Trust told it must save £14m by next March (From The Wiltshire Gazette and Herald)

Trust told it must save £14m by next March

Chief executive Carol ClarkeA DEBT-CRIPPLED trust responsible for healthcare in west Wiltshire has been told it has seven months to save nearly £14m.

The bombshell comes as bosses at West Wiltshire Primary Care Trust frantically draw up a recovery plan to make the savings, which will put all town hospitals, maternity units and health services on the executioner's block.

The Audit Commission has gone public on what it called major concerns about the trust's precarious financial position.

PCT bosses have to save at least £14.8m in the next three years, but more worryingly, need to save £13.8m of this total by March 31, 2006 11 per cent of the trust's annual budget.

A black hole of debt has left the PCT board admitting it is "fundamentally uncertain" about whether the savings are possible.

If hospital chiefs fail they would breach their statutory duty, which could see the dismissal of the PCT board and sacking of chief executive Carol Clarke. Troubleshooters would be sent into salvage the trust as they did at the Royal United Hospital, Bath.

Meanwhile there are growing fears that hospital workers with UNISON could take drastic action unless a guaranteed reopening date for Bradford on Avon hospital is announced.

UNISON steward Roger Davey refused to rule anything out, raising the possibility of industrial action. He was due to meet with staff last night to talk about the hospital closure.

Mrs Clarke, responding to the auditor's concerns, said there would be a major shake-up in services and stressed "no change is not an option".

West Wilts MP and shadow health minister Dr Andrew Murrison said he hoped the PCT would not be "spooked" into making sudden cutbacks, fearing community hospitals were firmly in the firing line.

"We all knew that there were some serious financial difficulties at the PCT," he said.

"This latest report makes things look considerably worse than we had suspected.

"My fear is the trust may be panicked into making cuts for short term expediency."

Dr Murrison said negotiations were needed at a ministerial level as the trust was facing a near impossible task, thanks to a historic underfunding.

Talking about the possibility of the axe falling on the board and chief executive, he said: "I would have thought it is a realistic possibility given what sounds like a fairly desperate statement made by the District Auditor."

UNISON steward Mr Davey said: "There is no way 11 per cent of your budget will go unnoticed.

"To expect the PCT to cut that amount of money is unrealistic. If they do cut that amount of money it will have a disastrous effect on local people.

"It would mean the closure of hospitals. They are the most vulnerable. It could be up to four hospitals.

"Staff and patients are already feeling the effects of cost cutting measures."

Mr Davey said proposals outlined in the PCT's recovery plan which still fails to account for £5.4m of debt and includes what the auditor called "high risk" strategies were vague and unclear.

John Cottle, chairman of the Bradford on Avon League of Friends, said he was worried the town hospital might never reopen.

"I can't see if they are going to supply healthcare to the people of west Wiltshire how they can make these savings," he said.

"They got into this position as they didn't bite the bullet a long time ago. I think the healthcare in west Wiltshire is pathetic.

"If they had been running a business it would have been bankrupt years ago."

Former Melksham mayor and district council deputy chairman Vic Oakman said the PCT had no chance of making the savings in time and said people were becoming resigned to hospital closures.

"My personal opinion is that it is financial mismanagement right from the word go. I can't see any improvement forthcoming."

Richard Vine, chairman of the Warminster League of Friends, said they were watching the situation with concern.

An emergency board meeting will be held on Wednesday, where members will look at how to meet a £5.4 shortfall in the recovery plan.

Shiena Bowen, chair of the board, said: "This is a serious place we find ourselves."