A London hospital trust has named the preferred bidder to operate its private patient unit.

Kingston Hospital Foundation Trust has named One Healthcare as preferred bidder after a competitive exercise to run the £5m turnover unit.

The news comes as BMI Healthcare’s contract for the service is due to end later this year.

One Healthcare runs a facility in Ashford, Kent, and has recently opened another in Hatfield, Hertfordshire. The Kent unit has a turnover of approximately £11m.

HSJ understands that at Kingston Hospital, in the Coombe Wing, a new facility could be built with three operating theatres, three minor theatres for day cases and would look to do orthopaedic and potentially some oncology work.

In a statement, the £246m turnover trust said: “It was now entering a period of contract negotiation with One Healthcare and subject to negotiation and due diligence, private patient services will transfer to the new provider later in the year.”

In her report to the February board meeting, chief executive Ann Radmore said: “Having a private patient unit onsite provides an income stream that contributes positively to the trust’s overall financial position, which in turn supports the delivery of NHS patient care.”

The trust is forecasting a year-end deficit of £4.7m for 2017-18, which is £13.1m worse than planned.

BMI Healthcare has run the Coombe Wing since 2009.

One Healthcare Partners was founded in 2014 and is funded by investment company Octopus Healthcare.

*This story was updated on 8th February to clarify it is the Kent unit that has a turnover of approximately £11m, not the Hertfordshire unit*