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This sparked a campaign, fronted by unions, the community and Labour politicians, which amassed 33,000 signatures opposing any step towards privatisation.
"We need to balance the accountability of the NHS at local level to live within its means on one hand, with recognising that there is a legacy of debt for some Trusts with PFI schemes.
to be repaid on 2012/2013 far greater than previously reported) was supposed to come from primary care trusts.
Meanwhile, Woodward, the St Helens South and Whiston MP, said: "The news over the weekend that additional money would be made available to help St Helens hospitals is of course welcome.
bringing greater transparency and openness to the process.
It said that without this funding, the services provided at the hospitals will be put at severe risk.
"They must be able to show that their problems are historic and they have a clear plan to manage their resources in the future and they must demonstrate that they are delivering high quality
Caution urged over hospital 'bailout' From St Helens Star
"If they can satisfy the tests they will be eligible for the funding over 25 years."
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Among those are Whiston and St Helens hospitals, which were rebuilt under a 350m private finance initiative, to which annual repayments have to be made.
Labour and had left a "debt mess".
Dave Watts and Shaun Woodward regard the local hospitals which created world class facilities as one of the last Labour's government most significant achievements locally.
Health Secretary Andrew Lansley said the Government was tackling financial problems within the NHS locally that were the result of historic PFI agreements. He said these were badly negotiated by
The Government has revealed the fund will be accessible to seven financially troubled NHS hospital trusts, following historic private finance initiative (PFI) arrangements.
eye off the most important issue of all maintaining and improving their frontline patientSt Helens and Knowsley Hospitals NHS Trust said it was "pleased" to learn the Government will make money available.
"Unfortunately because there is no detail as to how much money and also any conditions which may have to be met further, it is prudent to remain cautious until the facts have been made clear.
The Department of Health has said the hospital trusts must meet certain criteria if they are to gain access to the funding.
But they are being axed under the reorganisation of the NHS.
Anthony Lockhart, of the local Unison branch said: "Hopefully the threat of a contractor coming in to manage the NHS hospital is no longer there.
CAMPAIGNERS have given a cautious welcome to the announcement of a 1.5bn bailout fund that should stave off threats to debt ridden hospitals such as Whiston and St Helens.
Lansley added: "In the past, local Trusts have received extra funding on the quiet to avoid embarrassment.
as Warrington, to fill it.
"We have already signalled that we are determined to end these backroom deals by Adidas Neo Qt Vulc
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The coalition, however, laid the blame for the funding crisis at the previous Government's door.
services, including low waiting times.
It left a funding black hole in and leaked documents revealed by the Star last year raised fears the hospitals could be taken over by a private contractor or be forced to merge with another, such
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