GP Crisis Deepens in Hunter Region as Clinics Face Financial Strain
A concerning new report has revealed that more than a third of general practice clinics across the Hunter-New England and Central Coast regions are experiencing significant financial stress. The comprehensive analysis, conducted by the Primary Health Network, paints a stark picture of a healthcare system under pressure, with staffing emerging as the most critical challenge facing these essential medical services.
Staffing Shortages and Financial Pressures
The report, which examined survey data from 189 general practices over the past two years, found that 55 percent of practices identified attracting and retaining clinical staff as a major barrier to their operations. Beyond the doctor shortage, the analysis highlighted concerning gaps in nursing and practice management positions that are vital for clinic functionality.
Dr Alison Koschel, an executive manager with the Primary Health Network, provided insight into the underlying issues. "We've had a dearth of people taking up primary care work because it's not lucrative," she explained. "When you can't pay your bill, the last person you pay is yourself. GPs aren't making a lot of money, so people aren't coming into the specialty."
Financial pressures are mounting across the sector, with practices reporting rising costs, limited income from bulk-billing arrangements, low staff morale, and high turnover rates driven by workplace stress and poor retention strategies. One practice insider captured the essence of the struggle, stating: "We face enormous expenses, with little incoming revenue and no profit."
Mixed Financial Picture with Some Positive Signs
While the overall situation remains challenging, the report did identify some encouraging trends. Financial stress among practices decreased from 49 percent in 2024 to 36 percent in 2025, suggesting some improvement in economic conditions. Approximately 55 percent of practices were classified as "sound and stable" in their current operations.
Additionally, the number of practices where all GPs had closed their books to new patients fell from 25 percent to 17 percent, indicating improved access to primary care services in some areas. However, concerns remain that this trend may reverse as ageing GPs retire from practice.
The report also highlighted vulnerabilities within clinic operations, noting that if a nurse took unplanned leave, 34 percent of practices would experience significant disruption to both patient care and practice income.
Government Response and Future Outlook
Federal Health Minister Mark Butler addressed the ongoing challenges this month, pointing to positive developments in GP training. "More junior doctors are training to become GPs," Mr Butler stated, announcing that the Albanese government would provide an additional 306 GP training places this year.
The Royal Australian College of General Practitioners will oversee the expanded program, which is expected to increase the number of doctors undertaking GP training to approximately 2100. This represents a 14 percent increase from the previous year's figures.
There is also optimism that an influx of GPs from the United Kingdom, where many are seeking to escape the crisis-hit National Health Service, could provide much-needed relief for the Hunter region. The Australian government has recently relaxed requirements for overseas GPs from the UK, Ireland, and New Zealand to practice in Australia.
Despite these potential solutions, Dr Koschel cautioned that while the GP crisis is "not escalating and getting worse at a fast rate of knots, the situation is not improving" either. With only 15 percent of medical graduates currently choosing general practice as their specialty, the long-term sustainability of primary care services remains a significant concern for healthcare planners and communities across the region.
