FT merger verdict

Foundation trusts are 'extremely unlikely' to be involved in any mergers under guidance published last week by Monitor, according to the Foundation Trust Network. Director Sue Slipman said that although she welcomed the steps Monitor had taken back from the 'overly prescriptive approach' in its consultation document on FT mergers, it was not enough. The guidance requires any new organisation to have a financial risk rating of three or above, demanding 'a standard of performance that will rarely be immediately realised in any merger situation', said Ms Slipman. 'We need to ensure merger is an option where integration carries higher risks in the first few years of operation but is still capable of delivering financial sustainability over the longer term.'

www.foundationtrustnetwork.org