• Government announces $175 million GP funding boost tied to performance and data collection
  • Incentives include improving childhood immunisation and contributing data for health planning
  • Full 13.89% increase only applies if clinics meet specific performance targets

General practitioners across New Zealand are set to receive their largest-ever funding boost, with the Government unveiling a $175 million package aimed at strengthening frontline care. The new agreement could see GPs receive up to 13.89% more funding this year, but full access to that amount depends on meeting several performance-related conditions.

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Health Minister Simeon Brown said the uplift was more than double the largest increase since the current capitation funding model began. "This funding boost is about turning things around," he said, highlighting the Government’s push to reduce wait times and improve access to care.

Christchurch GP and GenPro chair Angus Chambers, who helped negotiate the agreement, welcomed the announcement. “We're actually quite pleased. It's a bit conditional so there will be some people who don't do as well out of this as perhaps we need them to do but, in general, this is a reasonably significant investment, and greater than we've seen for some time.”

The baseline increase to capitation funding – the amount general practices receive per patient – will be around 6.4%. To access the full 13.89% increase, practices must meet a set of targets. These include hitting 95% childhood immunisation rates for six-week vaccinations by three months of age, and agreeing to share non-medical data with the Government to assist with healthcare planning.

Chambers noted that some practices might struggle to meet the targets, especially smaller ones with few babies enrolled. Changes in public attitudes to vaccination could also make the immunisation target harder to reach.

Funding breakdown includes:

  • $59 million for increased capitation funding
  • $60 million to improve patient access and encourage data sharing
  • $30 million in performance payments for lifting immunisation rates
  • $26 million to keep GP visit fees low for community service card holders and children under 14
  • $5 million to expand minor procedures in the community

The funding is part of a broader $1.37 billion investment in Health New Zealand in Budget 2025. Brown said the new agreement responds directly to concerns raised by the sector and lays the groundwork for better health outcomes. He acknowledged the contribution of primary care representatives, including GenPro, GPNZ, and others, in securing the agreement.

Chambers cautioned that the changes would take time. “This is like an oil tanker – it will take a long time to turn around – so this is really just a start,” he said.

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