National Health Service Act 2006 (c. 41)

(The document as of February, 2008)

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National Health Service Act 2006

2006 CHAPTER 41

Content

Part 1

Promotion and provision of the health service in England
1. The Secretary of State and the health service in England
  1. 1. Secretary of State's duty to promote health service
2. General power to provide services
  1. 2. Secretary of State's general power
3. Provision of particular services
  1. 3. Secretary of State's duty as to provision of certain services
  2. 4. High security psychiatric services
  3. 5. Other services
4. Provision of services otherwise than in England
  1. 6. Performance of functions outside England
5. Exercise and distribution of functions
  1. 7. Distribution of health service functions
  2. 8. Secretary of State's directions to health service bodies
6. NHS contracts
  1. 9. NHS contracts
  2. 10. Provision for bodies in Northern Ireland
  3. 11. Arrangements to be treated as NHS contracts
7. Provision of services otherwise than by the Secretary of State
  1. 12. Secretary of State's arrangements with other bodies
Part 2

Health service bodies
1. Chapter 1
  
  Strategic Health Authorities
  1. 13. Strategic Health Authorities
  2. 14. Exercise of Strategic Health Authority functions
  3. 15. Strategic Health Authorities' directions
  4. 16. Section 92 arrangements and section 107 arrangements
  5. 17. Advice for Strategic Health Authorities
2. Chapter 2
  
  Primary Care Trusts
  1. 18. Primary Care Trusts
  2. 19. Exercise of Primary Care Trust functions
  3. 20. Strategic Health Authority directions to Primary Care Trusts
  4. 21. Provision of services etc
  5. 22. Administration and management of services
  6. 23. Advice for Primary Care Trusts
  7. 24. Plans for improving health etc
3. Chapter 3
  
  NHS trusts
  1. 25. NHS trusts
  2. 26. General duty of NHS trusts
  3. 27. Financial provisions relating to NHS trusts
4. Chapter 4
  
  Special Health Authorities
  1. 28. Special Health Authorities
  2. 29. Exercise of Special Health Authority functions
5. Chapter 5
  
  NHS foundation trusts
  1. Introductory
    1. 30. NHS foundation trusts
    2. 31. Independent Regulator of NHS Foundation Trusts
    3. 32. General duty of regulator
  2. Authorisation
    1. 33. Applications by NHS trusts
    2. 34. Other applications
    3. 35. Authorisation of NHS foundation trusts
    4. 36. Effect of authorisation
    5. 37. Amendments of constitution
    6. 38. Variation of authorisation
    7. 39. Register of NHS foundation trusts
  3. Financial matters
    1. 40. Power of Secretary of State to give financial assistance
    2. 41. Prudential borrowing code
    3. 42. Public dividend capital
  4. Functions
    1. 43. Authorised services
    2. 44. Private health care
    3. 45. Protection of property
    4. 46. Financial powers
    5. 47. General powers
    6. 48. Information
    7. 49. Entry and inspection of premises
    8. 50. Fees
    9. 51. Trust funds and trustees
  5. Failure
    1. 52. Failing NHS foundation trusts
    2. 53. Voluntary arrangements
    3. 54. Dissolution etc
    4. 55. Sections 53 and 54: supplementary
  6. Mergers
    1. 56. Mergers
    2. 57. Section 56: supplementary
  7. Miscellaneous
    1. 58. Taxation
    2. 59. Conduct of elections
    3. 60. Voting and standing for election
    4. 61. Representative membership
    5. 62. Audit
    6. 63. General duty of NHS foundation trusts
  8. Supplementary
    1. 64. Orders and regulations under this Chapter
    2. 65. Interpretation of this Chapter
6. Chapter 6
  
  Miscellaneous
  1. Intervention orders and default powers
    1. 66. Intervention orders
    2. 67. Effect of intervention orders
    3. 68. Default powers
  2. Protection of members and officers of health service bodies
    1. 69. Protection from personal liability
  3. Transfer of residual liabilities
    1. 70. Transfer of residual liabilities
  4. Losses and liabilities of certain health service bodies
    1. 71. Schemes for meeting losses and liabilities etc of certain health service bodies
  5. Co-operation between NHS bodies
    1. 72. Co-operation between NHS bodies
  6. Directions and regulations under this Part
    1. 73. Directions and regulations under this Part
Part 3

