Saturday 15 March 2014

Foundation hospitals: Q&A

Q: What are foundation hospitals?

A: They will remain within the NHS but be free to manage themselves, dispose of their assets and borrow - with the permission of an independent regulator - to fund their operation. The Secretary of State for Health would no longer be able to run them directly.

Q: Who can apply for foundation status?

A: Hospital trusts who attain three stars in the health performance ratings will be eligible to apply. When the Commission for Health Improvement published its last ratings earlier this month, four trusts who had expressed an interest in getting foundation status saw themselves drop to two stars, meaning they could no longer apply.

Q: Why are some Labour MPs opposed to the plans?

A: They fear that the first wave of foundation hospitals will forge ahead, leaving others in their wake, creating a so-called two-tier system undermining the basic "universality of care", principals of the NHS.

Q: What would be the benefits of foundation hospitals?

A: Supporters of the plans say that by allowing hospitals to raise finance on the open markets it will create centres of excellence which will bring other hospitals up to the same level. The aim would also be to let hospitals respond to needs specific to their location.

Q: How big a gamble is it for Tony Blair to press ahead with the plans?

A: Quite a big gamble. He knows that about 130 out of 411 Labour MPs are at least worried about the plans, and that although the Tories back the move in principal they could help launch a Commons ambush.

Q: What happened last time the issue of foundation hospitals was put to a Commons vote earlier this month?

A: The Government narrowly avoided defeat despite 62 Labour MPs joining a Commons revolt on the matter. Their majority was slashed to just 35 as a rebel amendment to eliminate the foundation hospitals from the health and Social Care (Community Health and Standards) Bill was defeated by just 286 votes to 251. It was thought to be the smallest Government majority in a vote since Tony Blair came to power.

Q: What happens next?

A: The legislation still has to go to the House of Lords later in the year. Ministers have said they hope the first trusts which have been successful in attaining foundation status will be named at the beginning of 2004.


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