Mutual trust?

BMJ 1995;310:756 (25 March)

Editorials

Mutual trust?

Trusts should read the small print of the new NHS Mutual Fund

As the vesting date of the new NHS Mutual Fund approaches, trustsare thronging to sign up for the scheme, which is designed to"protect . . . against the adverse effects of large clinicalnegligence claims."¹ Currently, trusts deal with this risk intwo ways: by allocating amounts from their budgets to meet smallclaims and by borrowing from the NHS to spread the cost of largeclaims over several years. Trusts fear large settlements becausehaving to pass them on to purchasers through prices could makethem uncompetitive. But this fear may be exaggerated, and trustsneed accurate information on which to base their decision whetherto continue with the current approach or to subscribe to thenew scheme. After all, every pound paid into the fund is oneless pound for patients' care.