HSCIC Earnings Survey
November 25, 2013
The Health & Social Care Information Centre (HSCIC) recently published a report on a survey into dental earnings and expenses for England and Wales in 2011/12. The report is based on self –employed dentists, excluding corporate bodies.
The report shows interesting trends which seem to coincide with surveys conducted by NASDAL.
Within the report, dentists are split into three categories, however this article focuses on ‘Providing performers’ (PP’s) who are “under contract with PCT/LHB and also performing dentistry.”
The earnings for PP’s can be broken down into gross earnings and expenses. To view these figures, please From the results, 68% of income is taken up in expenses, which means the “bottom line” represents approximately one third of gross earnings.
The earnings can also be analysed in terms of contract. To view these figures, please From the results we can see that PP’s holding a PDS contract seem to earn considerably more than their GDS counterparts.
The survey interestingly suggests that PP’s earn their highest taxable income between the ages of 45 and 54. Moreover, earnings increased with the percentage of time spent on NHS dentistry, so that those who spent 75% of their time on NHS dentistry earned an average of £117,300 in 2011/12, being £5,500 more than the overall total.
The overall total earnings of £112,800 can be broken down geographically. To view these figures, please Rather surprisingly, the North comes out on top.
Overall, there is a downward trend for earnings; in the last three years there has been a decline of around 10%. To combat this trend, dentists should become more astute in practice management, develop future strategy, and create the time necessary to work “on” as well as “in” in the practice.
It is important that all staff are involved in delivering a “quality practice.” Quality is about people, and has an impact on communication, team spirit and objectives, and therefore the whole team must be working towards the same goal. Feedback is also important and principals should regularly ask staff for their opinions on how the practice can be improved.
The key to success is for all staff to recognise that they must manage their ‘moments of truth’ by controlling expectations during the service provision and perceptions after the service provision.
Due to the ever changing landscape and the increasing pressure of the financial climate, it is vital to be thinking more like a business and have a strategic plan for the future. This plan should:
– Critically analyse the past and current performance.
– Identify the key success factors specific to your business.
– Review the strengths and weaknesses of the business and the opportunities and threats affecting the long term success.
– Review the resources available in terms of skills, staffing, space, finance etc.
– Identify and evaluate a range of options.
– Create a working action plan to ensure you achieve your goals.
These factors will generate action points for the business going forward and ensure long-term success.
For more information please contact Nick Stevenson on 0115 972 1050.