THIS EMAIL HAS BEEN SENT TO ALL GPs IN WESSEX ON BEHALF OF DR NIGEL WATSON, CEO, WESSEX LMC

12/12/06

Dear Colleagues

I am sure by now you have seen the issues about pay rises and pensions recently.

In case you haven't the issues are as follows:

1. The 30% uplift in GP pay for 2005/6

This was incorrect, an error made by a group called the Technical Steering Committee (TSC) who advise the DoH. The error they made was the added the employers superannuation (14%) which clearly they should not have done, this would mean the real increase GP income was nearer 14%. I believe this will be corrected in the press.

2. Pensions

The pensions increase from 2003/4 to 2005/6 was approx 48%, much higher than expected by the DoH. This has be judged to be unaffordable. So, Lord Warner has indicated that the Secretary of State will intervene and cap the increase for the period 2003/4 to 2008/9 to 48%, i.e the increase will be over 5 years rather than 3 years. This can be done by making the dynamising factor 1 for 2 years.

This, in effect, means that the DoH has reneged on the agreed contract.

The GPC has taken legal advice and believes the Secretary of State cannot impose this. The GPC has therefore indicated that they will fight this through the courts. Obviously some GPs feel this should result in strike action etc.

3. The settlement for 2007/8

Currently no agreement has been reached, negotiations continue.

Clearly, items 2 and 3 would have been significantly influenced by the belief that GPs have had a 30% rise last year.

As an LMC we believe we should support the GPC's line of action.

Yes, fight the pensions issue in court, but negotiations should continue as far as the contract goes.

Best wishes

Nigel

Dr Nigel Watson

Chief Executive

Wessex LMCs