Budget will not have big impact on GPs, say accountants

Changes announced in the Budget will not have a significant impact on GP pay, medical accountants have said.

The government's Budget announcement revealed that proposals in Lord Hutton's review of public sector pensions, which could see GPs' pension age increase, will go out for public consultation.

But accountants say other changes should have a limited impact on GPs. Chancellor George Osborne announced a number of changes in his Budget, including a £630 increase in the personal tax allowance to £8,105.

The Budget also said that from 6 April 2012 , the government will introduce a reduced rate of inheritance tax of 36% for estates that leave 10% or more to charity.

To encourage investment in businesses with high growth potential, the government said the rate of tax relief for those investing in enterprise investment schemes will rise to 30% from April 2011.

But medical accountants have said these changes are unlikely to significantly affect the majority of GPs.

Laurence Slavin, partner at specialist medical accountants Ramsay Brown and Partners, said the Budget did not contain 'anything exciting’ for the majority of GPs.

He added: ‘The changes to personal taxable income will not benefit the majority of GPs. ‘The changes to inheritance tax will most likely only be applicable to GPs on their own with no dependents.’

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