FINANCE: Lewisham Healthcare Trust has increased the amount of working capital loan it is seeking from the Department of Health from £5m to £12m, board papers reveal.
Minutes of a financial committee said: “The trust was in the process of asking for a change to the loan amount from £5m to £12m to be repaid over a longer period to give the DH more confidence that the trust had cash available to deal with unusual events.
“Members thought it would be useful to gain Monitor’s perspective on the liquidity ratio, as the larger loan could make the difference between the trust being seen as viable or non-viable.”
The trust’s FT application has recently been delayed.
The DH has previously allowed debt repayments to be stretched over a longer period to help a trust’s FT application.
University Hospitals Southampton passed after being allowed to vary the terms of its loan.
Board papers (attached)