A MULTI-MILLION pound repair bill for Scotland’s doctors’ surgeries could see widespread closures and even leave some GPs bankrupt.
Long leases signed during Thatcher- era privatisation are now coming to an end, leaving GPs with restoration bills of up to £500,000.
Some surgeries are in “truly horrid” condition and the total repair bill could be more than £1 billion, a legal expert has warned.
Most surgeries are run as loose partnerships without the protection of corporate firms, often leaving junior GPs to pick up the bill long after the original leaseholders have retired.
A GP in a small surgery can be left as the “last man standing” and be ordered to repair the premises out of their own pocket, putting their own houses and pensions at risk.
The British Medical Association said the property crisis could force surgeries to close, and deter young doctors from entering general practice.
Alan McDevitt, chairman of the BMA’s Scottish general practitioners committee, said: “It’s already difficult to get partners in rural areas, but it’s even harder if you’re asking them to sign up to a lease with all of these liabilities for no financial return.
“It’s now deterring GPs from working in rural areas, in particular, and also some city areas.
“For example, there used to be 16 GPs at Stranraer Health Centre, which has a 25-year lease, but there are now nine left with all of the financial liabilities and no clear way to offload that.
“If no-one is willing to take on the financial liabilities, these practices may find that they can’t do the work and will have to close.”
Some landlords may agree to forego or postpone the restoration if the GPs sign another long lease, but younger GPs may be reluctant to fall into the same trap as their older counterparts.
Andy Drane, a health sector expert at law firm Davidson Chalmers, said: “The highest claim I have seen is £500,000 and I’m currently representing around 20 GPs whose liabilities are over £100,000 each.
“If you ask someone to join a practice with six-figure liabilities the answer will probably be ‘no’.
“After 30 years, the cost of restoring the building to good condition can be substantial — sometimes very substantial.
“I visit general practices that haven’t had a lot of money spent on them in the last 30 or 40 years.
“Some of them are truly horrid, some are ok and a minority are in a good condition, but the cost of bringing them all back into top condition would, I imagine, run into hundreds of millions and potentially billions of pounds.
“Where is that going to come from — and how is that going to deal with the nation’s chronic health problems?”
He said the Scottish Government has only just “woken up” to the problem in the last year, following years of inaction by both administrations.
A GP premises working group established to consider measures to help struggling GPs has led to an implementation group, but Mr Drane said action is required now to prevent more GPs going out of business.
“Several practices have leases coming to an end now, and can’t wait for the government to make a decision,” he said.
“Very few surgeries are run as limited companies or limited liability partnerships, so these people are exposed not only in their medical practice — their houses, their pensions, everything is on the line as well.
“Ultimately, GPs could end up bankrupt.”
Health Secretary Shona Robison recently increased the GP Recruitment and Retention Fund fivefold to £5 million as part of a wider £72 million primary care transformation fund.
She said: “Following the considerations of the GP premises short life working group, which examined among other issues, the ‘last man standing scenario’, an implementation group has been established.
“This group, which includes representation from NHS Boards, BMA and Scottish Government, will review and recommend updates, where required, to the legal framework outlined in the Premises Directions. If necessary, changes to the Scottish Government Property Transactions Handbook will also be considered.”
Why are you making commenting on The Herald only available to subscribers?
It should have been a safe space for informed debate, somewhere for readers to discuss issues around the biggest stories of the day, but all too often the below the line comments on most websites have become bogged down by off-topic discussions and abuse.
heraldscotland.com is tackling this problem by allowing only subscribers to comment.
We are doing this to improve the experience for our loyal readers and we believe it will reduce the ability of trolls and troublemakers, who occasionally find their way onto our site, to abuse our journalists and readers. We also hope it will help the comments section fulfil its promise as a part of Scotland's conversation with itself.
We are lucky at The Herald. We are read by an informed, educated readership who can add their knowledge and insights to our stories.
That is invaluable.
We are making the subscriber-only change to support our valued readers, who tell us they don't want the site cluttered up with irrelevant comments, untruths and abuse.
In the past, the journalist’s job was to collect and distribute information to the audience. Technology means that readers can shape a discussion. We look forward to hearing from you on heraldscotland.com
Comments & Moderation
Readers’ comments: You are personally liable for the content of any comments you upload to this website, so please act responsibly. We do not pre-moderate or monitor readers’ comments appearing on our websites, but we do post-moderate in response to complaints we receive or otherwise when a potential problem comes to our attention. You can make a complaint by using the ‘report this post’ link . We may then apply our discretion under the user terms to amend or delete comments.
Post moderation is undertaken full-time 9am-6pm on weekdays, and on a part-time basis outwith those hours.
Read the rules hereLast Updated:
Report this comment Cancel