Norfolk & Waveney Conflicts of Interest Policy
A conflict of interest can be defined as a ‘set of circumstances that creates a risk that an individual’s ability to apply objective judgement or act in one role is, or could be, impaired or influenced by a secondary interest.’ (National Audit Office “Conflicts of interest” 27th January 2015).
Conflicts of interests occur where a person acting in a representative capacity (in this case, elected and appointed members, LMC directors and representatives (hereafter referred to in the collective as ‘member/s’)), could be unfairly influenced by financial or other commitments into failing to represent his or her constituency adequately, or adequately discharge their responsibilities in their appointed position.
It is appropriate, therefore, that there is openness and transparency about other commitments that Members may hold. By ensuring that any potential conflicts of interest are disclosed and known to others, they are less likely to influence debates/votes in meetings etc.
All Members must complete and return to the Committee Secretary a ‘Declaration of Interest’ form within 14 days of election or appointment to the Committee. The information provided by Members will be processed in accordance with data protection principles as set out in the Data Protection Act 1998 as amended by the UK Data Protection Act 2018 (DPA 2018) and the General Data Protection Regulation (GDPR). Data will be processed only for the purposes set out in this policy and not for any other purpose.
Where there is a potential for such relationships or external appointments to be material and relevant to LMC business, all such interests should be disclosed and any changes should be declared and recorded as and when they occur, and no later than fourteen (14) days of the change occurring. Any potential conflict of interest should then be declared before or at the commencement of any discussion or debate as well as on appointment to any LMC position.
The intention is not to prevent participation in other activities outside of the responsibilities of a Member, however, members are obligated and have a duty to declare any personal, pecuniary interest in proposed transactions/arrangements, donations made, or any other interest that they think may relate to any decision being taken.
Members must also be alert to conflicts of interest arising through business associations, spouses, partners and other close relatives. Where their conflict of interests makes it appropriate to do so, members must limit their participation in debate and/or decision-making.
Members must ensure that they declare any potential conflicts of interests in advance if they wish to speak on a matter where the subject of the debate could potentially lead to a conflict.
The responsibility for avoiding any conflict of interest lies with the individual. Care should be taken by Members so as not to place themselves under any obligation, or perceived obligation, to any individual or organisation that might influence them in their LMC duties. If this does occur, steps should be taken immediately to resolve any conflicts arising in a way that protects the LMC’s interest.
Members should take responsibility for ensuring that they notify the Committee Secretary of any change in circumstance (using the ‘Declaration of Interests’ form) and unless the Chair of the meeting has given permission for them to do so a member who has a conflict of interest should not be a party to any decision-making. This could range from absenting themselves from a meeting during the discussion of the issue or abstaining from voting, depending upon the nature of the conflict. It will be a matter for the chair to decide whether the person’s interest can be regarded as likely to give rise to a conflict of interest, as well as the appropriate course of action.
The type of information which Members should consider declaring as potential conflicts of interest is set out below. It is important to note that this list is not exhaustive and it is impossible to list every potential situation or circumstance that could give rise to a conflict of interests. Members should therefore use their judgment to decide whether any of their interests should be disclosed.
– Directorships and committee appointments: Both paid and unpaid directorships (including non-executive directors or senior employees) of any public or private company or other body, together with any roles or positions with other committees. Committee members appointed as representatives to any public or private company or other body are prevented from undertaking officer appointments on such e.g. they may not accept the position of Chair or Secretary.
– Trade union membership: any membership of a trade union must be disclosed.
– Other remunerated work: Any paid employment or other sources of income outside of general practice. Examples might be paid consultancy or advisory positions with government departments, pharmaceutical companies or the medical press, articles sold to the paramedical press, or remunerated speaking engagements. Also included should be work for companies active in other healthcare fields, NHS Trusts, health authorities, any NHS commissioning body or health boards and endorsements or appointments which could be used by other organisations for marketing purposes.
– Shareholdings or other positions: Declaration of the name of any public or private company (including any not-for-profit), business, partnership or consultancy active in the field of healthcare or certain other sectors where a conflict of interest might arise in which the member holds significant shareholdings, interests or control. Significant in the context of shareholdings is defined as either:
(a) greater than 1 per cent of the issued share capital of the company or body, or
(b) less than 1 per cent of the issued share capital but more than £25,000.
– Indirect social/business relationships and family interests: These would include any close association with an individual who has a financial interest, a non-financial professional interest or a non-financial personal interest (and any other interests) of close family members/friends/business partners that might be considered relevant to an individual’s position as a member of any LMC committee.
– Appointments which could lead to a commercial conflict of interests.
– Potential conflicts arising from the possession of confidential information.
– Miscellaneous and unremunerated interests: This includes other interests which do not fall clearly within any of the above categories, for example, membership of societies or of other organisations. Membership of, or work for, other bodies such as charities or trusts which could possibly influence a member’s position with regard to his/her LMC activities should also be included, as well as membership of UK Governments or Department of Health committees/working groups on which the member is not a designated LMC representative.
It is essential that declarations of interest and actions arising from any declarations are recorded formally and consistently. The checklist below will provide support and guidance in conflicts of interest management to the Chair of the meeting prior to, during and following the meeting.
