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First private NHS hospital provider Circle throws in towel

Reuters - UK Focus

Jan 9 (Reuters) - Circle Holdings Plc (LSE: CIRC.L - news) , the first private company to run a general hospital for Britain's state-funded National Health Service (NHS), said on Friday it was pulling out of Hinchingbrooke because "it is no longer sustainable".

Shares (Dusseldorf: DI6.DU - news) in the company were down 17.6 percent in early trade.

Its decision, triggered by a crisis in the provision of emergency care across the NHS in recent months, is a blow to government plans to increase the role of private companies in British healthcare.

The company, which took over the running of the hospital in Cambridgeshire, eastern England, in 2012, said it could not afford the extra funding needed to cope with a jump in accident and emergency (A&E) admissions. (Reporting by Paul Sandle)