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GPs could be forced to close over financial struggles amid coronavirus pandemic

March 31, 2020

They're facing three issues, out of pocket from moving online, lower visitor numbers, and delayed payments from patients who've lost their own jobs.

Despite an increased demand for doctors, general practices are concerned they will have to lay off doctors or risk closing down as people avoid visiting or are unable to afford to pay them.

At Pakuranga Medical Centre in East Auckland, staff there are worried about their bottom line after seeing a stark fall in revenue.

“We're looking at probably a 50 per cent drop in revenue at least,” Dr Eileen Sables told 1 NEWS.

“A lot of people, I think, are holding off [seeing the doctor] 'cause they’re also not sure about what’s happening in this environment.”

Meanwhile, Manurewa Medical Centre in South Auckland has had to reduce doctors’ hours, with patients often unable to afford to pay.

“These people are losing their jobs and it's geting difficult for them to actually make those extra costs in getting phone consultations, video consultations. We've had to put new lines in, PPE,” Wendy Forte said.

1 NEWS has a flyover graphic with the latest data.

Many of the 1000 practices across the country are struggling to stay afloat amid the four-week isolation period, which began at midnight last Wednesday.

“Another practice I know this week is literally taking about $30 across the counter per day," Royal New Zealand College of GPs' Dr Bryan Betty said. 

Now, some medical practices will be forced to close if nothing is done to mitigate the issue.

“That is just something we cannot, as a system or a country, allow to happen. If practices close, there will be increased pressure on hospital EDs, increased pressure on the secondary care system,” Dr Betty said.

Dr Bryan Betty says the margins were thin already, and a slowdown of paying patients is bad news for doctors.

GPs can apply for the $12 billion Covid-19 wage subsidy, and the Government said more assistance will be made available.

“There is a very active piece of work to both quantify where practices are struggling financially and to help provide support,” Director-General of Health, Dr Ashley Bloomfield, said in a press conference.

GPs are expecting a one-off payment this week, but they say medical centres are in need of ongoing support to keep practices viable in the coming weeks, particularly those in rural and high depravation areas.

Dr Sables called for people not to “put off seeking help” if they are feeling unwell.

“We're going to cope with it somehow.”

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