More than £41m extra to be invested in GP services in Wales

General practice in Wales is set to receive more than £41 million in additional funding this year after the Welsh Government reached a new agreement with GP representatives.

The deal includes a 4% uplift to the general medical services (GMS) contract for 2025-26, matching the recommendations of the Doctors and Dentists Review Body (DDRB).

Ministers have also committed to a guaranteed 5.8% recurrent funding increase from 2026-27, providing what they describe as ‘multi-year financial certainty’ for practices across the country.

Health Secretary Jeremy Miles said the investment shows the government’s “unwavering commitment” to primary care, which has faced sustained pressure in recent years due to rising demand, workforce shortages and increasing patient complexity.

“The 4% pay uplift ensures fair recognition for GPs and practice staff who work tirelessly to deliver care for communities across our country,” he said. “By providing multi-year funding certainty, we’re enabling practices to plan for the future with confidence and invest in the transformation our primary care services need.”

The agreement follows negotiations between the Welsh Government, NHS Wales and GPC Wales, the body representing GPs.

Of the total package, £37.9 million is new investment for 2025-26, with a further £4 million reinvested from existing capacity funding. The deal includes a 1.77% uplift to cover practice expenses such as rising utility bills and operational costs.

A recurring £20 million will support the stabilisation of general practice amid long-standing recruitment and retention challenges. It will also help prepare the sector for future reforms expected as part of the government’s community-by-design programme, which aims to shift more services closer to home and reduce reliance on hospital care.

The agreement also increases the partnership premium – a financial measure designed to retain experienced GP partners and make taking on partnership roles more appealing. GP partners are central to delivering continuity of care, but many have left the profession in recent years citing workload pressures and financial risks.

Review

As part of the deal, the government will also undertake a full review of the GMS allocation formula for the first time in more than two decades. The formula determines how funding is distributed between practices and has been widely viewed as outdated.

Jeremy Miles said the review offers “a major opportunity to ensure that funding is distributed fairly and reflects the current needs of practices and communities across Wales.”

He added that new working groups will be set up to progress improvements in areas such as access standards and diabetes prevention, with GPs contributing to the development of new service models aimed at improving patient outcomes and local access to care.

Negotiations

Dr Gareth Oelmann chair of GPC Wales said: “After extensive negotiations, we are pleased to have reached an improved and credible settlement. This agreement begins to address the significant pressures facing surgeries and recognises the hard work and dedication of GPs across Wales.

“We hope this settlement brings stability to practices for this current year and provides some certainty ahead of the 2026 Senedd elections. We believe it helps ensure a sustainable future for doctors and practice staff who work tirelessly to care for their communities.

“Although we aimed to reach an agreement sooner, we hope colleagues understand the delay. Throughout negotiations, we highlighted the significant financial challenges facing general practice in order to secure a better settlement. This agreement ensures proper investment in the contract for the next financial year.

“This deal is a positive step towards restoring years of underinvestment. Through our Save Our Surgeries campaign, we remain committed to securing a greater proportion of NHS investment for general practice. This will improve services and expand the GP workforce, which is urgently needed in Wales.”