§ Mr. Milburn
Pursuant to the dissolution of 26 National Health Service trusts on 1 April 2000 and 1 October 2000, and their reconfiguration through the establishment of 10 new NHS trusts, I propose to create originating capital for the new NHS trusts equal to the net assets transferred to them and therefore to remit the outstanding debt of the dissolved trusts.
A number of primary care trusts were also established during the year. Public Dividend Capital is not required for the establishment of new primary care trusts as they are subject to a different financial regime. Net assets transferred from dissolving NHS trusts to primary care trusts are reflected in the general fund of the primary care trust.
These operations will involve no overall loss to the Exchequer. Her Majesty's Treasury has today presented a minute to the House giving particulars and circumstances of the proposed remission which it has approved in principle.