Published recently, the index canvasses primary healthcare providers on their outlook over the next one to five years, to provide an insight into their opinions and levels of confidence.
A combined figure of both the short (12 months) and long term projections (one to five years) is used to provide a measure of overall business confidence within the primary healthcare sector*.
Private services drive growth
Combined confidence amongst the dentists surveyed has increased from a net balance of minus -8 to -5, an increase of 13 points over the past two years, representing the biggest rise across the three professions. Long term confidence amongst dentists has slightly improved since the last survey, up from -57 to -54.
The rise in confidence could be reflective of a profession that benefits from more non-NHS income. A third of those surveyed (37 per cent) want to increase their private work, up from 29 per in last year’s index. Indeed, more than half (56 per cent) expect that a ‘foot in each camp’ of a mixture of NHS and private services will be the most valuable business model in the coming years.
Dental contract to shape future plans
Despite an increase in confidence overall, dentists are unsure about the outcome of the reformed NHS dental contract; a majority (81 per cent) continue to express doubts that it will be adequately funded.
Another concern raised is the longer term profitability of NHS practices, with only seven per cent feeling that this will be the most profitable option over the next five years. This compares to more than a quarter (27 per cent) who think private practices will fare better.
More than four fifths (82 per cent) of dentists feel that the financial pressure on their practice will increase over the next five years, but that said, 74 per cent are looking to grow their business (69 per cent in last survey), with 25 percent looking to do so through buying more units
Despite ongoing reforms, dentists remain happy to encourage their friends or family to follow them into the profession, with almost two thirds (63 per cent) saying they would recommend it (up slightly from the 62 per cent last year).
Ian Crompton, head of healthcare, SME Banking, Lloyds Bank Commercial Banking, said: "The latest Index shows there is still optimism amongst dentists, with three quarters planning to expand, whether at their current site, or by branching out into more locations.
“It’s good to see the profession is confident about plans to grow and, looking ahead, as younger dentists enter the industry, we may see an even greater appetite amongst professionals to control their own destiny, and cultivate their own practices.
“We continue to work closely with dentists in what is an evolving sector, and provide tailored funding and support to those seeking growth opportunities.”
Alan Suggett, a partner at Dental Business Unit and contributor to the Index said: “While overall satisfaction has maintained a steady level, there is a huge difference in confidence between dentists offering NHS services and those focusing on private work.
“With new government reforms aimed at reducing the cost of living for families targeting dental costs and the continued development of the reformed contract amongst other things, it will be interesting to see how dentists’ confidence is affected in the coming year.”
To view the full Lloyds Bank Commercial Banking Healthcare Confidence Index please visit www.lloydsbank.com/healthcare