GP Sustainability Loan Scheme
The new Scottish GP contract, announced at the beginning of this year, envisages that by 2043, no GP will own their GP premises. The way the Scottish Government intends to achieve this is by offering a Sustainability Loan to GPs who own and occupy their own premises, with £30m being made available by 2021 (£10m per year). Loans will be repaid when the premises cease to be used by the GP contractor for delivering primary medical services under a Health Board contract or when they are sold, whichever comes first.
GP practices have until 12 December 2018 to apply for the first wave of loans.
If you are considering applying for a GP Premises Sustainability Loan, depending on the circumstances of your own practice, you may be asked to sign a loan agreement, standard security or ranking agreement, all of which have serious legal implications. The Scottish Government have made it clear in their Further Guidance on the GP Sustainability Loan Scheme is basic guidance, and does not constitute legal advice!
In order to protect you and your practice, you should engage solicitors as early as possible so they can help and advise on the following aspects:
- Review the title deeds to the practice property to ensure that the ownership reflects the current structure of the partnership. Any title transfers or updating exercises will require to be completed prior to drawdown of the loan
- Review the terms of your current Partnership Agreement (if any)
- Provide advice on any property statutory compliance documentation likely to be required
Morisons Solicitors are actively involved in the Healthcare sector across Scotland. We are set up to advise all GP practices with their applications and are currently offering a free initial consultation with one of the solicitors in our Healthcare Team. Please contact Lucy Gannon on 0141 332 5666 or fill in our contact form in order to organise a suitable time for an initial no-obligation meeting. The Healthcare team are happy to come out to the practices for meetings, over lunchtime, if that is more convenient.< Back