Trust named among those struggling to manage cash

7:30am Thursday 2nd October 2008

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A Hampshire health trust is among those still struggling to meet minimum standards on how they manage their money, a report showed today.

Twenty NHS trusts across England are falling below the minimum standards required by the Government, among them is Winchester and Eastleigh Healthcare Trust.

The Audit Commission review of performance in 2007/08 looked at 302 trusts, including mental health trusts, ambulance trusts and primary care trusts (PCTs).

Trusts were scored from 1 to 4, with 1 representing ''inadequate performance'' below minimum requirements.

A score of 2 represented ''adequate performance'' at minimum requirements, 3 highlighted trusts ''performing well'' consistently above requirements and 4 related to those ''performing strongly''

well above minimum requirements.

The Auditors' Local Evaluation (ALE) report found that half of the 302 trusts performed well or strongly when it came to use of their resources.

A total of 93% of trusts met or exceeded minimum standards for their overall use of resources. However, only 14 trusts (4.6%) performed ''strongly'' in this area while 10 trusts (3.3%) failed to balance their books.

The North West Strategic Health Authority area achieved the highest average score in England on use of resources.

Trusts in the Yorkshire and Humber Strategic Health Authority area scored the lowest on average.

London had the most mixed performance, containing both the highest proportion of NHS trusts performing strongly and performing poorly.

The 20 trusts falling below minimum standards represent a lower proportion than those falling below the standards last year. About 7% scored a 1 this year, compared with 31% in the previous year.

Michael O'Higgins, chairman of the Audit Commission, said: 'The improvements in the way that NHS trusts and PCTs have managed their money in the past year are impressive.

''Financial management in the health service had been in poor shape, but better use of resources locally has made a difference.

''Auditors have shown that many NHS bodies are now responding well to financial challenges and this local evaluation is helping to drive improvement.

''However, pockets of real concern remain. Poor financial management can put services for patients at risk.

''Patients and the public deserve better from the poor performers, who must learn from the strong performers.

''And we should be seeing a lot more than only 14 NHS bodies performing strongly in their use of resources.'

Steve Barnett, chief executive of the NHS Confederation which represents 95% of NHS organisations, said: ''For all organisations, stability is a vital foundation to improving performance.

''The NHS is no exception and the Audit Commission's figures show what NHS organisations can do, given the right conditions.

''In the current economic situation, we know that it is likely significant financial challenges lie ahead but, like the Audit Commission says, this is an impressive performance and we congratulate NHS trusts who have demonstrated such strong financial management.''

The 20 NHS trusts with the lowest overall score of 1 in 2007/08 are as follows:

• Brent Teaching Primary Care Trust
• Enfield Primary Care Trust
• Barking, Havering and Redbridge Hospitals NHS Trust
• Bromley Hospitals NHS Trust
• Buckinghamshire Primary Care Trust
• East of England Ambulance Service NHS Trust
• Great Yarmouth and Waveney Primary Care Trust
• Hinchingbrooke Health Care NHS Trust
• Hounslow Primary Care Trust
• Newham University Hospital NHS Trust
• North West London Hospitals NHS Trust
• North Yorkshire and York Primary Care Trust
• Queen Elizabeth Hospital NHS Trust
• Queen Mary's Sidcup NHS Trust
• Royal National Orthopaedic Hospital NHS Trust
• Trafford Hhealthcare NHS Trust
• Scarborough and North East Yorkshire Health Care NHS Trust
• Whipps Cross University Hospital NHS Trust
• Winchester and Eastleigh Healthcare NHS Trust
• Worcestershire Mental Health Partnership NHS Trust