Practice managers pushing for separate funding pot for pharmacists and other non-GP staff

Practice managers are pushing the government for a dedicated funding pot that will ensure pharmacists and other general practice staff receive pay rises equivalent to their NHS counterparts – and bring an end to the current ‘damaging’ two-tier approach.

The Institute of General Practice Management (IGPM) has urged ministers to establish equitable funding mechanisms with which to award practice staff pay rises following the announcement that GPs are to receive a 4% pay rise for 2025/26, as recommended by the Review Body on Doctors’ and Dentists’ Remuneration (DDRB). In addition, Agenda for Change staff will get a rise of 3.6%.

Although, this decision is intended to ‘recognise the invaluable contributions of NHS staff,’ the IGPM has said ‘it regrettably overlooks a significant part of the healthcare workforce – general practice staff’.

And that’s down to the way central funding for pay rises is calculated, as well as underinvestment into general practice and mounting financial pressures on surgeries, the practice manager organisation said.

The government has said that non-GP staff employed under the Additional Roles Reimbursement Scheme (ARRS) should be entitled to a 3.6% pay rise, in line with agenda for change.

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However, it has not been confirmed if there will be any extra funding for primary care networks (PCNs) to meet these costs. Previously PCNs have had to fund any AfC uplifts from their existing budgets.

The government has also committed to increasing the pay element of the GP contract by 4% to cover a pay rise of the same percentage for all salaried practice staff and not just GPs.

However, Kay Keane, chair of the IGPM points out that, in reality, this funding method rarely covers the actual costs of staff pay rises since it does not include money for on-costs, such as pension contributions, and is based on the outdated assumption that staff costs only represent 44% of the value of the GP contract.

‘Many practices say staff costs represent upwards of 85% of the GP contract,’ she told our sister tile Management in Practice. ‘So, practices wanting to pass on the full 4% rise to staff will be losing money because they won’t receive adequate central funding.’

Pay increases are being made even less affordable as surgeries are also having to cover the recent rise in National Insurance contributions, which other NHS organisations have been exempted from, the IGPM directors said.

‘We simply cannot continue to absorb rising costs across the business — this will impact patient care,’ they warned.

The directors went on to say that the current system means general practice staff who aren’t on Agenda for Change contracts are ‘repeatedly excluded from national pay awards, despite their critical role in delivering frontline care’.

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The IGPM said it wants the government to address the inequality of ‘selective uplifts’ and stands firmly against a two-tier system.

‘We advocate for fairness across the workforce,’ it said.

‘Applying national uplifts to some NHS staff while leaving others out entirely is divisive and damaging. It creates tension within teams and risks undervaluing essential roles such as administration, reception, and wider support staff.’

The IGPM has said it would advocate an independent NHS pay review panel with multi-disciplinary representation from, for example, economists, independent advisors, practice managers, nurses, allied health professionals and patients.

‘This would create a more rounded view of pay pressures across the entire workforce, not just doctors and dentists,’ Ms Keane said.

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The practice manager organisation is due to meet the BMA’s GP Committee to discuss pay issues and is also meeting with a team from the Treasury in July.

‘General practice is the cornerstone of the NHS, managing most patient interactions and playing a vital role in preventative care. Fair compensation is not just a moral issue; it is essential for the sustainability and success of the NHS,’ the IGPM said.

A version of this article was first published by our sister title Management in Practice