NHS London has abolished its provider agency, which was established two years ago to lead its trusts in gaining foundation status.

The strategic health authority said “the time is now right to integrate the activities and staff of the agency into [our] other work streams”.

Its founding chief executive, Malcolm Stamp, left in December and chair Lord Warner will leave at the end of the month.

NHS London told HSJ at the end of March that 12 of its acute trusts were either not expected to gain foundation status at all, or had no data set to do so. Three of those – Bromley Hospitals, Queen Mary’s Sidcup and the Queen Elizabeth Hospital – have since merged into one trust.

Reviews of the acute provider landscape, led by the SHA with primary care trusts, are being carried out across north London.

NHS London said in a statement: “The agency has done much to improve trust performance and the foundation trust pipeline as well as resolving longstanding issues in south east London.

“It has begun the work of preparing the provider arms of PCTs to be more autonomous and efficient businesses for meeting the needs of the Healthcare for London programme.”

Lord Warner said: “When we were established two years ago London had a weak pipeline of trusts moving forward to foundation trust status. It also had a considerable legacy of financially challenged acute hospital trusts.

“The position is now much improved although there is still a need for considerable improvement if London is to have a financially resilient and clinically sound provider landscape that can cope with the challenging financial times ahead. I wish [SHA chair Sir] Richard Sykes and his SHA colleagues well as they tackle these challenges.”

Sir Richard added: “I would like to thank Norman [Warner] for the leadership he has shown over the past two years and to wish him well for the future.”