Local authorities and the NHS
1. 74. Supply of goods and services by local authorities
2. 75. Arrangements between NHS bodies and local authorities
3. 76. Power of local authorities to make payments
4. 77. Care Trusts
5. 78. Directed partnership arrangements
6. 79. Further provision about directions and directed partnership arrangements
7. 80. Supply of goods and services by the Secretary of State
8. 81. Conditions of supply under section 80
9. 82. Co-operation between NHS bodies and local authorities
Part 4

Medical services
1. Duty of Primary Care Trusts in relation to primary medical services
  1. 83. Primary medical services
2. General medical services contracts
  1. 84. General medical services contracts: introductory
  2. 85. Requirement to provide certain primary medical services
  3. 86. Persons eligible to enter into GMS contracts
  4. 87. GMS contracts: payments
  5. 88. GMS contracts: prescription of drugs, etc
  6. 89. GMS contracts: other required terms
  7. 90. GMS contracts: disputes and enforcement
3. Performance of primary medical services
  1. 91. Persons performing primary medical services
4. Other arrangements for the provision of primary medical services
  1. 92. Arrangements by Strategic Health Authorities for the provision of primary medical services
  2. 93. Persons with whom agreements may be made under section 92
  3. 94. Regulations about section 92 arrangements
  4. 95. Transfer of liabilities relating to section 92 arrangements
5. Assistance and support
  1. 96. Assistance and support: primary medical services
6. Local Medical Committees
  1. 97. Local Medical Committees
7. Provision of accommodation by the Secretary of State
  1. 98. Use of accommodation: provision of primary medical services
Part 5

Dental services
1. Duty of Primary Care Trusts in relation to primary dental services
  1. 99. Primary dental services
2. General dental services contracts
  1. 100. General dental services contracts: introductory
  2. 101. Requirement to provide certain primary dental services
  3. 102. Persons eligible to enter into GDS contracts
  4. 103. GDS contracts: payments
  5. 104. GDS contracts: other required terms
  6. 105. GDS contracts: disputes and enforcement
3. Performance of primary dental services
  1. 106. Persons performing primary dental services
4. Other arrangements for the provision of primary dental services
  1. 107. Arrangements by Strategic Health Authorities for the provision of primary dental services
  2. 108. Persons with whom agreements may be made under section 107
  3. 109. Regulations about section 107 arrangements
  4. 110. Transfer of liabilities relating to section 107 arrangements
5. Dental public health
  1. 111. Dental public health
6. Assistance and support
  1. 112. Assistance and support: primary dental services
7. Local Dental Committees
  1. 113. Local Dental Committees
8. Provision of accommodation by the Secretary of State
  1. 114. Use of accommodation: provision of primary dental services
Part 6

Ophthalmic services
1. Duty of Primary Care Trusts in relation to primary ophthalmic services
  1. 115. Primary ophthalmic services
  2. 116. Regulations under section 115: supplementary
2. General ophthalmic services contracts
  1. 117. General ophthalmic services contracts: introductory
  2. 118. Persons eligible to enter into GOS contracts
  3. 119. Exclusion of contractors
  4. 120. GOS contracts: payments
  5. 121. GOS contracts: other required terms
  6. 122. GOS contracts: disputes and enforcement
3. Performance of primary ophthalmic services
  1. 123. Persons performing primary ophthalmic services
4. Assistance and support
  1. 124. Assistance and support: primary ophthalmic services
5. Local Optical Committees
  1. 125. Local Optical Committees
Part 7

Pharmaceutical services and local pharmaceutical services
1. Chapter 1
  
  Provision of pharmaceutical services
  1. 126. Arrangements for pharmaceutical services
  2. 127. Arrangements for additional pharmaceutical services
  3. 128. Terms and conditions, etc
  4. 129. Regulations as to pharmaceutical services
  5. 130. Regulations under section 129: appeals, etc
  6. 131. Power to charge
  7. 132. Persons authorised to provide pharmaceutical services
  8. 133. Inadequate provision of pharmaceutical services
2. Chapter 2
  
  Local pharmaceutical services: pilot schemes
  1. 134. Pilot schemes
  2. 135. Making pilot schemes
  3. 136. Designation of priority neighbourhoods or premises
  4. 137. Reviews of pilot schemes
  5. 138. Variation and termination of pilot schemes
  6. 139. NHS contracts and the provision of piloted services
  7. 140. Funding of preparatory work
  8. 141. Application of this Act
  9. 142. Premises from which piloted services may be provided
  10. 143. Control of entry regulations
3. Chapter 3
  
