“It’s the next logical step for Warwick Hospital, now that its future is secure“, says MP

Warwick & Leamington MP James Plaskitt has today thrown his support behind Warwick Hospital’s recently launched bid to become an NHS Foundation Trust.  The hospital is submitting its bid to the next round, which will see more Foundation Trusts established during 2008.

Foundation Trusts were introduced through a government reform in 2003.  NHS Foundation Trusts gain significant advantages:

• They become independent benefit corporations, modelled on co-operative and mutual traditions
• They gain greater freedom from Whitehall directives
• They gain greater financial autonomy 
• They recruit a local membership, establishing genuine local ownership
• They can respond to local health care needs

Foundation Trust status has to be approved by the Secretary of State, and applicants much pass rigorous testing before being allowed to progress to foundation status.

Warwick Hospital believes it is clear to go for Foundation status, now that it’s long term future is secure and its finances have been straightened out.  Mr Plaskitt worked closely with the hospital on these issues, securing modifications to the way Department of Health funding rules worked - which directly helped Warwick resolve its financing issues.  The hospital’s books are now in balance.

Warwick Hospital, if successful, plans to set up a new board structure, and would invite local residents to join.  The new governance structure would give the hospital greater local accountability, and would allow it to respond directly to the health needs of the local community.

Mr Plaskitt said, “Foundation status is the next logical step, now that we have achieved a secure future for the hospital, and resolved its financial position.  Foundation trusts are strongly embedded in their local community, and are freed from many central controls.  Foundation status is in keeping with the best tradition of public ownership, and is ideal for our local NHS hospital.”

Mr Plaskitt added, “Warwick hospital has very strong support from the local community, as we have seen clearly expressed especially over the last year or so.  I have no doubt that with Foundation status, the hospital would quickly succeed in establishing a strong level of community involvement.”

Mr Plaskitt said, “Foundation trust are still completely within the core of the NHS.  The greater local freedom they have does not mean they can part company with core NHS values, such as free treatment at the point of demand.  Nor can they soft peddle on core clinical objectives.  But in many other respects they gain vital freedoms which allow them to deliver services more in tune with local demands.  It will be the right step for Warwick hospital to take at this time and I wish its bid every success.”