Following the publication of GP Earnings and Expenses Estimates 2016/17, DDA vice-chairman Dr Allan Tennant has provided the following analysis:
| GP type | Gross earning % +/- | Expenses % +/- | Pre-tax income % +/- | |
| UK | Dispensing | 4.4 | 5.4 | 2 |
| Non-dispensing | 7.7 | 9.5 | 4.5 | |
| England | Dispensing | 5 | 6 | 2.5 |
| Non-dispensing | 7.9 | 9.4 | 5.1 | |
| Wales | Dispensing | -0.3 | 1.2 | -3.1 |
| Non-dispensing | 4.2 | 3.8 | 4.8 | |
| Scotland | Dispensing | -3.6 | -4.8 | -1.4 |
| Non-dispensing | 3.1 | 4.5 | 1.5 | |
England
In 2006/07 dispensing GP income was 20 per cent higher than that of non-dispensing GPs; it is now 10 per cent. Between 2011/16 the income differential was a constant 13 per cent.
In 2005/06 dispensing practice gross earnings were 42 per cent higher than those for non-dispensing practices. Year on year falls leave the gross earning differential between the two groups at 29 per cent.
Expenses
The differential between dispensing and non-dispensing GP expenses has fallen from 62 per cent (05/06) to 38 per cent, with a five percentage point fall in 16/17. Either non-DDs expenses are going up or DDs are going down. This reduction overtime in expense differential to me suggests a loss of the cross subsidy and I remain very concerned about this trend.
Scotland
Scotland last year (15/16) there were large changes in the numbers for dispensing doctors, what we are seeing this year is things going back to how they were. Dispensing doctors in 16/17 earned 17 per cent more than their non-dispensing colleagues. Since 2009/10 varied between 10-20 per cent.
Wales
The difference between dispensing and non-dispensing income fell from 20-11 per cent. Since 08/09 varied between 15-23 per cent.
The wider variation between years in Wales and Scotland is probably due to small sample size. This makes trend analysis difficult.
View the appendix
View the spreadsheet
