A company which became the first private firm to manage an NHS hospital says it wants to "withdraw from its contract".
Circle Holdings, which operates Hinchingbrooke Hospital in Cambridgeshire, said its franchise is "no longer viable under current terms".
The move comes amid pressure on the casualty department, Circle said.
The hospital has also been placed in special measures following a recent Care Quality Commission inspection.
The health watchdog announced on Friday it rated Hinchingbrooke "inadequate", highlighting particular concerns over accident and emergency and medical care.
Prof Sir Mike Richards, the commission's chief inspector of hospitals, said: "We have given the trust an overall rating of 'inadequate' and I have made a recommendation the trust is placed into special measures.
It said there had been unprecedented increases in accident and emergency attendances, a lack of care places for patients awaiting discharge, and that funding had been cut by 10.1% this financial year.
Circle has made payments to the trust totalling about ?4.84m and could be required to make a final support payment of approximately ?160,000, the firm said.
Under the terms of its 10-year contract, it has the right to end the franchise if the amount of money it has to put in to the trust exceeds ?5m.
BBC News - Hinchingbrooke Hospital: Circle to withdraw from contract
This only months after
A hospital taken over by a private firm two years ago after being labelled a "basket-case" for running up ?40m of debt says it will break even this year.
Hinchingbrooke Hospital in Cambridgeshire was threatened with closure before being taken over by Circle in a ?1bn, 10-year deal.
The private firm was the first to manage an NHS hospital, with staff and assets staying in state control.
Earlier this month, it was named the top hospital in England for quality of patient care.
One minute top hospital, and after a few month inadequate eh
@ the last line in the first part. Doesn't say how much the greedy basseds made or were expecting to make for their investment of ck all. So lesson there. Private hospitals, if they can't make a profit out of you and you're halfway through some treatment, tough sh*t on you, they'll walk away. IN reality they were probably walking away from the sh*t attempt they made at providing a service.
Circle Holdings, which operates Hinchingbrooke Hospital in Cambridgeshire, said its franchise is "no longer viable under current terms".
The move comes amid pressure on the casualty department, Circle said.
The hospital has also been placed in special measures following a recent Care Quality Commission inspection.
The health watchdog announced on Friday it rated Hinchingbrooke "inadequate", highlighting particular concerns over accident and emergency and medical care.
Prof Sir Mike Richards, the commission's chief inspector of hospitals, said: "We have given the trust an overall rating of 'inadequate' and I have made a recommendation the trust is placed into special measures.
It said there had been unprecedented increases in accident and emergency attendances, a lack of care places for patients awaiting discharge, and that funding had been cut by 10.1% this financial year.
Circle has made payments to the trust totalling about ?4.84m and could be required to make a final support payment of approximately ?160,000, the firm said.
Under the terms of its 10-year contract, it has the right to end the franchise if the amount of money it has to put in to the trust exceeds ?5m.
BBC News - Hinchingbrooke Hospital: Circle to withdraw from contract
This only months after
A hospital taken over by a private firm two years ago after being labelled a "basket-case" for running up ?40m of debt says it will break even this year.
Hinchingbrooke Hospital in Cambridgeshire was threatened with closure before being taken over by Circle in a ?1bn, 10-year deal.
The private firm was the first to manage an NHS hospital, with staff and assets staying in state control.
Earlier this month, it was named the top hospital in England for quality of patient care.
One minute top hospital, and after a few month inadequate eh
@ the last line in the first part. Doesn't say how much the greedy basseds made or were expecting to make for their investment of ck all. So lesson there. Private hospitals, if they can't make a profit out of you and you're halfway through some treatment, tough sh*t on you, they'll walk away. IN reality they were probably walking away from the sh*t attempt they made at providing a service.
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