Published on: 2nd August 2012
Monitor, the independent regulator of NHS foundation trusts, has today announced that it has used its formal powers of intervention at Bolton NHS Foundation Trust to ensure that the Board is leading the Trust effectively on behalf of patients.
The decision is due to the Trust's worsening financial position leading to a failure to comply with its general duty to exercise its functions effectively, efficiently and economically – part of its terms of authorisation for foundation status. The Trust remains in significant breach of the terms of authorisation identified in April of this year.
It is vital that the Trust stabilises its financial position without compromising clinical standards over the next twelve months to ensure that the Trust can continue to meet the needs of patients.
The Trust's Chair has indicated his intention to step down as soon as a suitable replacement has been identified and Monitor is using its powers of intervention to appoint an interim Chair immediately. The interim Chair will drive the turnaround required to address the Trust’s financial position; its governance issues and to ensure all healthcare targets are met reliably.
Monitor is therefore:
Monitor originally found Bolton NHS FT in significant breach in April 2012. We asked the Trust to commission an external review of governance and to rectify performance on healthcare standards and targets. Subsequently, the Trust's financial position deteriorated significantly and Monitor asked the Trust to commission a review of its financial position and financial governance and reporting. This review clarified the seriousness of the Trust’s financial position requiring Monitor to act quickly to ensure that the Trust can immediately take the required steps to ensure stability.
Speaking after Monitor's Board made its decision, Merav Dover, Compliance Director at Monitor said:
"Monitor’s Board is intervening to strengthen the leadership of the Trust so that an effective recovery plan can be put in place to ensure that all problems are fixed as quickly as possible for the benefit of patients. David Wakefield has the required experience to stabilise the Trust's financial position whilst maintaining quality.
"The Trust is required to report to us on a regular basis so that we can hold them to account on the delivery of their turnaround plan".
ENDS
Notes for editors