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Primary Care Trusts

Volume 448: debated on Thursday 29 June 2006

To ask the Secretary of State for Health whether primary care trusts will be required to pay acute trusts full tariff for all the activity their patients access. (79678)

Primary care trusts (PCTs) pay for activity, within the scope of payment by results, commissioned from national health service trusts and foundation trusts at prices determined by the national tariff. National rules on applying the tariff in 2006-07 are set out in “Payment by Results—Implementation Support Guide (Technical Guidance)” (published January 2006). There are different rules for out-patients/elective admissions; accident and emergency (A and E); and non-elective admissions.

For out-patients/elective admissions, payments are determined by the number and complexity of cases treated using national tariff prices. This may be expressed as a formula (activity x tariff).

For A and E, payments are determined by the planned number and complexity of cases, with additional funding for over performance at tariff, and withdrawal of funding for underperformance at 20 per cent. of tariff.

For non-elective admissions, a full tariff is paid for activity up to a threshold, which is set nationally. Activity above and below this threshold is paid for using a reduced tariff, that is 50 per cent. tariff in 2006-07.

The national tariff for 2006-07 is published on the Department’s website at: