§ Mr. Campbell-SavoursTo ask the Secretary of State for Health if he will review the interest rate returns on capital requirements imposed on trusts where trust estates include historic or heritage buildings. [3041]
§ Mr. MilburnThe return required on a National Health Service trust's assets is affected by both the set target rate of return (currently 6 per cent.) and the value of the assets concerned.
There are currently no plans to change the target rate of return. However, following a recommendation by the Advisory Group on the Review of the Trust Financial Regime the NHS Executive is at present investigating the methods used for valuing land and buildings in the NHS. If it can be demonstrated that clear benefits would result from changes to the existing method, those changes can be implemented at the next national revaluation.