With a view to encouraging the formation of group practices, the
local management body, sometimes through intermediaries,
occasionally makes interest-free loans to doctors in general
practice. The term `group practice' means that the practice is
carried on by several doctors working together in close
association, consulting about their patients and doing their
surgery work wholly or partly in a common building. A group may or
may not be a partnership.
Repayment of the loans is normally effected by means of
quarterly deductions from the remuneration payable to individual
members of the group. Where proper accounts are prepared, no
difficulty is likely to arise but in other cases it should be borne
in mind that the amounts shown as received may be net sums after
deduction of loan repayments.
