Labour's Family Doctor Loan Scheme will free up more than 4.5 million GP appointments a year and give every New Zealander three free doctor's visits through the new Medicard.
- Loans of up to 90% of the cost of buying into a practice, capped at $500,000
- Interest-free for the first two years; a 3% annual interest rate applies after that on the outstanding balance
- 10 years in total to repay
- Up to 50 loans available every year, prioritising areas with no GP or with closed or partially closed books
- Only available for owner-operated general practices, not corporate-owned practices - one loan per doctor
- Available from 1 July 2027, delivered through the existing Small Business Cashflow Loan Scheme
- Aims to free up more than 4.5 million GP appointments a year nationwide
A Labour Government will
- Make doctor's visits affordable for all New Zealanders, with three free doctor's visits a year through a new Medicard
- Support more doctors to set up new, community-based practices
- Free up 4.5 million appointments a year so people can get an appointment sooner
- Fix general practice's long-term funding challenges
How the Family Doctor Loan Scheme works
The Family Doctor Loan Scheme is a practical, targeted way to boost the number of clinics across New Zealand - and strengthen the ones we already have.
- Doctors can apply for loans of up to 90% of the cost of buying into a practice, capped at $500,000.
- The loan is only available for owner-operated general practices to ensure the scheme backs locally run GP clinics that stay closely connected to their communities.
- The loan is interest-free for the first two years. After that, monthly repayments begin on the outstanding balance, with an annual interest rate of 3 percent applying from that point.
- Doctors have 10 years in total to repay the loan.
- Up to 50 loans will be available each year, targeted to communities with no GP clinic or where GP books are partially or fully closed.
- Each doctor can receive one loan only under this scheme.
- The loans will be available from 1 July 2027 through the existing Small Business Cashflow Loan Scheme.
- Corporate-owned practices are excluded.
Example: How it benefits your local community
Katherine wants to move back to her hometown of Cambridge to buy a house and be closer to her family. A local doctor in Cambridge is retiring and wants to sell his practice in 2029. He has had interest from a corporate provider but would like the practice to remain owner-operated. Katherine would need to borrow $400,000 to buy into the practice and could be paying back upwards of $5,000 a month if borrowing through a bank. She is reluctant to take on this loan which would be on top of a planned $500,000 mortgage with monthly repayments of $2,500.
With Labour's Family Doctor Loan Scheme, she would be able to borrow the $400,000 to buy into the practice. If approved, she would have no repayments and no interest until 2031, and then until 2039 to pay off the loan. This reduces the risk for Katherine and lets her spend the first two years focusing on patients and ensuring the clinic runs smoothly, rather than worrying about monthly payments.
Why this is needed
Family doctors are the backbone of our health system and the first port of call when people are unwell - taking pressure off our busy hospitals. But doctors tell us that owning a practice is not always a sustainable option, especially for younger GPs with student loans, starting families, or trying to buy their first home.
Right now under Christopher Luxon, it is getting harder and more expensive to see a doctor or nurse in your community. Currently, 650,000 people cannot afford to see a doctor. One in three people are waiting more than two weeks for an appointment, and more than one in six are waiting three or four weeks, or longer. Around 300,000 people are not enrolled with a practice, and in some places very few practices are open for new enrolments.
“As a frontline ambulance officer, I often feel overwhelmed by how sick people are getting because they cannot get a GP appointment when it is needed or cannot afford the cost.”
How Labour will free up 4.5 million GP appointments a year
Labour has worked with health experts on a practical plan to free up more than 4.5 million GP appointments every year - simple, affordable changes that free up doctors' time so they can focus on patients, not paperwork.
Simple, affordable changes that free up doctors' time so they can focus on patients.
| Change | Appointments freed up per year |
|---|---|
| Clinical phone triage, directing patients to the right care | ~1.9 million (plus a further 2.9 million visits streamlined) |
| Expanding the use of technology to reduce administration | ~1.5 million |
| Support for advice on long-term conditions | ~1 million |
| Targeted funding to expand clinic space in high-demand areas | ~180,000 |
Where a patient's issue is resolved through telehealth triage, it will not count against their annual entitlement to three free doctor's visits.
Other changes in the plan
- A new Digital Innovation Fund, so clinics can quickly trial and adopt the best new technology as it becomes available.
- More open and efficient procurement for doctors, including access to the national Health System Catalogue, to reduce everyday running costs.
- A review of telehealth funding to ensure it complements, not replaces, face-to-face care.
Fixing GP funding
Labour will introduce independent pricing - a fair, transparent funding system where an Independent Pricing Authority sets a national GP funding rate based on real costs and patient need. When that rate goes up, Health NZ will fund the increase, instead of leaving practices or patients to carry the cost. Money that currently comes from patient co-payments will go into general practice funding, so clinics aren't worse off.
The cost
The administrative costs for the Family Doctor Loan Scheme will be met from existing baselines, as it leverages the existing Small Business Cashflow Loan Scheme. If fully subscribed, the capital cost of the loans themselves would be $25 million a year. The cost to government is the forgone interest from the low interest rate - estimated at less than $8 million a year if fully subscribed.
How much can doctors borrow, and what's the cap?
Up to 90% of the cost of buying into a practice, capped at $500,000.
Who can apply for a loan?
Owner-operated general practices, not corporate-owned practices, with priority given to areas with no GPs or with closed or partially closed books. Each doctor can receive one loan only.
What are the loan terms?
Interest-free for the first two years; a 3% annual interest rate applies after that on the outstanding balance; 10 years in total to repay; delivered through the existing Small Business Cashflow Loan Scheme from 1 July 2027.
How many loans will be available each year?
Up to 50.
How many GP appointments will this free up?
More than 4.5 million a year, through a combination of clinical phone triage, reduced administration, support for long-term conditions, and expanded clinic space.
What will the scheme cost the Government?
If fully subscribed, $25 million a year would be loaned out in total, with the true fiscal cost, the interest the Government forgoes, estimated at less than $8 million a year.
The Family Doctor Loan Scheme is part of Labour's plan to make it easier to get an appointment.
Download the full policy document.
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