Regulators have opened an investigation into the finances at Basildon and Thurrock Hospitals.

Monitor removed the hospital trust from special measures in June after the quality of health services improved.

But the regulator is concerned the trust is now predicting a larger financial loss this year than previously though.

Monitor's investigation will examine why the Basildon and Thurrock University Hospitals Trust's finances have deteroriated and what can be done to fix them.

It will also examine how well the trust is working with other local NHS bodies to address its problems.

Laura Mills, Monitor deputy regional director, said: “Basildon and Thurrock has made great progress in improving its services for patients, but it appears to be struggling financially.

“We want to find out why the trust’s finances are deteriorating and ensure its leadership is taking appropriate action to address this challenge.”

Monitor will announce the outcome of its investigation, and whether any regulatory action is needed, in due course.