A Sunday Times report has revealed that psychiatrists have been accepting thousands of pounds in kickbacks from upmarket private clinics routinely. The kickbacks are supposedly inducements to refer vulnerable people suffering from addictions. These kind of commissions are prohibited under General Medical Council (GMC) rules as they are blamed for increasing the cost of private care at a time when NHS treatment is already under pressure. The scandal comes at a time when drug-related deaths in the UK are at an all-time high. Clinics and doctors in the country are barred from making referral payments under a 2015 order by the Competition and Markets Authority.
In its investigation, undercover reporters from The Sunday Times filmed a psychiatrist admitting that he had been paid a huge sum (~ £50,000) for referring a single patient.
Some of these commissions were reportedly paid by the exclusive Life Works clinic in Surrey, owned by the Priory Group, which is famed for treating celebrities such as Kate Moss, Robbie Williams and Eric Clapton. Some British doctors have also been been paid a one-off fee of ~ £19,000 for referring patients by the Kusnacht Practice, a clinic for multimillionaires based in Switzerland. These private clinics are able to offer lucrative incentives for referrals because they make substantial sums of money from patients who are unaware about the payments. They provide residential treatment for people suffering from a range of addictions including alcohol, drugs, gambling, depression and eating disorders. For instance, Life Works clinic charges fees of £24,000 for a typical four-week stay whereas the Kusnacht charges between £250,000 and £350,000 for a single month.
Dr Marios Pierides, a London-based psychiatrist, who admitted receiving referral fees from the clinic, confirmed this. He also said he would repay the Kusnacht 100,000 Swiss francs (£76,000) as soon as possible, and that the money will subsequently be passed on to the patients he had referred.
The Priory Group has denied paying any referral fees to doctors. The Kusnacht maintains that it had always complied with applicable law. The General Medical Council hassaid it would review this evidence and would not hesitate to take action against any doctor who had breached its guidelines.
