London NHS accused of £640m debt cover-up

The NHS in London is hundreds of millions of pounds in debt despite being on track to record a £300 million surplus this year.

Bosses have ordered trusts to defer more than £640 million in debts, including £351million owed to the Department of Health, meaning the deficit will not be cleared for years.

It comes after government figures showed the NHS in London is likely to have underspent by £300 million by April, following a year of cuts. Trusts have delayed operations, frozen staff recruitment and even refused to offer new mothers free baby milk.

At least 40 trusts predict saving millions while only 13 expect to be in the red. Some, such as Redbridge primary care trust, will have up to £18million in the bank.

Bosses were accused of hiding the true picture after it emerged that Hillingdon owed £46million despite appearing to break even.

Geoff Martin of London Health Emergency said: "This confirms our worst suspicions: that the extent of the real debt crisis has been covered up."

NHS London would not comment.