The hospital's overspending was criticised

The Audit Commission report found a number of serious problems with the hospital, which is �25m in debt.

But the hospital's new chief executive says the study, which was written in October last year, is out-of-date.

He says big improvements have been made since the new management team took over last spring.

Waiting lists

The report highlighted a history of bad financial management under the previous bosses.

It also criticised the long waiting times for patients needing treatment.

The hospital's chief executive Jan Filochowski said: "There was a problem getting into the hospital a year ago, with extremely long waits.

"But we have tackled that, we have sorted it out, and I would ask patients to be assured."

Nick Westbrook, of the Bath Community Health Council, said: "There has been a great improvement over the last 12 months but there is still a great deal to be done.

"The hospital needs to learn to live within its means and not to spend money that it has not got."