Question to the Department of Health and Social Care:

To ask the Secretary of State for Health and Social Care, with reference to the sustainability and transformation plan at South Tyneside Hospital, what his Department's policy is on local authorities borrowing money from the Public Works Loan Board to pay for changes to local hospitals under sustainability and transformation plans.

The policy on National Health Service providers borrowing from local authorities is that they must seek value for money for taxpayers and the resulting capital expenditure incurred must be affordable within the Department’s capital budget.

Further details can be found in the NHS capital regime guidance at the following link:

https://improvement.nhs.uk/resources/capital-regime-investment-and-property-business-case-approval-guidance-nhs-trusts-and-foundation-trusts/