How can GPs prepare economically for the next decade?

What will general practice look like in 10 years’ time? What economic challenges and opportunities lay ahead for GPs and practice owners?
 
How can GPs best understand and navigate the current economic environment?
 
NAB Chief Economist Dr Sally Auld will delve into these complex issues when she gives her keynote speech at the upcoming RACGP Practice Owners Conference.
 
With the theme of the 2025 event being ‘shaping general practice for the future’, the two-day conference includes practical sessions, panel discussions and masterclasses designed to help participants learn tips and tools to help their practice thrive.
 
Attendees will also hear keynote addresses from high-profile health economist Dr Stephen Duckett and public health specialist Dr Rob Grenfell.
 
Dr Auld’s keynote address will focus on the shifting dynamics of the Australian and global economies and the challenges shaping growth and inflation in 2025 and beyond.
 
When asked what economic forces are currently putting pressure on general practices, Dr Auld told newsGP that rising cost-of-living is top of the list.
 
‘These pressures are not unique to GPs, but are reflected across the broader economy,’ she said.
 
‘Cost inflation is also a relevant issue for many businesses, GPs included.
 
‘There is plenty of survey and anecdotal evidence to suggest that this is being reflected in margin compression across numerous industries.’
 
Dr Auld added that these pressures come at the same time as inflation, particularly in areas such as wages, rent, and medical supplies, continue to impact the financial sustainability of GP clinics.
 
She said these costs have risen considerably in the past 15 years, explaining that, since the beginning of 2010, the overall CPI index is up about 48%, while health costs are up 83%.


NAB Chief Economist Dr Sally Auld will be giving a keynote speech at the RACGP Practice Owners Conference. (Image: Supplied)

These are pressures GPs and practice owners across Australia will know all too well.
 
Last year, 70% of all practice owners said the challenges of increasing business costs, business profitability, and sourcing and retaining GPs are in their top three concerns.
 
But looking to the future, with trends such as an ageing population and chronic disease on the rise, Dr Auld said there are things the GP sector can do to prepare economically for the next decade.
 
‘Population ageing will, all else equal, mean greater demand for healthcare, and hence GP services. Likewise, the lift in chronic disease,’ she said.
 
‘But endeavours to increase longevity will also be an interesting dynamic for GP practices to contemplate in the next couple of decades, if successful, this will also increase demand for health services.
 
‘Against this backdrop, the sector needs to think strategically about the longer-term supply of GPs.’
 
The RACGP Practice Owners Conference 2025 will take place at the Melbourne Convention and Exhibition Centre on 24–25 May. Register online.  
 
Log in below to join the conversation.

business of general practice Practice Owners Conference practice viability