BMA says it has been warning of pensions taxation crisis for over a year

By agency reporter
July 9, 2019

In response to the news that hospitals are now admitting that the pensions taxation issue is having a detrimental impact on patient care, the British Medical Association (BMA) says it has been trying to warn of this for almost a year.

Dr Rob Harwood, consultant anaesthetist and chair of the BMA's consultants committee said: “For the first time, we are seeing hospital trusts publicly admitting there is a problem; hospital chief executives now acknowledging something the BMA has known for months – doctors are being forced to say no. No to extra shifts to reduce huge waiting lists, no to covering for staff shortages and no to overtime weekend cover. Not because they want to, but because if they don’t, they face huge bills, created by the ludicrous pensions taxation rules that the Treasury is so far refusing to overhaul.

“We have no wish to see hospital leaders having to admit that their patients are being left without the care they need, and that staff are voting with their feet. No doctor wants to do anything but their best for their patients but if, in doing so, they face bills of tens of thousands of pounds, something has to change.

“This Government absolutely has to see sense and agree to a major overhaul of pension taxation before patient care is bereft of high skilled experienced doctors and lives are lost.”

Hospital doctors are now able to calculate charges they may incur on their pension growth due to damaging Annual Allowance and Tapered Annual Allowance1 rules, thanks to a new tool launched by the British Medical Association. The BMA Goldstone Pensions Modeller2 is designed to allow BMA consultant members to calculate any annual allowance charge that they may incur in future years, how to minimise those charges and determine how to move in and out of the pension scheme.

The BMA says it will continue to lobby the Government hard for change to stop this "absurd" situation from continuing to cause patient care to suffer and further damage to the working lives of many staff.  

* More information here

* British Medical Association https://www.bma.org.uk/

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