Action urged over £15.5m deficit

The Trust said it wants to concentrate on the future

Health chiefs are facing a £15.5m deficit at the end of the financial year, according to a report.

The appointed auditor to North Tees and Hartlepool NHS Trust issued a public interest report because of "serious concerns" about its financial position.

It said significant work was being done but it was a matter of urgency and an achievable recovery plan was agreed.

The Trust said measures, like a vacancy freeze, were having an impact and it was determined to tackle the issue.

Auditor Deloitte and Touche LLP found the Trust was facing significant challenges in meeting its break-even target.

Vacancy freeze

It said the year-end position is estimated to be in the region of a £15.5m deficit after repayment of earlier years' financial support of £6.5m.

Trust chief executive Ian Dalton said he and chairman Russell Hart, who both started their posts at the end of last year, welcomed the report and said it gave them a chance to draw a line under the situation and concentrate on the future.

He said: "We have had business recovery plans in place for some time now.

"Our vacancy freeze is already having a significant effect on our staffing costs and the staffing reviews which are enabling us to make sure we make the most efficient use of people are also having an impact.

"We have a further detailed business recovery plan which will deliver £10.4m of savings and as we head towards a new financial year we'll see them taking effect."