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The NHS trust behind King George Hospital in Goodmayes and Queen’s Hospital in Romford must act to avoid losing around £100 million this year.
BHRUT presented its financial recovery plan to Redbridge Council health scrutiny committee on January 23, which revealed it was £9million behind where it needed to be.
Some of the key causes include “inadequate local health infrastructure”, forcing more residents to rely on the hospitals, and understaffing, making it necessary to rely on expensive temp workers.
Chief financial officer Nick Swift said: ”We acknowledge the scale of the task ahead and that implementing the necessary changes is taking longer than planned.
“However we believe it’s achievable with focused effort and we know that if we deliver care in a way that’s better for staff and better for patients, that our finances will improve as a result.
“Integral to our plan are a number of key transformational programmes of work, which include: reducing the number of unnecessary outpatient appointments; reducing waste and improving inefficiencies in planned care which will see savings through better use of our theatres; and reducing spend on premium staffing costs.”
The report noted “previous strategies to ‘grow’ out of trouble didn’t work” and “focus must be on controlling costs”.
The trust recently received a £9million capital loan and a further £2.5million in central programme awards.