practice, including applications for recognition, the conditions for obtaining and continuing recognition and determination of applications (Part II),

• renunciation of recognition including the procedure for renunciation and its consequences (Part III),

• removal of recognition as a fund-holding practice, including the grounds for removal, the procedure for removal and the consequences of removal (Part IV, and

• the purposes for which allotted sums may be applied (Part V).

The Regulations also contain provisions creating a third type of fund-holding practice known as a purchasing co-operative. A purchasing co-operative will allow GPs to work together as a group and hold a budget for prescribing and for a range of healthcare services.

The Regulations also make a number of amendments which are minor or consequential drafting amendments.