Commentary on Sections Financial matters Section 11: Power of Secretary of State to give financial assistance
68.This section provides for the Secretary of State to give loans, public dividend capital, grants or other payments to NHS foundation trusts.
69.Subsection (3) provides the necessary statutory cover for the Secretary of State to guarantee payments due under Private Finance Initiative (PFI) agreements entered into by NHS foundation trusts. Such agreements are currently entered into by NHS trusts. They are certified as “externally financed development agreements” within the meaning of the National Health Service (Private Finance) Act 1997. The section envisages that these certification arrangements will continue.