Who is earning what and where
Compiled by Ray Stanbridge of Stanbridge Accountants and presented to the conference.
➲ 29.1% of consultants’ private practice fees are earned within five miles of Harley Street. 51.5% are earned between 5.1miles and 40 miles and 19.4% in the rest of the UK.
➲ 200 consultants’ groups generate 20-25% of the market.
➲ The number of consultants entering the market is falling due to the increasing costs arising from Competition and Markets Authority’s requirements – for example, secretarial fees and rooms – and defence costs. They are doing NHS rather than private work.
The following figures, excluding medico-legal and locum income, are provisional estimates:
Private Practice Market Size (£m) 2014
Consultant Distance from Harley 0-5 5-40 Rest of UK Total
numbers Street clinic (miles)
2,164 Orthopaedics 59.6 188.3 73.1 321.0
1,129 General surgery 32.1 88.7 26.0 146.8
870 Cardiology 48.8 51.9 16.7 117.4
948 Ophthalmology 46.2 50.6 20.7 117.5
621 ENT 24.2 46.3 22.0 92.5
854 Gynaecology 43.6 35.0 11.9 90.5
649 Urology 19.6 48.1 14.7 82.4
501 Oncology 17.1 28.8 16.2 62.1
477 Dermatology 26.0 23.9 8.3 58.2
xxxxxxxxxxxxxxxxxxxxxxxxxxxx TOTAL 317.2 561.6 209.6 1,088.4
xxxxxxxxxxxxxxxxxxxxxxOther specialties N/A N/A N/A 651.6
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxEstimated market size 1,740.0
Private practice income trends
1. Incomes holding up – but
lower per unit fees
2. Profit margins under pressure:
❍ Effects of CMA rules
❍ Insurance company pressure
❍ Indemnity cover premiums
3. Growth in NHS Choose and
Book work
4. Growth in self-pay patients
