A private company is set to be given the final go-ahead to take over the running of a "failing" NHS hospital, according to reports.

The Treasury has given the green light for Circle Healthcare to take over the management of the debt-ridden Hinchingbrooke Hospital in Cambridgeshire, according to reports last night.

It was first announced in November that Circle was to be awarded the management franchise to run the hospital after being selected from a shortlist of three.