Commentary on Sections Financial arrangements: England and Wales Section 7: Funding of Strategic Health Authorities and Health Authorities
63.Section 7(2) inserts a new subsection into section 97 of the 1977 Act to provide for the funding of Strategic Health Authorities.  It mirrors the existing provision for the funding of Special Health Authorities.
64.Sections 7(3), 7(4) and 7(5) relate to performance payments and add Strategic Health Authorities to the existing provisions of section 97.
65.Sections 7(6), 7(7)(a) and 7(9) add Strategic Health Authorities to the existing provisions of section 97 for the funding of HAs.  They cover respectively: the variation of allotments in the course of a year; the earmarking of allotments for a particular purpose, and the payment of capital charges; and the keeping of records. Section 7(7)(c) omits the existing provision concerning sums paid by PCTs to HAs in respect of capital charges.  The revised section 97C(8)(b) inserted by section 8 provides for PCTs to pay these sums direct to the Secretary of State.