New guidance for NHS foundation trust governors published by Monitor

Published on: 22nd October 2009

From today NHS foundation trust governors have access to new guidance to support them in delivering statutory duties on behalf of their local communities.

The new guide published today is the culmination of research initiated by Monitor, the independent regulator of NHS foundation trusts, and was produced following a public consultation. Monitor surveyed foundation trust governors in 2007 to find out how well they were performing in their new role; the findings of that study indicated governors would welcome further advice and support on discharging their statutory duties.

Governors are an essential part of the unique governance structure at NHS foundation trusts; as the elected and appointed representatives of staff, patients, and local stakeholders, they provide a tangible link between a foundation trust and the local community it serves. The board of governors has significant power at its disposal through the statutory duties that it is required to discharge. In the process of representing the interests of the trust’s members, governors have a statutory duty to:

  • appoint and, if appropriate, remove the chair;
  • appoint and, if appropriate, remove the other non-executive directors;
  • decide the remuneration and allowances, and the other terms and conditions of office, of the chair and the other non-executive directors;
  • approve the appointment of the chief executive;
  • appoint and, if appropriate, remove the NHS foundation trust’s auditor; and
  • receive the NHS foundation trust’s annual accounts, any report of the auditor on them and the annual report.

In addition:

  • in preparing the NHS foundation trust’s forward plan, the board of directors must have regard to the views of the board of governors.

The new guidance addresses each of these statutory duties, describing the processes involved and suggesting points for consideration.

As the regulator, Monitor identified a need to provide support to those functions that are set out in the legislation that governs foundation trusts. However, the statutory duties covered by the new guidance do not represent the limit of the role of governor.  Monitor is therefore encouraging governors to develop wider best practice covering other aspects of their role as they develop.

Commenting on the importance of the new guidance, William Moyes, Monitor’s Executive Chairman said:

“Governors represent a real asset to the NHS in the drive to embed services to a culture of local accountability. We’ve produced this guidance to provide governors with a resource they can use to help them undertake their statutory duties.
 
“As governors gain relevant experience and knowledge it is likely they will grow in confidence and become increasingly active in their role. We have already seen examples at foundation trusts where governors have played a significant role in shaping the strategy of their organisations. We want to see that happening right across the system and the guidance we have developed should make a valuable contribution to that process.”

Notes

  1. A copy of ‘Your statutory duties A reference guide for NHS foundation trust governors’ is available to download from the publications section of Monitor’s website: http://www.monitor-nhsft.gov.uk/home/our-publications/browse-publication-date?keyword=2009
  2. More information about Monitor’s work with governors is available on Monitor’s website: www.monitor-nhsft.gov.uk/governors
  3. For media enquiries please contact Michael Moruzzi on 020 7340 2438, michael.moruzzi@monitor-nhsft.gov.uk
  4. Monitor authorises and regulates NHS foundation trusts ensuring they are well-managed and financially viable in order to deliver high quality healthcare for patients.
  5. Monitor was established in January 2004. It is independent of government and accountable to Parliament. Monitor’s functions and powers are set out in the National Health Service Act 2006.