BREAKING:GP leaders call on Treasury to permanently resolve… read more
At a recent UK LMC (Local Medical Committees) conference, GP leaders strongly urged the Treasury to address the National Insurance contributions (NICs) issue in a permanent and direct way, rather than relying on annual contract negotiations to manage the financial burden on general practices.
As of 6 April, the employer rate for NICs rose by 1.2 percentage points to 15%. However, general practices were not exempt from this increase because they were not classified as part of the public sector. This decision has caused significant frustration among GP leaders, who argue that general practice is an essential part of the NHS and therefore deserves the same protection from financial pressures as other public sector services.
During the conference, a motion was passed declaring that general practice is “an intrinsic part of the public sector.” It emphasized that resolving the NICs issue should fall under the remit of the Treasury and must not be tied to the outcome of pay negotiations across the four UK nations. The motion warned that the increased cost of NICs could push already struggling practices over the edge, potentially leading to the return of NHS contracts and a risk to service continuity, unless an urgent solution is found.
Dr Alexia Pellowe, deputy secretary for Ayrshire and Arran LMC, presented the motion and described the current situation as both “insulting and demoralising.” She criticized the implication that general practice lies outside the NHS framework and warned that practices would be forced into severe financial decisions. These could include reducing clinical hours, cutting administrative staff, or lowering partners’ incomes, all of which would threaten the viability of GP practices.
Dr Pellowe also argued that the partnership model of general practice—which has traditionally allowed it to operate efficiently and cost-effectively—was under attack due to the lack of financial support.
While one LMC representative advised caution in defining general practice as a public sector body, the vast majority supported the motion. Many emphasized the detrimental impact the NICs increase would have on partner incomes and the sustainability of practices.
Although the BMA’s GP Committee for England has negotiated a funding uplift for 2025/26 to help cover the NICs rise, other UK nations are still in discussions, with industrial action looming if a fair settlement is not reached. The motion was unanimously passed in all regions.