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Proceeding contribution from Lord Lansley (Conservative) in the House of Commons on Tuesday, 6 September 2011. It occurred during Debate on bill on Health and Social Care Bill (Programme) (No. 3).


Health and Social Care Bill (Programme) (No. 3)

No. I do not want to intrude on the time of other Members. Amendments 1219 and 1220 tabled by my hon. Friend the Member for Southport (John Pugh) would apply the Enterprise Act 2002 to mergers of the activities of foundation trusts with businesses, but would exclude from these arrangements mergers between foundation trusts. I have given careful thought to this proposal, but I am not convinced that it would address two of the problems of the existing regime. There is currently legal uncertainty as to when and where the 2002 Act would apply to mergers of foundation trusts. As a result, under the current arrangements for the review of mergers involving foundation trusts by the Co-operation and Competition Panel, there is always a potential risk of duplication—or worse still, double jeopardy. The risk arising from a separate regime for foundation trusts would be increased where a trust's activities extended beyond Monitor's remit—for example, where a foundation trust provided social care or supplied goods. Consolidating oversight of foundation trust mergers under the Enterprise Act, as proposed by the Bill, would avoid the risk of double jeopardy and eliminate the uncertainty of the current approach. Mergers are a specialist area. Hence, we think it is right to maintain existing responsibilities and expertise within the Office of Fair Trading and the Competition Commission, rather than resource a further body to consider potential mergers in health care. It may reassure my hon. Friend if I say that the OFT and the Competition Commission would consult Monitor to ensure that they had a full understanding of the health care issues involved.


Secondary information

Type
Proceeding contribution
Reference
532 c203 
Session
2010-12
Chamber / Committee
House of Commons chamber
Subjects
Accountability Competition Health services Finance Health authorities General practitioners Private sector NHS Procurement NHS foundation trusts Social services Reorganisation Monitor NHS Commissioning Board
Legislation
Health and Social Care Bill 2010-12
Link
View this Proceeding contribution on www.publications.parliament.uk