NHS mental health trust plans £25m in cuts to jobs and services

by | Aug 6, 2026 | Health

NHS mental health trust plans £25m in cuts to jobs and services

The East London Foundation Trust announced plans to reduce its budget by £25m through service reductions and workforce cuts affecting approximately 330 of its 6,000 employees, representing roughly 5% of its total staff. The financial restructuring involves redesigning at least 10 core services, including child and adolescent mental health care, talking therapies, addiction support, crisis intervention programs, and community services for ethnic minority and low-income populations. The trust noted that NHS England required all 205 trusts nationwide to balance their books, prompting the organization to seek the specified savings target.

Specific service closures include Fothergill ward, a 20-bed intermediate care facility at the trust’s East Ham center, which stopped accepting new referrals and is scheduled to close on 21 September. The proposed cuts have generated significant opposition from unions, elected officials, and patient advocacy groups concerned about the implications for mental health care access. Trade union Unite indicated it is preparing to ballot members regarding potential strike action in response to the cuts and the removal of a lead union official through what the organization characterized as a redundancy process.

London MP Apsana Begum raised concerns about whether the trust conducted risk assessments regarding public health, safety, and health equity impacts of the proposed reductions. Patient advocacy group Keep Our NHS Public warned that the cuts could push patients toward private healthcare options, particularly given existing delays in NHS mental health services. The trust stated it had not completed impact assessments because the savings proposals were described as preliminary, though detailed cut plans were finalized as of an earlier date.

ELFT serves mental health populations across the east London boroughs of Hackney, Tower Hamlets, and Newham, along with Luton and Bedford. The trust emphasized its commitment to living within budget constraints while maintaining service quality and safety, stating it was collaborating with unions, staff, and partner organizations to implement sustainable efficiency measures. Questions emerged regarding the trust’s transparency, as the financial committee report from a recent board meeting did not reference the planned cuts or savings target.

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