GP Closures Regrettable, Get Ready For More

“While the list of reasons for the closures of Hataitai Medical Practice and North Taranaki’s Parklands Medical Centre could differ, we know there are two common themes - that many general practices are financially unsustainable and struggle to recruit and retain staff,” said Dr Angus Chambers, Chair of the General Practice Owners Association (GenPro).

“These two symptoms are a direct consequence of a 20-year-old funding model which has not kept pace with the costs of running a general practice and the changing health needs in our communities.”

More than 2000 Wellington patients will have to find a new doctor next year after the 40-year-old Haitaitai practice closes, and not enough clinical staff can be found to keep open the Parklands centre in Bell Block, so it is closing and merging with another practice seven kilometres away.

“The closures were announced in the same week we learned that a committee established by Health New Zealand-Te Whatu Ora allegedly told a struggling GP practice to set up a café inside the clinic to bring in extra cash.

“Closures and desperate measures do nothing to improve and treat the health needs of our patients and keep the doors open on clinics providing medical, urgent and mental health care,” Dr Chambers said.

A recent survey by General Practice New Zealand, which represents the bulk of primary health organisations, found that more than 60 percent of PHOs had clinics in their networks facing closure, 61 percent were reducing services, and all were restricting patient access. Among reasons given were financial pressures and burnout and retention of GPs.

“GenPro’s own survey in August also showed that financial pressures were weighing on general practices, with 83 percent concerned about their financial viability.

“Hardly a month goes by without an announcement of a GP clinic shutting its doors, closures of after-hours services, cessation of new patient enrolments, or some other reduction in scope of services. Regretfully, I predict more of these closures and reductions are on the way unless something changes.”

“The funding model is based on health attendances from the last millennium, which was a vastly different health environment. Our inability to negotiate funding - because it’s imposed by the government - is the key reason that funding is not keeping pace with rising costs, and general practices are therefore closing.

“GenPro has lodged a complaint with the Commerce Commission about our inability to have effective input into the decisions crucial to achieving the best outcomes for our patients.

“The government must as a matter of urgency increase its support of primary healthcare, overhaul the current out-of-date funding model, and help increase the supply of medical professionals into primary healthcare,” Dr Chambers said.

“GenPro, which represents half of all general practices in Aotearoa, is ready to work with the Minister and Commissioner to develop the solutions needed,” Dr Chambers said.

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