Dentists left in the dark as government fails to assess impact of NICs hikes

EMBARGO: Immediate Release

The Liberal Democrats have revealed that the government made no assessment of its recent tax hike on NHS dentists. 

Responding to a parliamentary question from the Liberal Democrats, Labour government minister Stephen Kinnock responded that “no assessments have been made yet on the potential impact of an increase in employers' National Insurance Contributions on dental practices’ finances.”

The government announced at the budget that it would increase employers' National Insurance Contributions (NICs) next year but has faced a backlash from health and care providers who will receive no extra support.

Whilst the government has confirmed that NHS hospitals and secondary care will be exempt, GPs, pharmacies, hospices and NHS dentists will not. This is putting financial pressure on these vital services and could force them to cut appointments and staff numbers. 

The British Dental Association has slammed the move and the government’s failure to carry out an impact assessment, commenting that “it’s utterly reckless to heap new costs on struggling practices without even considering the impact.” NHS dentists across the country are warning that they will have to cut services for patients or even reduce staff numbers.

One practice in Tyneside has said that “it’s another nail in the coffin of NHS Dentistry.” Another practice warned “the recent changes to Employers NI and raising of the living wage will lead to bankruptcy and breakdowns.”

The Liberal Democrats are calling for the government to exempt NHS dentists and those providing vital health and care services, including GP surgeries, social care providers, hospices, charitable providers of health and care, and pharmacies, from this tax rise.

Liberal Democrat Health and Social Care spokesperson, Helen Morgan MP said:

“The government has pulled the rug out from under crucial public health services without thinking twice.

“It’s shocking that this careless decision has been taken with no regard to the impact it would have on NHS dentists. Many will have no choice but to cut services and staff numbers.

“NHS dentists and other health and care providers must be exempted from the Chancellor's tax increase. Without reversing the hike, the government's plan to rescue our health service is a plan in name only.”

Chair of the British Dental Association, Eddie Crouch said:

“When millions can’t access NHS dentistry it’s utterly reckless to heap new costs on struggling practices without even considering the impact. 

“The Treasury failed to grasp that primary care is delivered by thousands of small businesses. Each requires immediate answers on how they’re expected to balance their books.”

ENDS

Notes to Editors:

First reported by the Express here.

Parliamentary Written Question here.

NHS Dentist case studies here.