Increase in early retirement coincided with introduction of pension taxation rules, which penalize doctors for working more hours
By Elana Gotkine HealthDay Reporter
FRIDAY, July 7, 2023 (HealthDay News) — An increasing number of general practitioners in the United Kingdom are choosing to retire early, according to an article published online June 27 in The BMJ.
Tom Moberly, a writer for The BMJ, described the increasing numbers of doctors opting to retire early in the United Kingdom. According to data from NHS Business Services, there was an average increase of 9.3 percent year on year in the number of general practitioners and hospital doctors in England and Wales opting for voluntary early retirement, increasing from 376 in 2008 to 1,424 in 2023. During the same period, the number retiring on reaching retirement age decreased from 2,030 to 1,721, respectively. The increase in early retirement was seen among hospital doctors (from 178 in 2008 to 557 in 2023) and among general practitioners (from 198 in 2008 to 867 in 2023).
During the past 15 years, from 2008 to 2023, the total number of doctors retiring increased by 35 percent (from 2,431 to 3,277), while the total number of doctors employed by the National Health Service increased by 33 percent (from 141,000 to 187,000). This data trend coincided with the introduction of pension taxation rules, which penalized doctors for working more hours or staying in work.
“Substantial erosion of doctors’ pay over the past decade further incentivizes them to lock in their benefits because, unlike pay, pensions in payment are inflation linked,” Sarah Tennant, chair of the pension committee of the hospital doctors’ union HCSA, said in a news release accompanying the article. “Pensions tax has been a significant and increasing cause of early retirement among senior doctors, and we fear it will remain so, due to continued uncertainty.”
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