The Act gave effect to the structural and administrative reform of the health system outlined in the 1972 white paper on National Health Service reorganisation.
Barbara Castle, as Secretary of State for Health and Social Services, campaigned to abolish pay beds in the NHS, but legislation introduced to this effect was later repealed under Margaret Thatcher.
The Act received royal assent on 4 April 1979, providing for the establishment of the Central Council for Nursing, Midwifery and Health Visiting (UKCC).