  Local pharmaceutical services: LPS schemes
  1. 144. Local pharmaceutical services schemes
4. Chapter 4
  
  Local pharmaceutical services: miscellaneous
  1. Application of enactments
    1. 145. Application of enactments
  2. Performance of local pharmaceutical services
    1. 146. Persons performing local pharmaceutical services
  3. Assistance and support
    1. 147. Assistance and support: local pharmaceutical services
5. Chapter 5
  
  Conditional inclusion in pharmaceutical lists, and supplementary lists
  1. 148. Conditional inclusion in pharmaceutical lists
  2. 149. Supplementary lists
  3. 150. Further provision about regulations under section 149
6. Chapter 6
  
  Disqualification
  1. 151. Disqualification of practitioners
  2. 152. Contingent removal
  3. 153. Fraud and unsuitability cases: supplementary
  4. 154. Suspension
  5. 155. Suspension pending appeal
  6. 156. Effect of suspension
  7. 157. Review of decisions
  8. 158. Appeals
  9. 159. National disqualification
  10. 160. Notification of decisions
  11. 161. Withdrawal from lists
  12. 162. Regulations about decisions under this Chapter
  13. 163. Corresponding provisions in Scotland and Northern Ireland
7. Chapter 7
  
  Miscellaneous
  1. Remuneration
    1. 164. Remuneration for persons providing pharmaceutical services
    2. 165. Section 164: supplementary
  2. Indemnity cover
    1. 166. Indemnity cover
  3. Local Pharmaceutical Committees
    1. 167. Local Pharmaceutical Committees
  4. Provision of accommodation by the Secretary of State
    1. 168. Use of accommodation: provision of pharmaceutical services and local pharmaceutical services
Part 8

Family Health Services Appeal Authority
1. 169. FHSAA
2. 170. FHSAA: financial provisions
3. 171. Conditions of use of services of persons under section 169
Part 9

Charging
1. Power to charge generally
  1. 172. Charges for drugs, medicines or appliances, or pharmaceutical services
  2. 173. Exemptions from general charging
  3. 174. Pre-payment certificates
  4. 175. Charges in respect of non-residents
2. Charging for dental services
  1. 176. Dental charging
  2. 177. Exemptions from dental charging
3. Charging for local pharmaceutical services
  1. 178. Charges, recovery of payments and penalties
4. Charging for optical appliances
  1. 179. Charges for optical appliances
  2. 180. Payments in respect of costs of optical appliances
  3. 181. Section 180: supplementary
5. Exemptions, etc
  1. 182. Remission and repayment of charges
  2. 183. Payment of travelling expenses
  3. 184. Sections 182 and 183: supplementary
6. Other provisions relating to charging
  1. 185. Charges for more expensive supplies
  2. 186. Charges for repairs and replacements in certain cases
  3. 187. Charges for designated services or facilities
  4. 188. Sums otherwise payable to those providing services
  5. 189. Hospital accommodation on part payment
  6. 190. Expenses payable by employed patients
7. Recovery, etc
  1. 191. Recovery of charges
  2. 192. Recovery of charges and payments in relation to goods and services
  3. 193. Penalties relating to charges
  4. 194. Offences relating to charges
Part 10

Protection of NHS from fraud and other unlawful activities
1. Preliminary
  1. 195. Compulsory disclosure of documents
  2. 196. Persons and bodies about which provision is made by this Part
2. Disclosure notices
  1. 197. Notice requiring production of documents
  2. 198. Production of documents
  3. 199. Delegation of functions
  4. 200. Code of practice relating to delegated functions
  5. 201. Disclosure of information
  6. 202. Protection of personal information disclosed for purposes of proceedings
  7. 203. Manner in which disclosure notice may be served
3. Offences under this Part
  1. 204. Offences in connection with production of documents
  2. 205. Offences relating to disclosure or use of information
  3. 206. Offences by bodies corporate etc
  4. 207. Offences committed by partnerships and other unincorporated associations
  5. 208. Penalties for offences under this Part: transitional modification
4. Supplementary
  1. 209. Orders and regulations under this Part
  2. 210. Interpretation of this Part
Part 11

Property and finance
1. Chapter 1
  
  Land and other property
  1. 211. Acquisition, use and maintenance of property
2. Chapter 2
  
