The Health Secretary has agreed to dissolve the scandal-hit Mid Staffordshire NHS Foundation Trust.
Jeremy Hunt had the final say on plans to dissolve the trust and move key services to neighbouring hospitals.
In January, the health watchdog, Monitor, approved plans drawn up by administrators to downgrade some services at Stafford Hospital, despite opposition from local campaigners.
Under today's announcement, Stafford could still retain consultant-led maternity services after Mr Hunt agreed for NHS England to carry out a review into the issue.
The original plan from administrators had been for maternity services to close, but this was later amended to the creation of a midwife-led unit.
Mr Hunt has now agreed a review of that decision to see whether consultant-led services - needed for more difficult births - should be retained.
Mid Staffordshire was the focus of one of the biggest scandals in the history of the NHS when hundreds more people died than would normally be expected.
The Francis Inquiry last year highlighted the "appalling and unnecessary suffering of hundreds of people", with some patients left lying in their own faeces for days, forced to drink water from vases or given the wrong medication.
That followed a 2009 investigation by the Healthcare Commission which found between 400 and 1,200 more people died at Stafford Hospital than would have been expected.
In December, trust special administrators said the overall trust was "unsustainable" and that without changes Mid Staffordshire would face annual debts of more than £40 million by 2017.