Planning Your Exit: Retirement Strategies for UK Doctors

For many doctors, retirement isn’t just about closing a chapter; it’s about protecting years of hard work, ensuring patients continue to receive excellent care, and securing the value of the practice they’ve built. Stepping back from private practice can feel overwhelming, however, with the right strategy, it can be a smooth transition that safeguards both your legacy and your financial future.

Vicky Garbett is Chief Financial Officer (CFO) at Designated Medical, where she leads the accounting, finance and billing teams. A fully qualified Management Accountant, she supports doctors in managing their finances, building profitable private practices, and planning for retirement. Here, she offers her expert advice and top tips to help doctors prepare for a smooth and successful exit.

Why Retirement Can Be Challenging for Doctors

Many doctors struggle to retire or exit smoothly because of:

• Lack of time and headspace to plan
• Practices that are too dependent on them personally
• No clear successor lined up
• Emotional ties to patients and staff
• Fear of “losing everything they’ve built”

Making Your Practice Attractive for Transition

A future buyer or successor will want to know that your practice can run without you. Key factors that make a practice transferable include:

• Strong systems and processes (CQC policies, financial records, KPIs)
• A reliable practice management system and patient database
• A capable team handling clinical and non-clinical operations
• A trusted clinic brand, strong website, and marketing presence
• A steady flow of patient enquiries and referrals
• Evidence of recurring or multiple revenue streams

Exit Pathways and Financial Considerations

When planning your retirement, it’s important to address:

• Valuation of your practice – based on accounts, goodwill, assets, liabilities, and reputation
• Tax considerations – Capital Gains Tax (CGT), Corporation Tax, and Income Tax
• Retirement income planning – pensions, lump sums, and investment strategies coordinated with an independent financial adviser

Common Pitfalls to Avoid

Some of the most frequent mistakes doctors make when retiring include:

• Leaving it too late and losing leverage
• Assuming someone will “just take over”
• Failing to plan legally or financially
• Ignoring the emotional challenges of stepping away

What’s Next After Retirement?

Retirement doesn’t have to mean stopping completely. Many doctors choose to:

• Work part-time (1–2 days per week)
• Take on advisory or mentoring roles
• Run occasional clinics
• Focus on personal goals like leisure, travel, and family time

Think of retirement not as the end of your career, but as the beginning of a new chapter.

Key Takeaways

• Start planning early to build value in your practice
• Get professional advice on finance, tax, and investments
• Be clear about your succession plan
• Avoid common pitfalls by preparing well in advance

Next Steps

At Designated Medical, we help doctors navigate the journey from launching a private practice to planning their exit.

• If you’d like to discuss your retirement strategy, we offer a free 45-minute consultation with our expert team.
• Join our community of practitioners on WhatsApp who are moving into private practice and share ideas and knowledge.
• Register for our ‘Building a Successful Private Practice’ series of free webinars.