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Locum superannuation reimbursement to be paid through global sum equivalent

The Government has announced that practices will be reimbursed for the cost of locums’ superannuation contributions through a 0.15% uplift in the global sum equivalent.

In its final response to the consultation on the 2013/14 GP contract, the Department of Health said it would give practices an extra 0.15% uplift to the global sum equivalent, in addition to the 1.32% funding uplift, to compensate for the expected 14% rise in locum fees.

The Goverment appears to have listened to GPC criticism that, although it did not support the plan to put the burden of paying the employer contributions onto practices, it said if this was to happen, practices should be reimbursed through the global sum equivalent so that all practices would benefit.

From April, GP locums will be responsible for paying both employee and employer superannuation contributions to the NHS Pensions Agency, and they are expected to pass on the cost of employer superannuation contributions, currently paid by PCTs, to practices. Practices will be reimbursed for this additional cost regardless of how many locums they use or how frequently they use them.

The DH response said: ‘We are transferring to GP practices the funding currently spent by PCTs on these costs. This funding will be added to GMS global sum equivalent funding, as the BMA suggested in its consultation response.

‘The combination of the contract uplift, of 1.32%, and the locum employer superannuation funding both being added to GMS global sum equivalent payments will provide all GMS practices with an increase of 1.47%.’

Pulse Live: 30 April - 1 May, Birmingham

You can find out more about how to protect your earnings at Pulse Live, Pulse’s new two-day annual conference for GPs, practice managers and primary care managers. Richard Apps, partner at RSM Tenon, will be presenting a session on how to maximise your practice income and keep an eye on your cash flow.

Pulse Live offers practical advice on key clinical and practice business topics, as well as an opportunity to debate the future of the profession, and a top range of speakers includes NICE chair designate Professor David Haslam, GPC deputy chair Dr Richard Vautrey and the Rt Hon Stephen Dorrell MP, chair of the House of Commons health committee.

To find out more and book your place, please click here.