The States of Alderney has announced it will take over ownership of the island's GP surgery.
Island Medical Centre had been due to close in June after the owner said the obligation to provide 24/7 cover was "unsustainable and unsafe".
The government said it had agreed with Island Medical Limited it would be "in the community's best interests" for it to take over ownership.
It added it was a milestone in efforts to secure long-term GP capacity .
Kath Jones, States of Alderney chief executive, said: "While it is unusual for the States to own a medical practice this is something that all parties involved in recent discussions agreed was in the best interests of the community to ensure long-term stability of GP provision. "
She thanked the owner of the medical centre, following "a challenging six years for the business financially which we understand made it unviable for IMC to continue withstanding without changes".
Ms Jones added the announcement was "a positive step along the journey to bring stability to the situation while we, working in partnership with the States of Guernsey, jointly develop an optimum model for health and care in Alderney".