Auditor claims health authority running out of cash

The Audit Commission has warned that one of the countries largest health
authorities is so far in debt that it could run out of cash.

Optimisitc assumptions for the Surrey and Sussex strategic health authority
still see the body in the red to the tune of £80m by March, endangering its
ability to pay employees or purchase goods.

District auditor Helen Tompson argued that ‘radical action was needed for
authority to turn the situation around. The report recommended that all NHS
bodies in the authority produce robust plans to implement the strategic work
programme that has been developed, that financial recovery planning and
forecasting be improved and performance management processes be strengthened.

The action could also include the merger of services and potential closure of
hospitals, according to the Financial Times.

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