The Healthcare Confidence Index was first published in August 2011 and is now in its sixth update. It canvasses opinions of primary healthcare providers; GPs, Dentists and Pharmacists, over one to five years to provide an insight into their attitudes and 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.
Combined confidence in the profession has increased from a net balance of -18 to -8, which has seen dentists record the most positive result in the history of the Index. This has been driven by a sharp rise in short-term confidence (over the next 12 months), which increased from a positive net balance of 23 to 41.
The survey has indicated a growing appetite among dentists to offer private work, with a quarter (26 per cent) of dentists surveyed now fully private, and four in ten (41 per cent) looking to offer more non-NHS work. This comes as eight out of ten (79 per cent) expressed their doubts that the new NHS contract will be adequately funded, with 62 per cent expecting private dentistry to become more profitable than NHS within five years’ time.
Long-term confidence (over the next five years) has remained at a very similar level as the last survey, rising from -58 to -57, reinforcing the continued uncertainty around the impact of the contract.
Given the changes that are happening in primary healthcare, seven out of ten (69 per cent) dentists are planning to grow their business over the next five years, perhaps in part to combat the expected increase in financial pressures reported by eight out of ten (82 per cent) dentists questioned compared with 87 per cent a year ago.
Nearly two thirds (64 per cent) of dentists expect their practice profits to increase over the next 12 months, a marked rise of ten percent from the previous wave. A further sign of confidence is that almost 62 per cent would encourage their son or daughter to enter the profession, nearly double the number who responded positively in the last survey (34 per cent).
Ian Crompton, Head of Healthcare, SME Banking, at Lloyds Bank Commercial Banking, said: "The latest wave of the Healthcare Confidence Index shows an increased optimism in dentistry, reflected by the 78 per cent that are planning to expand, whether at their current site, or by branching out into more locations.
“There remains a lack of confidence that the long anticipated new NHS contract will be adequately funded and there is the expectation that private dentistry will in the near future become the more profitable of the two options, and it will be interesting to see how this plays out over the next 12 months.”
A contributor to the Lloyds Bank Commercial Banking Healthcare Confidence Index, Graham Rew, Specialist Dental Accountant at Hazlewoods, said: "Dentists have seen an improvement in the profitability of practices over the past twelve months, and it is pleasing to see that the majority of practice owners are expecting to see this continue for the foreseeable future.
“Looking at the wider picture, it’s clear that uncertainty surrounding the NHS continues, and I believe we can expect mixed and NHS practices to boost their revenues by providing further private treatments, capitalising on an increased public appetite for spending.”
To view the full Lloyds Bank Commercial Banking Healthcare Confidence Index please visit www.lloydsbank.com/healthcare and to take part in the next Healthcare Confidence Index visit www.healthcareconfidenceindex.co.uk