Foundation bust-up on cards over care funds

8 Jun 06
NHS foundation trusts are set for confrontations with primary care trusts after it was revealed they were owed up to £28m in payments for patient care.

09 June 2006

NHS foundation trusts are set for confrontations with primary care trusts after it was revealed they were owed up to £28m in payments for patient care.

Unaudited financial results for the 32 foundations in operation during 2005/06, published by regulator Monitor this week, showed the trusts had made an aggregate deficit of £24m.

However, this included provisions for bad debt totalling £28m relating to unpaid invoices. Without the provisions, the trusts would have reported an aggregate surplus of £4m — just short of the £7m surplus forecast at the beginning of the financial year.

Monitor said nine foundations had significant concerns about whether PCTs would pay for care that had been given under legally binding contracts. But it added that the provisions were 'unnecessarily prudent', as Department of Health guidance on payment by results put the trusts in a strong position to recover the money.

It was working with the department to ensure all parties met their contractual obligations.

PFjun2006

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