HC Deb 08 June 1999 vol 332 cc459-61
16. Mr. Nigel Evans (Ribble Valley)

What action he takes to encourage the retention of high-calibre non-executive directors of NHS trusts. [85013]

The Minister of State, Department of Health (Mr. John Denham)

If eligible for re-appointment, the best non-executive directors will always be encouraged to re-apply when their term of office is due to end. All appointments are made in accordance with the guidelines of the Commissioner for Public Appointments and the Department's own published procedures for NHS appointments.

Mr. Evans

If it is the policy to retain high-calibre non-executive directors, why did the Secretary of State sack three high-calibre non-executive directors of the Guild Community Health Care NHS trust in Preston? Why is not the Secretary of State answering the question, as he sacked them? What message does that send to non-executive directors throughout the country?

Mr. Denham

We will be discussing this matter at greater length during tonight's Adjournment debate, but I shall briefly give the background. After a series of events—critical reports on the trust, the suspension of the chief executive and the resignation of the chair—my right hon. Friend the Secretary of State concluded that, although he did not apportion any individual blame to non-executive board members for the serious problems that occurred, it was not in the interests of the Guild trust or the NHS for the previous non-executive board members to stay in post. A new chair and a full team of new non-executive board members have now been appointed.

Audrey Wise (Preston)

Will my hon. Friend also consider the value of high-calibre chief executive officers such as the chief executive officer in the Guild community trust, whose excellent work included winning the confidence of ethnic minorities and patients' families as well as the creation of unique, award-winning provision for suffers from late-stage Huntington's disease? Less than a year ago, my right hon. Friend the Secretary of State himself put an award into the hands of the chief executive, who has been victimised on the basis of unsubstantiated assertions which are not backed up by evidence.

Mr. Denham

In my view, the proper procedures have been followed and, in respect of the way in which the Guild trust has handled those matters, there has been proper consultation with the regional office. If anything, my hon. Friend's comments reinforce my view that my right hon. Friend the Secretary of State was absolutely right to get a fresh start for the trust so that it can build on its record and provide good patient care in the future.

Sir Sydney Chapman (Chipping Barnet)

Does the Minister agree that non-executive directors of NHS trusts ought to be remunerated? If so, does he believe that there is a case for looking at that question, particularly as it is some years since the remuneration was fixed?

Mr. Denham

As the hon. Gentleman suggests, non-executive directors are remunerated, but I am not aware of any immediate plans to review that remuneration. Across the country, we are able to attract candidates of excellent background and qualities who are willing to serve the NHS in that capacity, and we are grateful to them for that.