PLANS to transfer the running of the Dean's two cottage hospitals to a new body have been put on hold after protesters announced a legal challenge.
NHS chiefs were due to transfer the hospitals and other community services, including around 3,000 staff, on October 1.
But after campaigners announced plans for a judicial review, they decided they wanted "additional time to resolve matters".
Health chiefs say there is now no known timetable for the transfer to Gloucestershire Care Services.
Forest of Dean campaigner Peter Stanway said: "They have now got two choices, abandon their plans or go to court.
"Court action will be expensive so we want them to consider an option that would allow staff to remain in the NHS."
After being served with a letter threatening a judicial review, Jan Stubbings, chief executive of NHS Gloucestershire, decided to delay the planned switchover.
She insisted NHS Gloucestershire had followed all applicable policy and guidance over the plans.
She said: "We remain committed to the transfer of services to Gloucestershire Care Services CIC in the interests of patients and staff and will be doing all we can to achieve this as quickly as possible.
"We wish to resolve outstanding matters to ensure a seamless transfer and therefore we have support to take additional time to do this if required."
She said it would be business as usual for staff and patients until the matter is resolved.
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