The Prime Minister said there will be a new "single failure regime where the suspension of the board can be triggered by failures in care as well as failures in finance".
A public inquiry has blamed a failure 'at every level' of the NHS for the abuses at Stafford Hospital that resulted in hundreds of deaths.
The chair of the inquiry into Mid Staffordshire NHS made 290 recommendations to prevent the 'disaster' of Stafford Hospital occurring again.
Managers at Stafford Hospital accept that there were problems on some of the wards. But they say it's now one of the best in the country.