NORTH Cumbria’s two debt-stricken acute hospitals are to benefit from a huge and unprecedented government decision to wipe off more than £13 billion in NHS debt.

In his first Downing Street briefing since he recovered from the Covid-19 virus, Health Secretary Matt Hancock this week announced the move, saying that the ‘landmark’ decision would put the NHS in a stronger position to respond to the pandemic.

“It will ensure that our NHS has stronger foundations for the future too,” he told reporters.

The initiative will be a huge benefit to The Cumberland Infirmary in Carlisle and West Cumberland Hospital in Whitehaven.

A recent Freedom of Information (FOI) request submitted by the News & Star revealed how the trust which runs the hospitals - North Cumbria Integrated Care NHS Foundation Trust - finished 2018 with a debt of just over £40 million. Last year, the debt reduced to £30 million.

In the first six months of the financial year that is about to end, the overspend was down to £13 million.

One of the key problem has been the trust’s consistently high spend on temporary ‘locum’ medical staff provided by agencies. In 2017/18, the north Cumbrian trust spent just under £12 million on this.

The following year, it was just over £11 million.

For the first nine months of the financial year just ended the figure was £7,345,200.

All of the trust’s operational debts will now be scrubbed, easing the pressure on bosses as they battle to restore the hospital to normality.

However, it is not thought that the Health Secretary’s debt cancellation extends to the private finance ‘mortgage’ that was used to pay for The Cumberland Infirmary.

Commenting on the issue, Carlisle MP John Stevenson said: “This was a huge announcement.

“From a local perspective, it will undoubtedly help our hospitals as they come out of the coronavirus crisis.

“It’s a decision which will have implications and repercussions for years to come. It will certainly help to protect services and will give our local trust room to manoeuvre.

“It’s a very welcome announcement.”

Mr Hancock told his press briefing: “Today, to help NHS trusts to deliver what’s needed without worrying about past finances, I can announce that I’m writing off £13.4bn of historic NHS debt.” He said the move would let hospital trusts channel resources into battling the outbreak rather than balancing the books.

NHS England chief executive, Sir Simon Stevens, said: “We’ve advocated for and support this pragmatic move which will put NHS hospitals, mental health and community services in a stronger position – not just to respond to the immediate challenges of the global coronavirus pandemic, but also in the years ahead to deliver widespread improvements set out in our NHS Long Term Plan.”

More than £300m has also been made available to fund community pharmacies supplying vital medicines during the outbreak.

According to the latest figures, the trust was also as of

Today, to help NHS trusts to deliver what’s needed without worrying about past finances, I can announce that I’m writing off £13.4 billion of historic NHS debt.

“This landmark step will not only put the NHS in a stronger position to be able to respond to this global coronavirus pandemic, but it will ensure that our NHS has stronger foundations for the future too.”

Mr Hancock said he had made £300 million available for community pharmacies to make sure “every part” of the health and care system is supported.

The Health Secretary also announced, through a “five pillar” plan on testing, that the UK has set a goal to carry out 100,000 virus tests per day “over the coming weeks” and “before” the end of April.

The five pillars are: