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An update on Hinchingbrooke Health Care NHS Trust


18 March 2015

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The Rt Hon Margaret Hodge MP, Chair of the Committee of Public Accounts said:  “Circle became the first private company to run an NHS hospital when it took operational control of Hinchingbrooke Health Care NHS Trust in February 2012. However, in January 2015, Circle announced that it intended to withdraw from the contract, just three years into the 10-year franchise.

 

The Rt Hon Margaret Hodge MP, Chair of the Committee of Public Accounts said:  “Circle became the first private company to run an NHS hospital when it took operational control of Hinchingbrooke Health Care NHS Trust in February 2012. However, in January 2015, Circle announced that it intended to withdraw from the contract, just three years into the 10-year franchise.

“Whilst this was an innovative – but ultimately unsuccessful – experiment, we are concerned that none of those involved in the decisions has been properly held to account.

“Despite our warnings about the risks, oversight of the contract by the various parties who had a role was poor and inadequate and no one has been held accountable for the consequences.

“As we warned in 2013, the taxpayer has been left exposed by the failure of the Hinchingbrooke franchise…We want to know the total cost to the taxpayer due to the failure of the franchise, including the costs of transition arrangements and the total cost of covering the financial deficits incurred during the franchise.”

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