London hospitals face financial meltdown

The care of millions of patients could be at risk after it emerged that several London hospitals are struggling to cope financially.

At least 20 NHS trusts across the country, including seven in the capital, are not fit for purpose and must either close, merge or risk becoming an indefinite drain on the public purse, according to the National Audit Office.

Newham University Hospital, Barking, Havering and Redbridge, Whipps Cross, North Middlesex, Ealing, Epsom and St Helier and North West London Hospitals, are among those in trouble.

The NAO report comes after Health Secretary Andrew Lansley warned that 22 NHS trusts were "on the brink of collapse" because of the rising cost of private finance initiatives.

He said: "This report exposes the dismal legacy we inherited from the Labour government. Labour burdened some of our hospitals with PFI deals they cannot afford, allowed years of bailouts to snowball into huge debts and turned a blind eye to poor performance."