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PCTs have a range of financial duties that are summarised as follows:- Revenue and Capital Resource Limits Expenditure must stay within the limits set for a financial year. PCTs have resource limits for both revenue and capital and both of these must be met individually. Cash Limits Cash spending must stay within the cash limit set for the financial year. PCTs must achieve financial balance each year. Provider Full Cost Recovery PCTs are required to recover the full costs in relation to their provider functions. This means that funds for commissioning cannot be used to subsidise provider functions. The Better Payment Practice Code must be achieved. The target is to pay 95% of non-NHS and NHS creditors within 30 days of receipt of a valid invoice.
PCTs receive funding in two forms, namely, capital and capital revenue. Discrete criteria is applied to expenditure in order to determine whether it can be capitalised or not, but, spending is invariably on items with a useful life expectancy of more than one year and with a value greater than £5000. A typical capital programme for a PCT would consist of developments to its clinics and health centres, investment in expensive pieces of IT and equipment and funding investment within Primary Care for Dentistry and GP buildings. Revenue funding is received on a 'weighted capitation' basis. This uses a formula covering hospital and community services, prescribing, cash-limited general medical services, HIV/Aids and non-cash-limited general medical services. The weighting of each varies in the calculation, and within the categories, aspects such as population, age, relative need for healthcare and market forces are considered. The annual allocation for Trafford PCT for 2007/08 is in excess of £300m. Typical spending for a PCT would be in respect of services commissioned from its local healthcare providers, GPs, Dental Services Providers, Specialist Commissioning Providers and the PCTs own Provider Services e.g. District Nursing, Health Visiting, Allied Health Professionals etc.
Trafford Primary Care Trust, 2nd Floor Oakland House, Talbot Rd, Old Trafford, Manchester M16 0PQ