07.06.13
CPT finds Peterborough and Stamford FT unsustainable
Peterborough & Stamford NHS Foundation Trust is clinically sound but financially unsustainable in its current form, Monitor has announced.
The Contingency Planning Team (CPT) found that clinical quality of care is appropriate, and “on the whole” within expected performance levels. But the trust’s deficit by the end of 2012-13 was £37m.
The DH gave the trust a one-off grant of £44.1m, yet forecasts for the next five years show a continuing deficit of £38m or more each year, and a cash shortfall of at least £40m a year.
Estate issues, including an under-utilisation of Peterborough City Hospital, contributed an estimated £22m to the deficit, as well as a PFI agreement costing £40m a year for 31 more years.
The deficit was partially caused by operational issues, CPT added, including £10m of possible performance improvements.
Stephen Hay, managing director of provider regulation, said: “This report clearly shows that Peterborough and Stamford Hospitals NHS Foundation Trust is not financially sustainable. We now expect the CPT to advise us what practical options are available to close the financial gap and ensure continuity of service to patients.
“Monitor is ensuring the voice of patients and the local community are listened to, and that the health needs of local people will continue to be met for years to come.”
The CPT will shortly make an independent recommendation on the future configuration of services at the trust.
NHE’s interview from earlier this year with trust chief executive Dr Peter Reading can be found here.
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