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Some primary care practices ‘may have become insolvent’

A REAL concern over one or two of the island’s three primary care practices going under during the coronavirus pandemic was another motivation for Health & Social Care to offer funding to them, the committee has said.

Picture by Sophie Rabey.  24-07-20.  Coronavirus Press Conference this afternoon at Beau Sejour.  Conference Panel L-R Health & Social Care president Heidi Soulsby, Deputy Gavin St Pier. (28506774)
Picture by Sophie Rabey. 24-07-20. Coronavirus Press Conference this afternoon at Beau Sejour. Conference Panel L-R Health & Social Care president Heidi Soulsby, Deputy Gavin St Pier. (28506774) / Guernsey Press

It yesterday published more details about the negotiations which left one, Queens Road Medical Practice, signing a contract that led to around £700,000 in payments, and the other two, IslandHealth and Healthcare Group, settling for simply being paid for the Covid-19 work they had done, around £150,000 each.

HSC also published the two different types of contract offered, although not the final wording of what Queens Road signed which it says only had minor changes, in response to questions by Scrutiny.

Within a letter to Scrutiny, HSC spoke of its desire to speed up progress on the future structure of primary care. It inserted a commitment to the Partnership of Purpose in the contract signed by Queens Road – this contract states that access to States’ grants or subsidies and professional privileges will be conditional on participating in the partnership.

It includes a desire to move away from the grant system to one based on services offered.

The two practices who rejected the deal did not believe it should have tied in these long-term commitments during the crisis.

‘While there had been some conflicting information from practices on the practical effects, it was known that changes in operating models were having a significant impact on the income levels of the practices and within HSC, there was a real concern that one or more practices may have become insolvent within one to two months,’ said HSC president Heidi Soulsby in the letter.

‘Although it was recognised that mitigation measures may be possible, for example, releasing or furloughing staff, at that stage the timeframes and severity of the emergency situation were unknown and it was considered that this could present an additional operational risk and a more controlled situation was desirable.’

IslandHealth and Healthcare Group made a counter-offer to the two contracts, which was rejected by HSC and therefore led to acceptance of simple payment for work done for the Covid cause only.

The joint-working contract signed by Queens Road meant the practice committed to reducing the charge for repeat prescriptions, telephone consultations and keeping Covid testing free during the emergency.

Each month the States committed to paying 80% of a GP and nurse’s wage, based on their public sector wage, and a £100,000 contribution to overheads.

HSC’s work on the future of primary care will not now be finished until next term.

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