Revenue allocations are made to primary care trusts (PCTs) on a weighted-capitation formula that directs funding towards areas of greatest need.
The allocation formula introduced in 2003-04, and used in the 2006-08 allocations, provides the best available measure of health need in all areas. In calculating health need in rural areas it takes account of the effects of access, transport and poverty.
The Advisory Committee on Resource Allocation (ACRA) continuously oversees the development of the weighted-capitation formula. ACRA is an independent body made up of national health service managers, academics and general practitioners. ACRA has looked at the issue of rurality on many occasions, and its current work programme, post 2007-08, includes looking again at the issues faced by rural areas.