  Trusts
  1. 212. Special trustees for a university hospital or teaching hospital
  2. 213. Transfers of trust property
  3. 214. Transfer of functions and property to or from special trustees
  4. 215. Trustees and property under section 222
  5. 216. Application of trust property: further provisions
  6. 217. Trusts: supplementary provisions
  7. 218. Private trusts for hospitals
3. Chapter 3
  
  Property transferred under the National Health Service Act 1946
  1. 219. Transferred property free of trusts
  2. 220. Trust property previously held for general hospital purposes
  3. 221. Voluntary hospitals
4. Chapter 4
  
  Raising money
  1. 222. Power to raise money
5. Chapter 5
  
  Formation of companies
  1. 223. Public-private partnerships
6. Chapter 6
  
  Finance
  1. Strategic Health Authorities and Special Health Authorities
    1. 224. Means of meeting expenditure of Strategic Health Authorities out of public funds
    2. 225. Means of meeting expenditure of Special Health Authorities out of public funds
    3. 226. Financial duties of Strategic Health Authorities and Special Health Authorities
    4. 227. Resource limits for Strategic Health Authorities and Special Health Authorities
  2. Primary Care Trusts
    1. 228. Public funding of Primary Care Trusts
    2. 229. Financial duties of Primary Care Trusts
    3. 230. Resource limits for Primary Care Trusts
    4. 231. Further provision about the expenditure of Primary Care Trusts
  3. Accounts and audit
    1. 232. Accounts and audit
  4. Allowances and remuneration
    1. 233. Allowances for members of certain bodies
    2. 234. Special arrangement as to payment of remuneration
    3. 235. Superannuation of officers of certain hospitals
    4. 236. Payments for certain medical examinations
Part 12

Public involvement and scrutiny
1. Chapter 1
  
  Patients' Forums
  1. 237. Establishment of Patients' Forums
  2. 238. Additional functions of PCT Patients' Forums
  3. 239. Entry and inspection of premises
  4. 240. Annual reports
  5. 241. Further provision about Patients' Forums
2. Chapter 2
  
  Public involvement and consultation
  1. 242. Public involvement and consultation
  2. 243. The Commission for Patient and Public Involvement in Health
3. Chapter 3
  
  Overview and Scrutiny Committees
  1. 244. Functions of overview and scrutiny committees
  2. 245. Joint overview and scrutiny committees etc
  3. 246. Overview and scrutiny committees: exempt information
  4. 247. Application to the City of London
Part 13

Miscellaneous
1. Independent advocacy services
  1. 248. Independent advocacy services
2. Joint working with the prison service
  1. 249. Joint working with the prison service
3. Standing advisory committees
  1. 250. Secretary of State's standing advisory committees
4. Patient information
  1. 251. Control of patient information
  2. 252. Patient Information Advisory Group
5. Emergency powers
  1. 253. Emergency powers
6. Local social services authorities
  1. 254. Local social service authorities
7. Supplies by the Secretary of State
  1. 255. Supplies not readily obtainable
8. Community services
  1. 256. Power of Primary Care Trusts to make payments towards expenditure on community services
  2. 257. Payments in respect of voluntary organisations under section 256
9. Universities
  1. 258. University clinical teaching and research
10. Sale of medical practices
  1. 259. Sale of medical practices
11. Price of medical supplies
  1. 260. Control of maximum price of medical supplies other than health service medicines
  2. 261. Powers relating to voluntary schemes
  3. 262. Power to control prices
  4. 263. Statutory schemes
  5. 264. Statutory schemes: supplementary
  6. 265. Enforcement
  7. 266. Controls: supplementary
12. Use of facilities in private practice
  1. 267. Permission for use of facilities in private practice
13. Health service development
  1. 268. Persons displaced by health service development
14. Registration of information, etc
  1. 269. Special notices of births and deaths
  2. 270. Provision of information by Registrar General
Part 14

Supplementary
1. 271. Territorial limit of exercise of functions
2. 272. Orders, regulations, rules and directions
3. 273. Further provision about orders and directions under this Act
4. 274. Supplementary regulatory powers
5. 275. Interpretation
6. 276. Index of defined expressions
7. 277. Commencement
8. 278. Short title, extent and application
1. Schedule 1
  
  Further provision about the Secretary of State and services under this Act
2. Schedule 2
  
  Strategic Health Authorities
3. Schedule 3
  
  Primary Care Trusts
  1. Part 1
    
    Constitution and membership
  2. Part 2
    
    PCT orders
  3. Part 3
    
    Powers and duties
  4. Part 4
    
    Transfer of property
  5. Part 5
    
    Transfer of staff
4. Schedule 4
  
  NHS trusts established under section 25
  1. Part 1
    
    Constitution, establishment, etc
  2. Part 2
    
    Powers and duties
  3. Part 3
    
    Dissolution
  4. Part 4
    
    Miscellaneous
5. Schedule 5
  
  Financial provision about NHS trusts established under section 25
6. Schedule 6
  
  Special Health Authorities established under section 28
7. Schedule 7
  
  Constitution of public benefit corporations
8. Schedule 8
  
  Independent Regulator of NHS foundation Trusts
9. Schedule 9
  
  NHS foundation trusts: transfer of staff
10. Schedule 10
  
  Audit of accounts of NHS foundation trusts
11. Schedule 11
  
  Pilot schemes
12. Schedule 12
  
  LPS schemes
13. Schedule 13
  
  The Family Health Services Appeal Authority
14. Schedule 14
  
  Further provision about the expenditure of Primary Care Trusts
15. Schedule 15
  
  Accounts and audit
16. Schedule 16
  
  The Commission for Patient and Public Involvement in Health
17. Schedule 17
  
  Exempt information relating to health services
  1. Part 1
    
    Descriptions of exempt information
  2. Part 2
    
    Qualifications
  3. Part 3
    
    Interpretation
18. Schedule 18
  
  Section 75 arrangements: transfer of staff
19. Schedule 19
  
  Further provision about standing advisory committees
20. Schedule 20
  
  Further provision about local social services authorities
21. Schedule 21
  
  Prohibition of sale of medical practices
22. Schedule 22
  
  Control of maximum prices for medical supplies

An Act to consolidate certain enactments relating to the health service.

[8th November 2006]

Be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:--

Part 1 Promotion and provision of the health service in England

The Secretary of State and the health service in England

1 Secretary of State's duty to promote health service

(1) The Secretary of State must continue the promotion in England of a comprehensive health service designed to secure improvement--

(a) in the physical and mental health of the people of England, and

(b) in the prevention, diagnosis and treatment of illness.

(2) The Secretary of State must for that purpose provide or secure the provision of services in accordance with this Act.

(3) The services so provided must be free of charge except in so far as the making and recovery of charges is expressly provided for by or under any enactment, whenever passed.

General power to provide services

2 Secretary of State's general power

(1) The Secretary of State may--

(a) provide such services as he considers appropriate for the purpose of discharging any duty imposed on him by this Act, and

(b) do anything else which is calculated to facilitate, or is conducive or incidental to, the discharge of such a duty.

(2) Subsection (1) does not affect--

(a) the Secretary of State's powers apart from this section,

(b) Chapter 1 of Part 7 (pharmaceutical services).

Provision of particular services

3 Secretary of State's duty as to provision of certain services

(1) The Secretary of State must provide throughout England, to such extent as he considers necessary to meet all reasonable requirements--

(a) hospital accommodation,

(b) other accommodation for the purpose of any service provided under this Act,

(d) such other services or facilities for the care of pregnant women, women who are breastfeeding and young children as he considers are appropriate as part of the health service,

(e) such other services or facilities for the prevention of illness, the care of persons suffering from illness and the after-care of persons who have suffered from illness as he considers are appropriate as part of the health service,

(f) such other services or facilities as are required for the diagnosis and treatment of illness.

(2) For the purposes of the duty in subsection (1), services provided under--

(a) section 83(2) (primary medical services), section 99(2) (primary dental services) or section 115(4) (primary ophthalmic services), or

(b) a general medical services contract, a general dental services contract or a general ophthalmic services contract,

must be regarded as provided by the Secretary of State.

(3) This section does not affect Chapter 1 of Part 7 (pharmaceutical services).

4 High security psychiatric services

(1) The Secretary of State's duty under section 1 includes a duty to provide hospital accommodation and services for persons who--

(a) are liable to be detained under the Mental Health Act 1983 (c. 20), and

(b) in the opinion of the Secretary of State require treatment under conditions of high security on account of their dangerous, violent or criminal propensities.

(2) The hospital accommodation and services mentioned in subsection (1) are referred to in this section and paragraph 15 of Schedule 4 (NHS trusts) as "high security psychiatric services".

