healthcare update - issue five


Court of Appeal rules on entitlement of failed asylum seekers to free healthcare


You may have seen our bulletin in May last year, 'Are failed asylum seekers entitled to free healthcare?', commenting on the High Court case of Mr A, a failed asylum seeker who suffered chronic liver disease. Mr A was in an unenviable position, his presence in the UK was unlawful but he couldn’t return to the Middle East because he had no travel documents. The Palestinian authorities cannot issue such travel documents because it is not a recognised state and as a matter of course Israel refuses to facilitate the return of Palestinians to the occupied Palestinian territories.

The issue before the Court was whether he should be charged for his treatment at West Middlesex University Hospitals NHS Trust now he was a failed asylum seeker. This is an important issue for Trusts because the cost of treating overseas visitors is not reimbursed by commissioners. Attracting a number of such patients requiring expensive treatment will have a significant impact on budgets and will alarm all Chief Executives and Finance Directors.

In the first instance decision last year, the High Court considered the NHS (Charges to Overseas Visitors) Regulations 1989, which stipulates when a Trust should charge for NHS care, and the accompanying Ministerial Guidance on the Regulations and decided that failed asylum seekers who have yet to return home, like Mr A, would no longer automatically be charged for NHS care. It was estimated that there were 11,000 failed asylum seekers, whose return home had been delayed, who would now qualify for free healthcare.

The Secretary of State for Health appealed to the Court of Appeal against the High Court’s decision that Mr A was ordinarily resident in the UK for the purposes of obtaining NHS treatment and there was no discretion to withhold treatment. The Court of Appeal gave judgment on 30 March 2009.

The Court of Appeal allowed the Secretary of State’s appeal on the issue of whether a failed asylum seeker could be said to be ordinarily resident in the UK. The court held that free NHS care was available to those people with a legitimate connection with the country and that did not include those who should not be here. Whilst an application for asylum was being processed, the applicant was entitled to free NHS treatment but that right ended once it was determined he should not be here.

It was held that asylum seekers are not ordinarily resident because they do not have permission to be here but are here through “grace and favour” whilst their applications are determined. Their presence here for 12 months or more does not entitle them to NHS care.

However, Mr A’s cross appeal, arguing that the Ministerial Guidance was unlawful, was also partially successful. As far as Trusts’ discretion to withhold treatment is concerned, the Court of Appeal confirmed that there is discretion to either withhold treatment or to give treatment even when there is no prospect of the patient being able to pay for it. Trusts are required to exercise this discretion rationally and therefore risk challenge to their decisions by way of Judicial Review.

The Court of Appeal was critical of the Ministerial Guidance. Treatment is divided into three categories:

  • Immediately necessary treatment
  • Urgent treatment
  • Non-urgent treatment

In respect of ‘immediately necessary treatment’ it was not clear what investigations a Trust should undertake to find out when someone might return home in order to consider what limits, if any, should be placed on their treatment.

In respect of ‘urgent treatment’ the guidance encourages Trusts to collect a deposit in advance, equivalent to the full cost of treatment, but no guidance is given on what Trusts should do if that deposit cannot be paid and the patient cannot return home before the treatment is required. The guidance was also found to be lacking in respect of ‘non-urgent treatment’ where there was no prospect of the person returning home within a medically acceptable time.

The DH promptly wrote to all Trusts on 2 April with an update to the Ministerial Guidance. The DH is planning to re-draft the guidance in the autumn, following a period of consultation. In the meantime, pending any appeal to the House of Lords (permission to appeal was refused by the Court of Appeal, it is not known whether Mr A has petitioned the House of Lords direct) the position is:

  • Failed asylum seekers are not entitled to free NHS care
  • Trusts have discretion whether to withhold treatment pending payment
  • Trusts have discretion to provide treatment even though there is no prospect of the patient being able to pay for it
  • Prior to exercising this discretion Trusts should make sure appropriate investigations are carried out and documented

This is going to be a sensitive area for Trusts, pending publication of the revised guidance from DH. This issue will have financial implications in relation to the ‘cost’ of providing treatment that is not paid for by the patient or commissioners, and is also one where Trusts may be vulnerable to their decisions being challenged through the courts.

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Ian Long
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Neil Ward
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The content of this update is provided for the purposes of general interest and information. It contains only brief summaries of aspects of the subject matter and does not provide comprehensive statements of the law. It does not constitute legal advice and does not provide a substitute for it.

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