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Room rental

We own our surgery premises and receive notional rent from our PCT. We are considering renting out a couple of our consulting rooms. The rental will be less than 10 per cent of our total income. Can you confirm that we will not lose any of our notional rent?

The 10 per cent abatement rule applies where a practice has used the surgery premises to generate more than 10 per cent of its income from private sources (for example, from insurance medicals, private patients and so on) but does not apply to private rental income.

Paragraph 48 of the GMS Premises Costs Directions 2004 states that where a practice receives rent for their premises, the PCT must set off this contribution against the rent reimbursement so there is no 10 per cent limit before reimbursement is reduced.

Normally, practices make a service charge for the use of rooms to cover the cost of additional light and heat, cleaning costs and so on rather than charging rent.

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