A hospital trust will be dissolved and maternity and paediatric services at Stafford Hospital cut under administrators' proposals.
The hospital will keep its current part-time accident and emergency department but will lose other services in a major shake-up.
Trust Special Administrators (TSA), appointed by the Department of Health in April, said in their report outlining the proposals that "there is no alternative but to make significant change" at Stafford and neighbouring Cannock Chase Hospital.
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