FINANCE: North Cumbria University Hospitals Trust had achieved just £3.7m of its planned £15.2m savings for 2011-12 by the end of November, its latest performance report shows.

“After eight months the trust is reporting a balanced financial position, the report stated.

“Whilst cost improvement programmes continue to be slow in delivering and therefore under achieving against target the trust is applying strategic financial support monies, secured via NHS North West, to maintain a balanced financial position,” it added.

The team managing the financially troubled trust’s “cost improvement programme” forecast that the plan would deliver just £8.2m savings for the full financial year.

“Work to determine how the remaining £7m of savings can be achieved continues, and if no further savings can be made, the trust will need to secure additional income,” the report continued. “The slow implementation of CIP is continuing to have a detrimental effect on the liquidity of the organisation.”

It added: “There was no significant change to the trust’s financial position in November. It remains very weak and although activity and income continue to be above plan costs are also higher than planned.

“Every effort must be made to reduce expenditure in order to bring costs back into line with the income generated. This remains a significant risk to the Trust’s achievement of its statutory financial duties.”