Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

VAT Government and Public Bodies

HM Revenue & Customs
, see all updates

Local government partnership programmes: examples: section 75 NHS Act 2006 partnerships

Section 75 of the NHS Act 2006 gives NHS bodies flexibility to enter into partnership arrangements with local authorities. Each partner makes a contribution to the budget, either financially or in kind, but retains statutory responsibility for its own service. For efficiency reasons NHS bodies have the option to delegate some of their responsibilities to other partners.

It is unlikely that partnerships will make supplies for VAT purposes as they mainly exist to obtain benefits from pooled funding. VAT is recoverable according to the VAT regime that applies to the body delivering the services. So if the partners agree that delivery is by a local authority VAT is recoverable under section 33 (see VATGPB4000).