§ Sir Wyn RobertsTo ask the Secretary of State for Wales if he will make a statement about the payment of GP fundholder management allowances.
§ Mr. RedwoodManagement allowances are paid to GP fundholders to reimburse the additional costs incurred in directly managing NHS resources on behalf of their patients. Section 15 of the NHS and Community Care Act 1990 enables fundholders to receive a sum determined in such manner and by reference to such factors as the Secretary of State may direct. However, legal advice is that payments by fundolders for the sole purpose of management expenses need to be specified within regulations. This has now been provided for under the NHS (Fundholding Practices) Amendment Regulations 1995, which came into force on 1 April 1995. Extra-statutory management allowance payments of this kind, made between 1990–91 and 1994–95—which are estimated at around £9 million—have now been authorised.