Private healthcare firm brings in administrators

Thu, 19 May 2016 | ADMINISTRATION

A private out-of-hours healthcare company based in Mansfield has entered administration, citing “unsustainable pressure” following significant cashflow problems.

Central Nottinghamshire Clinical Services (CNCS), which was previously criticised by the Care Quality Commission (CQC) for putting lives at risk, has appointed administrators from FRP Advisory. Chris Stirling and John Lowe will act as joint administrators for the distressed business following the loss of several major accounts.

CNCS has ceased trading, after it was revealed that the not-for-profit healthcare company had lost key contracts with the Clinical Commissioning Groups of East Leicestershire & Rutland, West Leicestershire, Leicester City, Newark & Sherwood and Mansfield & Ashfield.

The contracts were lost off the back of a damning report by the CQC, which placed special measure upon the out-of-hours and walk-in healthcare provider. The report cited one particular case in which a critically ill six-week-old baby was left without GP attention for five hours instead of the mandated one hour waiting time.

Furthermore, a whistleblower revealed to the CQC that only one GP was assigned to on-call duties covering 990,000 people across a 950-square-mile area during a Saturday night.

The administrators at FRP Advisory said the CNCS “faced an unsustainable pressure on its cashflow, which, without a radical change in the funding arrangements in place, undermined its ability to deliver the level of services required under its various agreements across the NHS”.

The joint administrators at FRP Advisory added: “As administrators, our priority remains in assisting all those involved with the now completed handover of services with patient care remaining the paramount driver of that process. We shall consult with the company’s remaining staff as we seek to realise assets in the interest of creditors.”

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