(3) High security psychiatric services may be provided only at hospital premises at which services are provided only for the persons mentioned in subsection (1).

(4) "Hospital premises" means--

(a) a hospital, or

(b) any part of a hospital which is treated as a separate unit.

5 Other services

Schedule 1 makes further provision about the Secretary of State and services under this Act.

Provision of services otherwise than in England

6 Performance of functions outside England

(1) The Secretary of State may provide or secure the provision of anything mentioned in section 3(1) outside England.

(2) The Secretary of State's functions may be performed outside England and Wales, in so far as they relate to--

(a) holidays for patients,

(b) the transfer of patients to or from Scotland, Northern Ireland, the Isle of Man or the Channel Islands, or

(c) the return of patients who have received treatment in England and Wales, to countries or territories outside the British Islands (including for this purpose the Republic of Ireland).

Exercise and distribution of functions

7 Distribution of health service functions

(1) The Secretary of State may direct a Strategic Health Authority, a Primary Care Trust or a Special Health Authority to exercise any of his functions relating to the health service which are specified in the directions.

(2) The Secretary of State may direct a Special Health Authority to exercise any functions of a Strategic Health Authority or a Primary Care Trust which are specified in the directions.

(3) The functions which may be specified in directions include functions under enactments relating to mental health and care homes.

8 Secretary of State's directions to health service bodies

(1) The Secretary of State may give directions to any of the bodies mentioned in subsection (2) about its exercise of any functions.

(2) The bodies are--

(a) Strategic Health Authorities,

(b) Primary Care Trusts,

(d) Special Health Authorities.

(3) Nothing in provision made by or under this or any other Act affects the generality of subsection (1).

NHS contracts

9 NHS contracts

(1) In this Act, an NHS contract is an arrangement under which one health service body ("the commissioner") arranges for the provision to it by another health service body ("the provider") of goods or services which it reasonably requires for the purposes of its functions.

(2) Section 139(6) (NHS contracts and the provision of local pharmaceutical services under pilot schemes) makes further provision about acting as commissioner for the purposes of subsection (1).

(3) Paragraph 15 of Schedule 4 (NHS trusts and NHS contracts) makes further provision about an NHS trust acting as provider for the purposes of subsection (1).

(4) "Health service body" means any of the following--

(a) a Strategic Health Authority,

(b) a Primary Care Trust,

(d) a Special Health Authority,

(e) a Local Health Board,

(f) a Health Board constituted under section 2 of the National Health Service (Scotland) Act 1978 (c. 29),

(g) a Health and Social Services Board constituted under the Health and Personal Social Services (Northern Ireland) Order 1972 (S.I. 1972/1265 (N.I.14)),

(h) the Common Services Agency for the Scottish Health Service,

(i) the Wales Centre for Health,

(j) the Health Protection Agency,

(k) the Commission for Healthcare Audit and Inspection,

(l) the Scottish Dental Practice Board,

(m) the Secretary of State,

(n) the Welsh Ministers,

(o) the Northern Ireland Central Services Agency for the Health and Social Services established under the Health and Personal Social Services (Northern Ireland) Order 1972,

(p) a special health and social services agency established under the Health and Personal Social Services (Special Agencies) (Northern Ireland) Order 1990 (S.I. 1990/247 (N.I.3)),

(q) a Health and Social Services trust established under the Health and Personal Social Services (Northern Ireland) Order 1991 (S.I. 1991/194 (N.I.1)),

(r) the Department of Health, Social Services and Public Safety.

(5) Whether or not an arrangement which constitutes an NHS contract would apart from this subsection be a contract in law, it must not be regarded for any purpose as giving rise to contractual rights or liabilities.

(6) But if any dispute arises with respect to such an arrangement, either party may refer the matter to the Secretary of State for determination under this section.

(7) If, in the course of negotiations intending to lead to an arrangement which will be an NHS contract, it appears to a health service body--

(a) that the terms proposed by another health service body are unfair by reason that the other is seeking to take advantage of its position as the only, or the only practicable, provider of the goods or services concerned or by reason of any other unequal bargaining position as between the prospective parties to the proposed arrangement, or

(b) that for any other reason arising out of the relative bargaining position of the prospective parties any of the terms of the proposed arrangement cannot be agreed,

that health service body may refer the terms of the proposed arrangement to the Secretary of State for determination under this section.

(8) Where a reference is made to the Secretary of State under subsection (6) or (7), he may determine the matter himself or appoint a person to consider and determine it in accordance with regulations.

