FINANCE

Published: 01/12/2005 Volume 115 No. 5984 Page 8

An acute trust that is£7.7m in debt says 200 jobs may have to go to beat a growing cash crisis.

Peterborough and Stamford Hospitals foundation trust wants to implement the job cuts as part of a three-year plan to reduce its debt.

Chief executive Chris Banks said the trust could 'not keep on running at a loss'. Changes had been made during the summer with few redundancies, but he added: 'It looks unlikely that further efficiency savings will be achieved without them.' The axed jobs will be mainly in managerial and administrative posts, and take place over the next 17 months. Around 800 people work for the trust in those categories.

The aim is to reduce running costs by 4 per cent annually to create cost savings of£6.5m by March 2007.

The move comes after local primary care trusts reduced services they buy from the trust by£3m, treating more patients in the community.