Ambitious targets of multi-million pound savings set

These include:

A failure to deliver savings plans

Serious problems implementing a new electronic patient record system and

Weakness in its organisation including lines of reporting and accountability.

The trust, which employs 4,000 staff and serves more than 250,000 people, has set ambitious targets to make savings of 5.6 per cent worth £13m in 2013-14 and a similar amount the following year – among the highest rates in the region.

It had made a net loss in each of the previous three years, and is due to run up a deficit in 2013-14 including restructuring costs which are likely to total £5m including bills for staff from American-led turnaround specialists Bolt Partners.

Its team will carry out a strategic review of services outlining a new vision for the trust to provide clinically and financially sustainable services.

One change is likely to mean a switch from hospital-based care to providing more in the community – although there has been speculation it could trigger a takeover or merger with another NHS trust in the area.