Accountable Care Organisations: Greater Manchester

(asked on 31st October 2017) - View Source

Question to the Department of Health and Social Care:

To ask the Secretary of State for Health, what representations he has received on the effect on plans for accountable care organisations in Manchester of NHS VAT arrangements agreed with HM Revenue and Customs; and if he will make a statement.


Answered by
Steve Brine Portrait
Steve Brine
This question was answered on 8th November 2017

National Health Service organisations are responsible for deciding locally the most appropriate structures and arrangements they need to put in place to deliver services to their patients within available resources, meeting any tax liabilities that may arise and always ensuring they are working within the existing tax framework as applicable in the United Kingdom.

This principle applies to the commissioning and delivery of the Accountable Care Models Contract (ACO contract). The Department expects local health economies, particularly providers, to consider carefully the VAT implications of any organisational form they choose to develop for the purpose of holding an ACO contract.

An initial high level meeting between all affected parties was hosted by the Department on 13 July 2017.

The Department and NHS England officials continue to work with Manchester and HM Revenue and Customs to assess the issues arising from the development of a Manchester ACO, including the VAT implications.

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