(9) "The appropriate person" means the Secretary of State or the person appointed under subsection (8).

(10) By the determination of a reference under subsection (7) the appropriate person may specify terms to be included in the proposed arrangement and may direct that it be proceeded with.

(11) A determination of a reference under subsection (6) may contain such directions (including directions as to payment) as the appropriate person considers appropriate to resolve the matter in dispute.

(12) The appropriate person may by the determination in relation to an NHS contract vary the terms of the arrangement or bring it to an end (but this does not affect the generality of the power of determination under subsection (6)).

(13) Where an arrangement is so varied or brought to an end--

(a) subject to paragraph (b), the variation or termination must be treated as being effected by agreement between the parties, and

(b) the directions included in the determination by virtue of subsection (11) may contain such provisions as the appropriate person considers appropriate in order to give effect to the variation or to bring the arrangement to an end.

10 Provision for bodies in Northern Ireland

(1) Subsection (2) applies where a Health and Social Services Board constituted under the Health and Personal Social Services (Northern Ireland) Order 1972 (S.I. 1972/1265 (N.I.14)) or a body mentioned in paragraph (o), (p), (q) or (r) of section 9(4) is a party or prospective party to an arrangement or proposed arrangement which--

(a) falls within the definition of NHS contract in section 9(1), and

(b) also falls within the definition of HSS contract in Article 8 of the Health and Personal Social Services (Northern Ireland) Order 1991 (S.I. 1991/194 (N.I.1)).

(2) Subsections (5) to (13) of section 9 apply in relation to the arrangement or proposed arrangement with the substitution for references to the Secretary of State of references to the Secretary of State and the Department of Health, Social Services and Public Safety acting jointly.

11 Arrangements to be treated as NHS contracts

(1) This section applies to any arrangement under which a Strategic Health Authority, a Primary Care Trust or such other health service body as may be prescribed arrange for the provision to it--

(a) by a contractor under a general ophthalmic services contract,

(b) by a person on an ophthalmic list,

(d) by a person who has entered into a pharmaceutical care services contract under section 17Q of the National Health Service (Scotland) Act 1978 (c. 29),

of the goods or services mentioned in subsection (2).

(2) The goods or services are those that the body reasonably requires for the purposes of its functions, other than functions under--

(a) section 115 (primary ophthalmic services),

(b) Chapter 1 or 2 of Part 7 (pharmaceutical services and local pharmaceutical services under pilot schemes), or

(c) Part 6 of, or Chapter 1 or 2 of Part 7 of, the National Health Service (Wales) Act 2006 (c. 42) (general ophthalmic services and pharmaceutical services and local pharmaceutical services under pilot schemes).

(3) Any such arrangement must be treated as an NHS contract for the purposes of section 9 (other than subsections (7) and (10)).

(4) "Health service body" means a body which is a health service body for the purposes of section 9.

(5) "Ophthalmic list" means a list published in accordance with regulations made under--

(a) section 72(1)(a) of the National Health Service (Wales) Act 2006,

(b) section 26(2)(a) of the National Health Service (Scotland) Act 1978, or

(6) The reference to a list published in accordance with regulations made under paragraph (a) of section 26(2) of the National Health Service (Scotland) Act 1978 is a reference to the first part of the list (referred to in sub-paragraph (i) of that paragraph) which is published in accordance with regulations under that paragraph.

(7) "Pharmaceutical list" includes a list published in accordance with regulations made under--

(a) section 83(2)(a) of the National Health Service (Wales) Act 2006, or

(b) Article 63(2A)(a) of the Health and Personal Social Services (Northern Ireland) Order 1972.

Provision of services otherwise than by the Secretary of State

12 Secretary of State's arrangements with other bodies

(1) The Secretary of State may arrange with any person or body to provide, or assist in providing, any service under this Act.

(2) Arrangements may be made under subsection (1) with voluntary organisations.

(3) The Secretary of State may make available any facilities provided by him for any service under this Act--

(a) to any person or body carrying out any arrangements under subsection (1), or

(b) to any voluntary organisation eligible for assistance under section 64 or section 65 of the Health Services and Public Health Act 1968 (c. 46).

(4) Where facilities are made available under subsection (3), the Secretary of State may make available the services of any person employed in connection with the facilities by--

(a) the Secretary of State,

(b) a Strategic Health Authority,