1:08pm Wednesday 1st September 2010
By Andy Richardson
A LAW firm predicts that proposed changes in the law governing GPs could be set to transform the commercial operation of many medical practices.
Sintons in Newcastle has significant expertise in the healthcare sector and they have noted that within a Government White Paper put forward last month by Health Secretary Andrew Lansley are proposals for GPs to be able to sell the goodwill in their practices, which at present is not permitted.
The White Paper has garnered plenty of column inches for proposals that seek to abolish Primary Care Trusts (PCTs), allowing GPs to commission services. Perhaps just as radical is the plan that could see commerciallyminded GPs generate a revenue flow from the value that lies in the size and quality of their patient lists.
Hilary Parker, a partner at Sintons is also a non-executive director of the Newcastle Hospital NHS Foundation Trust and chair of their PFI implementation group. She advises a large number of GPs and is known as being one of the most knowledgeable practitioners in the primary care arena.
She believes that the legislation could encourage GPs or larger companies to purchase practices, opening up a market similar to what has occurred in the dental sector over recent years.
Commenting on the White Paper she said: “There are at least two schools of thought on the merits of this. Is this merely creeping privatisation that is driven by the cost of health provision or politics?
Will it result in a lack of trust by patients if they think that the GP looking after them is seeking to profit personally from the level of treatment they give? There are also moral issues raised by this, along with the fact that it may make it expensive to obtain a partnership in a practice. It may also lead to greater competition amongst GPs themselves.
“On the other hand, the ability of larger, private sector organisations being enabled to buy a GP practice may actually result in better treatment. They would be able to provide services for patients and other benefits that small practices can’t provide by virtue of their size, and may be better able to motivate and incentivise staff, which would in turn lead to better treatment.”
Amanda Maskery, an associate at Sintons, added: “The inability of GPs to sell the goodwill of their practices could be said to have led to a lack of investment in the sector.
To enable the change to take place, there would also need to be new legislation to allow private companies to take up contracts.”
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