The Isle of Wight NHS Trust is now out of financial special measures, it has been confirmed.

The Trust was placed into special measures in 2019, due to an increased deficit of £13million and ongoing financial underperformance. This led to the appointment of a financial improvement director appointed.

NHS England and NHS Improvement have now recognised the progress made by the Trust and decided to remove it from financial special measures.

After having more than £90million worth of debt written off by the Government, the Trust has broken even for the past two financial years, as well as improving services.

The Isle of Wight NHS Trust’s director of finance, Jo Gooch, said she was pleased with the news, especially following the recognition from the Care Quality Commission that the trust was now ‘good’.

However, for use of resources, the Trust is still rated as inadequate according to the CQC website.

Jo Gooch said: “The quality of care we provide and how well our finances are managed go hand in hand.”

Gooch said the Trust’s strategy sets out how they aim to achieve high-quality, compassionate care and make sure the services the Island relies on are sustainable.

A concern has been raised, however, about a potential £22.5million deficit the Trust faces at the end of this financial year. It is based on a plan the trust made, responding to current pressures in the hospital, but as the country starts to come out of the COVID pandemic, NHS funding is reducing.

Speaking at the Trust board meeting last week, Ms Gooch said the level of capacity planned for is greater than the funding would allow, so the plan would be reassessed in the coming weeks to try and reduce the deficit.

Interim chief executive, Darren Cattell, said the Trust must be mindful it needs to return to efficiency and productivity as it goes forward while maintaining quality improvements.