The NHS assumed control of all public hospitals (both local authority and voluntary), and assumed responsibility for the financing of health care services for the entire population (Ham, 1985, p. 16). Physicians retained the status of independent contractors, and gained a major administrative role in the NHS at all levels.
The services of general medical practitioners, dentists, opticians, and pharmacists were administered within the NHS structure by executive councils at the local level (Ham, 1985, p. 17). Executive council membership is appointed local professional providers, local authorities, and the Ministry of Health. Executive councils administered funding that was provided by the Ministry of Health. Environmental and personal health services (maternity clinics, child welfare clinics, health education, ambulance services, and so forth) were administered by local authorities. Funding for the services administered by local authorities were derived jointly from central government grants and local rates. Hospitals were administered by regional hospital boards, hospital management committees, and boards of governors. Some teaching hospitals and esteemed voluntary hospitals were administered by boards of governors interacting directly with the Ministry of Health. This system of health care services administration remained in effect until 1974, when the NHS was reorganized (Ham, 1985, p. 26).
Reorganization of the NHS was intended to further unify health care services, improve coordination between health authorities and local services, and improve NHS management (Ham, 1985, pp. 27 28). Complete unification of health care services did not result from the reorganization, as general practitioners retained their independent contractor status, and as general practitioner committees assumed the responsibilities of the disbanded executive councils. Some postgraduate teaching hospitals also retained their quasi independent boa...