23 September 2022

FODO member update – 23 September

This week:

• Eye care reforms in Wales
• Scotland - GOS fee increase
• Mini budget
• Government plans to cut business energy bills
• VAT update
• GOC update
• Other sector news
• Health policy updates

Eye care reforms in Wales

This week Eluned Morgan MS, Minister for Health and Social Services, confirmed that the Welsh Government had agreed in principle to a new optometry contract in Wales. You can read the full statement here.
 
Optometry Wales (OW) has welcomed developments and will host an event on Monday to provide more details. Register for the event.
 
FODO is analysing proposals and will issue a statement early next week. Members in Wales are encouraged to get in touch following the OW event with views or questions by emailing us at [email protected].  

Scotland - GOS fee increase

The Scottish Government has confirmed a 4.5% increase to all fees paid for GOS eye examinations undertaken on or after 1 April 2022. There will also be an increase in CPD and pre-registration training grants. Read the latest PCA.  
 
The Directorate of Primary Care has also published a PCA which includes details of CPD allowances and pausing of LFD testing, as well as information on winter flu and Covid vaccines. 

Mini budget

Ahead of key announcements from Chancellor Kwasi Kwarteng today, the government had already signalled a change in tax policy. In summary, key points for members are:  

• Basic rate of income tax is to be cut from 20% to 19% from April 2023, a year earlier than initially planned 
• The 45% additional tax rate for high earners will be abolished, making 40% the top tax rate. Note that in Scotland, the additional rate is 46% 
• This year's 2.25% NI rise will be cancelled on 6 November for both employers and employees  
• Planned increase to corporation tax is withdrawn, keeping it at the current rate of 19%
• Annual Investment Allowance (AIA) to remain at £1m rather than the planned reduction to £200,000 from 1 April 2023. Also 100% tax relief on capital investments in plant and machinery up to £1m to remain in place
• The planned 1.25% increase in dividend tax from 6 April 2023 has been scrapped.

Read more 

Government plans to cut business energy bills

As anticipated in our update on the cost-of-living crisis on 9 September, the government has confirmed plans to introduce a new Energy Bill Relief Scheme. Like the Energy Price Guarantee for households, the scheme will discount wholesale gas and electricity prices for all UK businesses experiencing significantly inflated gas and electricity prices.

The support will depend on your contract type but it should apply to energy usage from 1 October 2022 to 31 March 2023. You should see savings in October bills, typically received in November, and will take the form of a p/kWh discount automatically applied.

A parallel scheme will be established in Northern Ireland and offer comparable support.

VAT update

HMRC has reminded businesses that from 1 November 2022: 

• They can no longer use their existing VAT online account to file quarterly or monthly VAT returns 
• They will be able to file annual VAT returns using their VAT online account until 15 May 2023.   

GOC update

Highlights of the General Optical Council (GOC) Council meeting of the year on 21 September: 

Following the Stakeholder Perceptions Research 2022 report, the GOC agreed to staff visiting registrants working in clinical practice to broaden their understanding of optometry and dispensing optics. It also pledged to improve engagement with the public and patients and boost communications.  

In addition, Council approved the proposed timescale and next steps for GOC's call for evidence on the Opticians Act 1989. It will continue to review responses and develop proposals for further research until mid-January 2023. 

Finally, Council approved the GOC's Annual Report 2021-22, showing how the GOC has delivered on its three strategic objectives in 2021-22.

View the full Council Papers for September 2022. 

Other sector news

Blind golfers tee up for the fifth Vision Cup in Florida.  

Moorfields marks national eye health week and offers tips for healthy eyes. 

E-Health Focus Group pledges to empower eye care practitioners with advanced technology.  

Health policy updates

Health and social care secretary and deputy prime minister, Thérèse Coffey, will outline 'Our plan for patients', including measures to ensure the public receives the best possible care this winter and next.  

NHS trusts plan to use billions of pounds of cash reserves this year, as their balance sheets are three times higher than before the pandemic.