15.05.14
CMA clears way for Heatherwood hospital takeover
A planned takeover of the Heatherwood and Wexham Park Hospitals NHS Foundation Trust (HWPH), which the CQC said should be placed in special measures earlier this month, has been cleared by the Competition and Markets Authority (CMA).
The potential acquisition by neighbouring Frimley Park Hospital NHS Foundation Trust (FPH) has been hailed by the regulator Monitor as the “best available solution to the problems faced by HWPH, and the most likely way to achieve improvements in services for patients”.
During the CMA’s investigation, it looked at whether the merger was in the overall interest of patients and found that the deal would not lead to a material reduction in competition between hospitals in the area or loss of choice for patients, CCGs, or NHS England.
Nelson Jung, CMA director of mergers, said: “We are confident that this merger will not substantially weaken competition so as to reduce the quality or range of healthcare services provided to patients in the area.
“Our constructive discussions with the hospitals prior to their formal notification of the proposal, along with the close cooperation between the CMA and Monitor, has enabled us to complete this investigation swiftly.”
Monitor put HWPH into special measures after the CQC found that care at the Trust was inadequate and it was not well-led. The inspection highlighted 18 improvement areas, including patient care and nurse staffing levels. The CQC report also raised serious concerns about bullying, harassment, and clinicians appearing to work against each other rather than together to improve standards of care.
Owing to the problems of recruiting individual leaders to HWPH, Monitor stated that the solution is to find a whole leadership team capable of addressing the Trust’s problems. It stated that FPH is a high performing Ttrust with a stable leadership team and a high performing team of consultants which has been responsible for delivering high quality care over a significant period of time.
Dr David Bennett, chief Executive of Monitor, added: “The CMA’s decision gives a clear signal that the merger authorities can act swiftly to approve transactions between NHS Foundation Trusts. In particular it demonstrates that the competition rules don’t get in the way of well thought-out transactions.
“Subject to final approvals, this will be the first merger between Foundation Trusts.”
NHE has attempted to contact the potential acquirer about the decision, but had not received a reply at the time of publication. However, earlier this month, FPH said: “We are very much aware of the complex issues at HWPH.
“With regard to the potential acquisition, the board at FPH continues to work on a full business case examining the prospects of the acquisition in great detail. As previously stated, this stage is due to be finished by the summer.”
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