yes, you should be able to reference them- when I do newsletters, I often paraphrase or use sections of a larger article & still reference it.

No you can’t – not without permission. (assuming you’re in the UK – if not, please disregard this post as the law is different in different countries)

Stories on the internet, whether on the BBC or other newspaper websites are the copyright of the BBC or whoever wrote the story (or their employer)

There is a urban myth that stuff on the internet is copyright free or may be used as long as it’s credited. This is absolutely not the case! (any more than a joyrider can escape prosecution for ‘borrowing’ your car if he leaves a thank-you note)

Of course, some websites do have small print that say you can use their material providing appropriate acknowledgement is given. If that’s the case (and you are confident they wouldn’t have taken material that is someone else’s copyright) then you are absolutely fine

Your best and easiest course of action would be to simply ask for permission. Write to the editor of your local newspaper and ask if you can reproduce some of their stories, either from their paper or website – whichever it is you want. Make it clear that you would credit the newspaper with a prominent thank-you in each edition of your newsletter.

Of course it’s unlikely that a media organisation would sue a hospital, but getting a court order to desist is not going to improve your day