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The trust which runs the Gloucestershire Royal and Cheltenham hospitals has been put into financial special measures.
Managers say patient care won't be affected, even though the trust is likely to end the current financial year in debt.
The NHS will now investigate how the financial problems went unnoticed for so long.
In the meantime the Trust has taken out a loan from the Department of Health to try and plug the gap.
The board fully recognises the scale of the financial challenges facing the Trust and the seriousness of the concerns surrounding the historical financial governance arrangements.
The whole board is committed to working constructively with NHS Improvement to ensure the Trust gets back onto a firm financial footing as soon as possible.
Since September the trust has announced a number of steps to stabilise its position, including the appointment of an Interim Director of Finance.