Recovery of NHS Accident Costs: Tort as Vehicle for Raising Public Funds

Abstract

The Road Traffic (NHS Charges) Act 1999 and its regulations enables a hospital or trust which provides NHS treatment for a victim of a road accident to reclaim its costs from a compensator who pays damages to the person injured. The scheme is parasitic upon that set up ten years ago to enable the state to recovery the social security benefits paid to accident victims up to the date of the settlement of their tort claim. However, the NHS scheme differs in that it applies only to injuries caused by motor vehicles, and the costs recovered are returned to the hospitals which provided the treatment whereas the social security benefits recovered go directly into Treasury coffers. The legislation is of considerable importance in the administration of the tort system for its procedures must be taken into account in the settlement of all personal injury claims. The reform is also significant in confirming an approach to dealing with the collateral benefits which departs from notions of community responsibility for injury, and entrenches a discredited liability system as a means of raising public revenue.