Health managers at Oxfordshire's largest NHS trust have welcomed a financial boost to help win super-hospital status.

Financial problems at the Oxford Radcliffe Hospitals meant the four-site organisation had no chance of winning foundation status which would have allowed it more independence and less Government control.

But Oxford's John Radcliffe Hospital, Churchill and Radcliffe Infirmary, and The Horton, Banbury, are likely to have more money, following an announcement that £200m is being invested into struggling UK hospital trusts.

Health Secretary Alan Milburn announced the extra cash on May 6, following criticism that the foundation hospital scheme would cause a two-tier NHS.

All hospitals with a zero-, one- or two-star NHS rating will be given a share of the money, to help them work towards foundation status.

ORH chief executive Mike Williams said: "We welcome this initiative, which will help us further improve patient care."

Although inpatient and casualty trolley waits have been reduced at the one-star ORH, managers incurred £20m debts by using high-cost agency staff to achieve the improvements.

Last week, they announced staff would have to cut back on costs to prevent another £28m overspend by the end of this financial year.

Under the Government's new NHS improvement plan, the ORH could also benefit from support from Oxford's three-star rated Nuffield Orthopaedic Centre.

The NOC has already made a bid for foundation status and, if successful, would be expected to help other trusts.