The Big Squeeze

Sep 29, 2014

Another report has confirmed what GPs already know: average GP income is falling because the costs of running a practice keep rising.

The Health and Social Care Information Centre’s GP Earnings and Expenses 2012/13 Report* shows that:

  • Average expenses for contractor GPs leapt 2.9% between 2011/12 and 2012/13: an increase of £3,000 in real terms
  • As a result, GPs’ pre-tax income fell by an average of £2,100 in real terms, from £104,100 to £102,000
  • Income declined even as average gross earnings increased by £1000, from £270,800 to £271,800.

The increase in expenses was mainly down to premises and employee costs. And the expenses figures don’t even include the cost of GPs’ pensions!

It’s all part of a decade-long trend of squeezed margins for GP practices.

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