The best performing NHS trusts will be given more independence and power to improve care.

The highest performing hospitals and community health trusts will be given the status of “advanced foundation trust”.

Leaders of these trusts will be given greater freedom to make decisions locally, including how services are organised and how money is spent.

Eight of the highest performing trusts have been nominated to become the first advanced foundation trusts. Trusts that can prove they deliver good services and have sound finances will be able to spend any money they’ve saved since last year on new equipment, buildings and improving patient care. If the amount trusts want to invest is less than £100 million, the level of paperwork will be vastly reduced.

The trusts nominated for assessment are: Berkshire Healthcare NHS FT; Dorset Healthcare University NHS FT; Central London Community Healthcare NHS Trust; Northamptonshire Healthcare NHS FT; Northumbria Healthcare NHS FT; Alder Hey Children’s NHS FT; Norfolk Community Health and Care NHS Trust; and Cambridgeshire Community Services NHS Trust.

These trusts will be expected to deliver faster improvements in patient care, waiting times and productivity, work closely with staff and commissioners, and help drive positive change across the wider NHS.

They will also need to demonstrate they are implementing the three big shifts of the 10 Year Health Plan.

They will be independently reviewed at least every five years.

Health and social care secretary Wes Streeting said: "Good leadership in the NHS has never mattered more.

"Under our plans, if trusts manage their finances well, innovate, and deliver for patients, we will give them the space to lead.

"These reforms mark a fundamental shift from command and control to collaboration and confidence.

"For the first time in years, the NHS can look forward with confidence rather than back in frustration.

"Because we’ve got a plan that’s not just ambitious and realistic – we’ve got a plan that is working, and that is why the NHS is on the road to recovery."