BRITISH doctors now earn more than their counterparts on the Continent, according to a new study. It has revealed that hospital consultants’ salaries increased by more than 30% between 2000 and 2004.

British consultants and GPs are now better off than medical specialists in France, Germany and Denmark.

Despite the increases, consultants are asking for a pay rise of 4.5% — almost twice the rate of inflation. Their average annual earnings exceeded £94,000 in 2004. These pay increases were accelerated after consultants agreed changes to their National Health Service contracts two years ago in return for pay rises.

The increases are revealed in a report by the British Medical Association (BMA), compiled from independent surveys and data from the Organisation for Economic Co-operation and Development (OECD).

A separate report reveals that 43% of GPs were paid more than £100,000 a year in 2004, compared with 23% the previous year, making them the best paid in Europe.

The government is committed to massive investment in the health service and spending is to rise by 7.4% a year until 2008. Expenditure is budgeted at nearly £70 billion.

Half the extra £5.9 billion invested in the NHS in the past financial year has gone on extra pay and pensions, according to official figures.

While health experts say pay increases were required to reward nurses and recruit lower-paid staff, the rises for consultants and GPs have been criticised for being too generous. The contracts for consultants limited their basic working week to 40 hours.

GPs have also enjoyed large pay rises from new contracts, in which they are paid more for treating vulnerable groups and meeting new health targets. The contracts also allow GPs to stop providing out-of-hours cover. If they provide such cover they are paid more.

Dr Des Spence, a Glasgow GP, said the extra money was counterproductive. “My wage has doubled in the past 10 years,” he said. “Giving GPs this amount of money may even make staffing resources worse, because GPs have no need to do extra work out of hours.

“This increase in money has not been translated into improvements in patient care.”

NHS expenditure on doctors has doubled in the past five years. In 1999 the NHS spent £3 billion on their pay, increasing to £6 billion in 2004. The pay rise has not been matched by any significant increases in productivity.

The Office for National Statistics (ONS) has calculated that between 1997 and 2003 doctors’ productivity fell by an average of about 0.75%.

The government argues the ONS figures do not take into account the quality of care. Sir Nigel Crisp, the NHS chief executive, said deaths from heart disease and cancer were continuing to fall as hospital services improved.

The BMA said the 4.5% pay claim for next year is necessary to ensure consultants are retained in the NHS. Dr Paul Miller, chairman of the BMA’s consultants’ committee, said: “Almost eight out of 10 consultants say they plan to retire early. This would be disastrous for the health service. The NHS should be doing all it can to retain consultants.”

The BMA report on pay has been produced as part of its submission to the review body on doctors’ and dentists’ remuneration. “GPs in the UK have the highest earnings out of all the European countries included in the OECD data,” says the report. On consultants’ pay it says: “When comparing earnings of salaried doctors across the countries for which the (OECD) data is available, earnings in the UK rank second only with doctors in the USA.”

The BMA argues that further pay increases should ensure doctors maintain their position in the world rankings. “Any slippage could encourage doctors to move in pursuit of more money,” said a spokesman.

Dentists have also enjoyed generous salary rises and are among the best paid in Europe. An independent report, the EU Manual of Dental Practice, reveals dentists in general practice are paid more than counterparts in France and Germany.

Patricia Hewitt, the health secretary, has warned that the large increases for doctors should stop. She is backed by hospital managers who say any further pay rises above inflation for consultants would result in cuts to hospital services, including equipment, medicines and staff.

A survey by the NHS Confederation, which represents hospital managers, showed the vast majority of chief executives do not believe higher pay for nurses and doctors is affordable.

Alastair Henderson, deputy director of NHS Employers, the part of the confederation dealing with pay, said: “If you take more money for one area, such as staff salaries, there is less for other patient services, such as equipment, medicines and employing more staff.”

Additional reporting: Tom Baird

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