Rangewell research finds new restrictions could cripple independent dentists
Analysing the Office for National Statistics sector-specific monthly GDP estimate, Rangewell, the business finance experts, has learnt the health and social Care have seen a dramatic drop in GDP since February, flatlining 25% below the February standard.
Analysing the story behind the numbers, Rangewell finds that some independent healthcare providers including dentists, opticians and pharmacists claim they were spending £10k a month just to keep their business going even while closed – which they were legally obliged to do.
The ongoing cost of Personal Protective Equipment (PPE) was costing a group of 23 care homes £70,000 extra per month in May, while the IHS Markit Household Finance Index in September showed a reduction in household spending, savings and personal credit availability, which may have caused a knock-on effect on cosmetic or non-urgent healthcare services.
Rangewell is calling on the Government to directly funnel more than £10k-per month to every independent dental, optical and pharmacy practice in the level 2-3 COVID zones, and declare a tax holiday on National Insurance contributions on overtime pay for all independent dentists, opticians and pharmacists.
Rangewell’s Head of Research, Nic Conner, who authored the report said: “Our high-street dentists, opticians and pharmacists are in crisis. They need urgent action to save our community of healthcare providers. Further restrictions could be crippling to independent practices, many of whom, without support, will be forced to shut up shop.
“Like many businesses, the health sector saw a drastic drop in economic output when they were legally obliged to close. Even after restrictions lifted, the sector’s GDP has flatlined at 25% below its February levels, with no sign of a V-shaped recovery on the horizon.”
He adds: “Frankly, the way healthcare providers have been treated since the lockdown has not been good enough. The Government must step up its support. Healthcare businesses are the hidden backbone, ensuring the health and wellbeing of the nation – they don’t have time to be worrying about cashflow right now.
“We are calling on Matt Hancock to lead an urgent and immediate review into ways the UK and devolved authorities can support independent healthcare businesses.”
To read the full report, click HERE