WHILE some health trusts have had multi-million pound debts written off by the Government, Worcestershire hospitals will be forced to pay theirs back.
Worcestershire Acute NHS Trust was forced to take out a £25 million loan to pay off its debts, which it is repaying at a rate of £5 million a year.
The trust announced it had to axe 720 positions at Worcestershire Royal Hospital, the Alexandra Hospital in Redditch and Kidderminster Hospital in April 2006 to plug the the black hole in the trust's finances.
But rather than pay their debts back, two other trusts have been baled out by the government - the Royal Wolverhampton Hospitals NHS Trust was given £6 million and University Hospitals Coventry and Warwickshire NHS Trust was given £14.5 million.
The Strategic Health Authority (SHA) NHS West Midlands says the fact the trust is in a position to pay back the money when others are struggling to do so, reflects its strong leadership and financial management. Its chief executive Cynthia Bower wrote in a letter to Worcester's MP Michael Foster that the two trusts that received the money had been deemed "financially challenged" because they could not repay loans, according to criteria set down by the Department of Health.
She also pointed out that Worcestershire hospitals had enjoyed significant financial benefits from the SHA in the past, including £20.78 million between 1998 and 2002 and £56.03 million between 2002 and 2008.
Michael O'Riordan, chairman of the Worcestershire Acute NHS Trust, which runs Worcestershire's three acute hospitals, wrote to MPs expressing his anger.
He said he was deeply disappointed' and claimed Worcestershire patients would be deprived of new services and facilities as a result.
Mr O'Riordan refused to talk to your Worcester News, but it is understood he had since accepted the SHA's explanation.
In a later letter to MPs he wrote: "I recognise the confidence the NHS West Midlands has in the ability of the trust's existing leadership to resolve its own difficulties. I also now understand that the only trusts to receive this most recent SHA support are those which have in fact been deemed to unable to fully resolve matters for themselves."
Mr Foster had intended to set up a meeting between the trust and the Health Secretary Alan Johnson to discuss the situation, but this has since been cancelled after agreement was reached between the SHA and the trust.
He wrote that if WAHT was declared financially challenged' it would scupper its chance of getting Foundation Trust status in future.
Peter Luff, MP for mid-Worcestershire, has tabled parliamentary questions about fair funding.
He said: "It does still seem odd to me that trusts that have financial problems and can't manage their debts have them written off when a trust that is well managed is still burdened with them."
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