FINANCE: Mid Yorkshire Hospitals NHS Trust faces a possible £14m gap to deliver its financial plans, because hoped for primary care trust support is in doubt.
NHS North of England’s first report on finance across the region identifies it as one of five trusts with “high risk” for finance in 2011-12. The trust had a year to date deficit of £4.4m at month six.
The board paper says: “The trust is dealing with a range of service and financial performance issues, and these are being overseen by a Health Economy Foundation Trust Programme Board, with involvement from the strategic health authority.
“In financial terms, the two main elements of the challenge in 2011-12 are delivery by the trust of a £30m cost improvement programme, and agreement across the health economy of an approach to meeting an additional in-year financial gap of £14m.
It adds: “The £14m gap remains unresolved, and the potential for the PCT cluster (Calderdale, Kirklees and Wakefield) to cover it, has to some extent receded due to further local work on reconciling the trust income assumptions. The cluster’s position remains that it requires the trust to demonstrate delivery against its own internal finance and performance targets before any external support may be forthcoming.
“The trust’s reported position is a year to date deficit of £4.4m due both to slippage on CIP schemes and to new expenditure pressures. The forecast position however does remain a breakeven position (assuming £14m support as noted above), as a result of remedial actions being taken within the trust, and because of a positive trading position with the PCT cluster.
“This position continues to require close monitoring, and on-going discussion with DH in the context of the trust’s FT aspirations.”