FINANCE: Lewisham and Greenwich Trust received an £8.5m bailout of public dividend capital from the Department of Health to cover an unexpected deficit for the financial year 2014-15.
The £506m-turnover organisation will have to pay 3.5 per cent interest on the bailout but it is not yet known if it will have to repay the principal.
It received the £8.5m from the DH’s independent trust finance facility. The organisation was predicting break-even, once accounting rules relating to its PFI repayments had been taken into account, but its position deteriorated in-year.
The organisation’s latest board papers also showed it was £9m behind its planned £26.5m savings plan for the year.
20 April 2015