§ Lord Wade of Chorltonasked Her Majesty's Government:
Whether the National Health Service Trusts haw been advised that the Government will meet all future costs arising out of litigation brought by employees;
Whether they will meet all future costs arising out of litigation occurring prior to National Health Service Trusts status being granted and which have not been concluded by the previously employing district health authority; and
What provision has been made for hospital trusts to deal with retrospective claims for matters which originated before the trust was established.
§ The Parliamentary Under-Secretary of State, Department of Health (Baroness Hooper)NHS trusts have had transferred to them duties and liabilities in respect of claims brought by their employees arising out of events which occurred before the trusts' operational dates. However the trusts are not expected to meet the costs of these claims and the previous employing health authorities will meet them from within heir existing allocations.
NHS trusts are responsible for meeting the costs of claims brought by their employees arising out of events which occur on or after their operational date, and the trusts may insure against the risk of meeting such claims. Clarifying guidance will be issued shortly.
Where other duties and liabilities have been transferred from a health authority to a trust by order made by the Secretary of State—for example a building, contract—then the trust has financial responsibility for those duties and liabilities, including those preceding their operational date. Liabilities such as clinical negligence arising out of events which occurred before the operational date have not been transferred and remain with the health authority.