FINANCE: University Hospital of North Staffordshire has reported a £0.2m surplus for 2012-13 after receiving a £19m cash injection to cope with extra emergency demand.
The trust has reported a 15 per cent rise in A&E attendances and a 10 per cent rise in emergency admissions, which forced it to open an extra 130 beds last year.
It has also failed to deliver on its QIPP (Quality, Innovation, Productivity and Prevention) savings with a shortfall of £4.5m.
The latest finance summary for the 2012-13 year said: “The trust’s costs have been higher than planned primarily due to the costs of delivering significant unplanned emergency activity and insufficient delivery of QIPP schemes.
“This level of activity was not envisaged when the contractual arrangements for the year were originally agreed. The trust has therefore negotiated the necessary additional income as fair recompense for the level of over performance.”
The paper to the trust board added: “The underlying position has however worsened in 2012-13 and has risen to an underlying shortfall of income over expenditure of £41.6m.
“The trust has only delivered a balanced position with the help of significant sums of non-recurrent income, and an in year change in national accounting principles.
“As a consequence the trust faces a very difficult financial outlook for 2013-14 onwards. Foundation trust status is not a viable proposition until the current operational and strategic financial challenges are resolved.”