Published Work

Dealing with financially unsustainable providers

Public Deposited

how will the failure regime work?

Place of publication
  • London
Publisher
  • The King's Fund
Publication date
  • 2012
Pages
  • 12p.
Abstract
  • The financial pressures in the NHS are being felt particularly harshly by acute hospital trusts. A number of trusts and foundation trusts have been rated as at financial risk, and some trusts have declared themselves not financially sustainable as currently configured. These trusts will therefore not be able to achieve foundation trust status and alternative solutions are being sought. In the past, the Department of Health has bailed out financially unsustainable organisations. In the future, if foundation trusts are not able to balance their finances they will be declared “unsustainable” and will go into administration. The rules that govern this process are often referred to as the “failure regime”, although the formal term used in government documents is the “continuity of services framework”.
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