Checklist & Responsibilities of the LMC Chair
| Timing | Checklist for Chairs | Responsibility |
|---|---|---|
| In advance of the meeting | 1. The agenda should include a standing item on declaration of interests, including a definition of conflicts of interest, to enable individuals to raise any issues and/or make a declaration prior to or at the meeting. The agenda should be circulated to enable attendees (including visitors) to identify any interests relating specifically to the agenda items being considered. | Chair & Secretary to the Committee |
| 2. Members should contact the Chair as soon as an actual or potential conflict is identified. | Committee Members | |
| 3. Chair to review a summary report from preceding meetings i.e., sub-committee, working group, etc., detailing any conflicts of interest declared and how this was managed. | Chair & Secretary to the Committee | |
| 4. A copy of the register of interests is checked to establish any actual or potential conflicts of interest that may occur during the meeting and the chair should consider how the potential conflict will be perceived externally. | Chair & Secretary to the Committee | |
| During the meeting | 5. Check and declare the meeting is quorate and ensure that this is noted in the minutes of the meeting. | |
| 6. Chair requests members to declare any interests in agenda items which have not previously been declared and authorised, including the nature of the conflict. | Chair | |
| 7. The register of interests is made available for inspection and the meeting and any updates made at the meeting will need to be dealt with before the meeting can proceed. | Chair | |
| 8. Chair makes a decision as to how to manage each potential conflict which has been declared, including whether/to what extent the individual Member should continue to participate in the meeting, on a case by case basis, and this decision is recorded. | ||
| 9. As a minimum requirement, the following should be recorded in the minutes of the meeting: | Chair & Secretary to the Committee | |
| – Declaration of any interest or any reference to previous declarations and how these were dealt with; – At what point the interest was declared; – The nature of the interest; – The Chair’s decision and resulting action taken; – An explanation of reasons for any broader decisions taken. – Visitors in attendance who participate in the meeting must also follow the meeting protocol and declare any interests in a timely manner. | Secretary to the Committee |
|
| While the ‘Declaration of Interests’ form should be completed in advance of any meetings, template forms for recording any interests during meetings should be made available by the Secretary to the Committee. | ||
| Following the meeting | 10. All interests should be promptly updated onto the declaration of interest form; | Individual(s) declaring interest(s) |
| 11. All new completed declarations of interest should be transferred onto the ‘Register of Interests’. | Designated Executive officer responsible for registers of interest | |
| The register will be published on the public area of the LMC website and updated as appropriate. |
Failure to disclose an actual or perceived conflict of interest, or to cease involvement in the situation until the conflict has been resolved, constitutes a breach of the LMC code of conduct and may be subject to the Raising Concerns & Whistleblowing policy. In applying the policy, consideration will be given to the extent to which the member was aware of the actual or perceived conflict of interest and/or made a reasonable decision not to declare it and the time and manner in which the failure to disclose is remedied, if applicable.
If a member is aware of a breach of this policy by another member it is recommended that the individual concerned is approached privately in the first instance so that the matter may be resolved informally. If concerns remain then it would be appropriate to give notice to the individual that the matter will be raised with the Secretary of the Committee. If the matter cannot be resolved at this stage, and bearing in mind that this policy is not going to be applied unreasonably or disproportionately, then the allegation may be considered in line with the Raising Concerns & Whistleblowing policy.
If members have any questions with regard to those interests which should be declared, they should seek advice from the Secretary to the Committee.
– Gifts and hospitality: A ‘gift’ is defined as any item of cash or goods, or any service, which is provided for personal benefit, free of charge or at less than its commercial value.
Gift should not be accepted that may affect, or be seen to affect professional judgement. Any personal gift of cash or cash equivalents e.g. vouchers, tokens, offers of remuneration to attend meetings in the capacity of representing the LMC must always be refused whatever their value and whatever their source.
Other gifts should not be asked for. Modest gifts under a value of £50 may be accepted and do not need to be declared. Gifts valued at over £50 should be treated with caution and only be accepted by the Secretary to the Committee on behalf of the LMC and not in any personal capacity. These should be declared.
A common sense approach should be applied to valuing of gifts (using an actual amount, if known, or an estimate that a reasonable person would make as to its value). Multiple gifts from the same source over a 12 month period should be treated in the same way as single gifts over £50 where the cumulative value exceeds £50.
Meals and Refreshments
Under a value of £25 may be accepted and need not be declared.
Of a value between £25 and £75 may be accepted and must be declared.
Over a value of £75 should be refused unless approved by the Secretary to the Committee.
Travel and Accommodation
Modest offers to pay some or all of the travel and accommodation costs related to attendance at events must be declared but may be accepted.
Hospitality must only be accepted when there is a legitimate business reason and it is proportionate to the nature and purpose of the event.
Particular caution should be exercised when hospitality is offered by actual or potential suppliers or contractors. This can be accepted if modest and reasonable but must be declared.
Offers which go beyond modest, or are of a type that the LMC itself might not usually offer, need prior approval by the Secretary to the Committee in writing. A non-exhaustive list of examples includes:
- offers of business class and five star accommodation.
- offers of foreign travel and accommodation.
All offers of gifts and hospitality should be declared to the Secretary of the Committee for inclusion on the Gifts and Hospitality register. Declarations must include:
- Beneficiary name i.e. the name of the staff or Committee member
- The nature and value of the gift or hospitality offered.
- Details of who made the offer.
- The date of offer /receipt.
- Any other relevant information (e.g. action taken to mitigate against a conflict, details of any approvals given to depart from the terms of this policy).
Revised March 2018 V1.2