Dozens of Scottish GP surgeries 'at risk of collapse' after government loan scheme paused

Medics have warned that GP surgeries will close after an interest-free GP sustainability loan scheme, designed to help surgery owners in local communities continue to offer services, was halted by the Scottish Government.

GPs have warned that practices are at “an increasing risk of collapse” after the Scottish Government paused a loan scheme for surgeries.

The interest-free GP sustainability loan scheme was designed to help surgery owners in local communities continue to offer services, but was recently suspended by the Scottish Government “due to a greater than anticipated number of loans having completed this year”.

A survey carried out by BMA Scotland has since found 30 practices described their position as “precarious” following the pausing of the loan scheme.

A survey carried out by BMA Scotland has since found 30 practices described their position as “precarious” following the pausing of the Scottish Government's GP sustainability loan scheme.

Of these, six said having to hand back their contract was “likely” – meaning health boards would have to take on responsibility for provision of GP services, potentially impacting patient choice and access.

GPs who responded to the survey commented they have been “left in limbo”, that it is “hard to see how we can survive” and said they feel “deeply disappointed and let down” by the Scottish Government’s decision to pause funding.

More than eight out of ten of respondents – 47 out of 55 - said that if they did receive the loan it would considerably improve their stability.

No respondents said that contract termination would be likely if the funding was in place.

Dr Andrew Cowie, the deputy chair of BMA Scotland's GP Committee, said: “We have been hearing many concerns from GPs over the pausing of the sustainability loan scheme; and this alarming survey reveals the huge impact even a short delay may have on practices that are already under pressure with inadequate workforce and resource to meet the needs of the communities they serve.

“The scheme provided vital support to ease the financial risks of owning GP premises and increased the stability of practices, improving recruitment and retention of GPs.

“Indeed, the Scottish Government said in 2019 it would contribute to its commitment to increase the number of GPs in Scotland by at least 800 over the next decade.

“But the decision by ministers to now pause sustainability loan applications will destabilise surgeries and put at risk quality and continuity of care in many places.”

He added: “We are in the middle of a medical workforce crisis and GP shortages mean there already are not enough GPs to meet the needs of the people of Scotland.

“Scotland has lost around 100 GP practices over the last ten years - and it is clear we cannot afford to lose even one more.”

Scottish Conservative shadow health secretary, Dr Sandesh Gulhanem said the pausing of this scheme “is yet another potential hammer blow” for GP surgeries “after 17 years of SNP failure”.

Scottish Labour health spokesperson Jackie Baillie said primary care in Scotland “is in crisis” but the SNP government is “still pulling the rug out from underneath GPs” by suspending the loans scheme.

A spokesperson for the Scottish Government said: “This is why we intend to resume Tranche 1 of the Sustainability Loan Scheme in 2024-25 once we have completed the disbursement of funds for those loans already completed and confirmed a budget. This will likely not be until midway through the financial year.”