Private companies and foundation trusts will be invited to bid to manage a failing hospital trust.
NHS East of England has named an operating franchise as its preferred option for the future of Hinchingbrooke trust, in Cambridgeshire, and is preparing to begin a tendering process.
The move – which is awaiting final approval from the Department of Health – will be seen as a forerunner to other possible provider takeovers under the emerging NHS performance regime.
“It is cutting edge, groundbreaking stuff, and requires sensitive handling”
Hinchingbrooke has historic debts of £40m and has seen two changes of chief executive in the past two years.
The strategic health authority’s director of strategy Stephen Dunn said it was working closely with the DH. “We are committed to working to guidance and what we are doing will be consistent with Developing the NHS Performance Regime,” he said. “It is cutting edge, groundbreaking stuff, and requires sensitive handling.”
Performance plans
The government’s performance regime plans, published in June, identify management franchising – to an independent provider or foundation trust – as options for a failing trust.However, they do not establish details of the franchising process and Mr Dunn said some legal and financial arrangements had yet to be finalised. “We need to make sure we are adhering to national policy and processes and rules of competition,” he said. The franchising process, from tender being issued to new management taking over, could last up to two years, said Mr Dunn.
NHS East of England and Cambridgeshire primary care trust have developed a new model of accountability for the process.
Unison opposition… read on.
