NHS Trusts (Hansard, 25 October 1993)

§ Mr. Milburn
To ask the Secretary of State for Northern Ireland (1) if he will itemise the cost of establishing national health service trusts;
(2) how much has been spent in each health and social service board on (a) printing and publication costs, (b) publicity and public relations costs, (c) consultation and public meetings and (d) other costs connected with the proposed establishment of NHS trusts in 1991–92 and 1992–93; and what is the expected spending in 1993–94.

§ Mr. Ancram
Health and social services boards are not required to meet costs of this nature. The Department of Health and Social Services has set aside additional resources to meet the cost of mounting applications for trust status and, where they are successful, other neccesary transitional expenses. Approximately £185,000 is set aside for each successsful applicant to cover the cost of developing and publishing a formal application, remuneration of non-executives during the shadow period and a range of measures to prepare the trust for operational independence.
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§ Mr. Milburn
To ask the Secretary of State for Northern Ireland how the revenue grant to national health service trusts during their shadow running period is calculated.

§ Mr. Ancram
The financial assistance which the Department of Health and Social Services gives to trusts during their shadow period is a one-off payment calculated to meet expenditure on areas essential to the trust becoming operationally independent. The level of assistance is based on that available in other parts of the United Kingdom.

§ Mr. Milburn
To ask the Secretary of State for Northern Ireland what will be his Department's total expenditure on the establishment of national health service trusts since their first introduction to the end of the current financial year.

§ Mr. Ancram
To date a total of around £1.9 million has been spent on the establishment of health and social services trusts in Northern Ireland. Decisions are awaited on two further applications for trust status. Were both of these applications to be successful, this figure would increase by £370,000 making the total expenditure to the end of the current financial year £2,270,000.

§ Mr. Milburn
To ask the Secretary of State for Northern Ireland what has been the cost of employing management consultants and private agencies to assist in the preparation of national health service trust applications in the Province, and in each health and social services board.

§ Mr. Ancram
The Department of Health and Social Services has employed consultants from the Institute of Health Services Management to assist in its assessment of applications for trust status. The average cost of this consultancy for each application has been £2,000. Information on other consultancy is not held centrally and could be obtained only at disproportionate cost.

§ Mr. Milburn
To ask the Secretary of State for Northern Ireland how much each national health service trust has spent on(a) shadow board costs, (b) legal expenses, (c) employment of staff and (d) miscellaneous expenses; and if he will define what costs are included under miscellaneous expenses.

§ Mr. Ancram
During the shadow period between establishment and operational independence trusts do not have funds of their own to meet these expenses and therefore costs are covered directly by the non-recurring assistance made available by the Department of Health and Social Services. Shadow board costs will vary from trust to trust depending on turnover but the average figure is around £20,000 per trust. Legal services for conveyancing etc. are provided by the Department at no cost to the trust. Details of individual costs for the employment of staff are not held centrally and could be obtained only at disproportionate cost. Miscellaneous expenses might include such items as new signs for buildings and vehicles, new stationery, organisational and management development, induction of chairmen and non-executive directors and consultants fees. Details of spending under individual headings are not held centrally and could be obtained only at disproportionate cost.