Freedom of information request details
FOI request date:
The following information was requested:
I believe that Guidance issued in July 1996 by the NHS Executive to all NHS Trust and Health Authority Chief Executives stated that, where a Trust or Health Authority proposed to enter into a structured settlement for damages, it must submit a Value For Money (VFM) Report for approval by the NHS Executive. Further Guidance relating to the preparation of a VFM Report stated that, when comparing the net present value of a conventional lump sum award, an annuity-backed structured settlement and a self-funded structured settlement, one of the ‘mandatory parameters’ was that: “costs of care should be assumed to rise by 2% per annum faster than the general rate of inflation”.
I am interested in the discount rates used by various bodies. I had a look at your website but could not find any updates to the above. I would be interested to know if the VFM Reports still exist and, in any event, what the assumed discount rate is nowadays. If it has changed, a short history of the changes would be helpful.
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