The New to Partnership Payment Scheme for medical professionals is finally open for applications
16th October 2020
The New to Partnership Payment Scheme for first time partners in medical practices is finally open following a series of COVID related delays.
The scheme is expected to run for 2 tax years and is open to any first time partner in a general medical practice in England. At the moment membership is limited to GPs and the other medical professionals (as defined by section 86(2) of the NHS Act 2006) such as nurses, pharmacists and paramedics. Although this doesn’t currently cover practice managers, it is believed the scheme will be extended to include them very soon.
As of July 1st, anyone who has signed an equity share partnership agreement since 1st April 2020 can apply to join the scheme and applications will continue to be accepted for up to 6 months after the date they signed.
Under the scheme new partners will receive a maximum sum of £20,000 plus an option to request an additional 20% to cover tax and National Insurance contributions. Subject to parliamentary approval it is intended that this sum will not be pensionable.
The maximum payment of £20,000 is based on the applicant being in a Full Time Equivalent (FTE) role involving either working 37.5 hours a week or 9 sessions of at least 4 hours and 10 minutes each. If the partner works less than 9 sessions the payment would be reduced and if they work less than 2 sessions, they would be ineligible for any payments. Ongoing student loan commitments will also be taken into account.
If the applicant feels they need additional training to fulfil their partnership responsibilities, they may be able to apply for an additional allowance of £3,000 (even if the applicant works less than 9 sessions) to cover the cost of that training.
The training allowance has to be claimed separately. The applicant will have to receive the training within a year of becoming a partner, pay for it then request reimbursement from NHS England and NHS Improvement (NHSEI).
Once you have made an application and it has been approved, the appropriate funding will be sent to your practice. The practice would then need to transfer the full amount to you within 28 days.
There are also provisions in place for members who choose to leave their partnerships. If a partner leaves within 5 years, they will have to pay back 20% for each incomplete year up to the fifth unless they have become a partner at another practice.
If you would like to apply for the New Partnership Payment Scheme you can do so now either by email at email@example.com or online via the new portal about to be added to www.primarycareworkforce.nhs.uk.
If you would like us to help with your application or have any other questions about your or your practice’s finances, please call us on 0116 2827000 or email Tanya Day, at firstname.lastname@example.org and we’ll be happy to help.