South London Healthcare NHS Trust faces dissolution

Posted: 26/06/2012

South London Healthcare NHS Trust has become the first NHS Trust to be threatened with the Government's 'unsustainable providers regime' after running up deficits of more than £150 million in the past three years.

The BBC News Health website reported that the Health Secretary, Andrew Lansley, has served a notice on the trust warning that within weeks a Special Administrator could be appointed to run the trust's affairs, leading to dissolution and the closure of some services.

The trust, which runs the Princess Royal University Hospital in Orpington, the Queen Mary's Hospital in Sidcup and the Queen Elizabeth Hospital in Woolwich, was created in 2009 when the three hospitals were amalgamated. Standards of care have been criticised in recent years with long waiting times for operations and longer than average waiting times in A&E.

The BBC has reported that the Government hopes the threat will act as a 'wake-up call' to other NHS trusts struggling with financial problems. It is thought that up to 22 NHS trusts may be facing similar serious financial difficulties, although South London Healthcare NHS Trust is the only trust so far to be threatened with a Special Administrator.

Tim Palmer, Team Leader of the Clinical Negligence and Personal Injury Team at Penningtons said: "We have seen a number of claims arising out of South London Healthcare NHS Trust over the past few years. It may be that the shortage of funding has influenced the quality of the care they are providing."

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