Letter: Labour view of GP fundholding

Mr Rhodri Morgan,Mp
Friday 07 July 1995 23:02 BST
Comments

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

Sir: Dr T Richardson (Letters, 3 July) vents his criticism of Labour's proposal to abolish the privilege of GP fundholders in our primary health care system. He does not address the key issue about fundholding. Under the current system it gives doctors an incentive to cut down on their prescribing costs, with the further incentive that they can use the funds saved to increase their own capital worth - such as building extensions on to their surgeries - to house extra practice nurses, physiotherapists, or whatever. We all want to suppress excessive prescribing, especially of expensive brand name drugs. Can we really only do this through fundholding?

What is the essence of GP fundholding? Once you strip away from it the government flannel and the "feel-good" factor, fundholding creates for the more entrepreneurial GPs a direct cash incentive to hold down prescribing costs. Surely it is better to allow all GPs to switch from brand name drugs to cheaper drugs, not just fundholders. All the GPs in the area can then make collective decisions to spend the money on extra treatments. This is what locality commissioning will provide.

Yours,

Rhodri Morgan

MP for Cardiff West (Lab)

House of Commons

London, SW1

The writer is Labour Shadow Welsh Health Minister.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in