NHS Direct is to become a NHS Trust from April 2007, with the objective of becoming a NHS Foundation Trust as soon as practical after that.
NHS Foundation Trusts, established as independent, not-for-profit public benefit corporations with accountability to their local communities rather than central Government control, are able to tailor their services to best meet the needs of the local population.
Establishing NHS Direct as a NHS Foundation Trust will provide the opportunity to deliver the following: Investment in capital – NHS Direct is a technology-based organisation and its main income as a SpHA is from ringfenced allocations to PCTs from the DH for its core services. Additional funding is generated from PCTs for enhanced services. Becoming an NHS Foundation Trust will increase NHS Direct’s ability to raise capital.
Improving performance, efficiency and local accountability – becoming a NHS Foundation Trust will give NHS Direct additional incentives to deliver improved efficiency of service delivery and improvement in performance against targets. NHS Foundation Trusts operate governance arrangements that give local stakeholders and the public opportunities to influence the overall stewardship of the organisation and its strategic development.
Developing new services – becoming a NHS Foundation Trust will provide NHS Direct with the right incentives to develop new services, which will be commissioned from the NHS, DH or from private partners. Other products and services may be developed to support NHS service delivery.
Transition from Special Health Authority Status to a NHS Trust or NHS Foundation Trust will not affect pension arrangements and existing terms and conditions will still apply. NHS Foundation Trusts must offer the NHS Pension Scheme, and like other NHS Trusts will also be able to make alternative pension arrangements should they wish.