Dental inflation in 2024

Our estimate of dental inflation is reliant on a combination of weighted member survey information and data from public sources, compiled annually. It represents the change in prices in the 12 months to October 2024.

Dental inflation in the 12 months to January 2025 is estimated at 9.2% including staff. For a dental practice this is the equivalent of beginning with overall costs of £380,000 and those rising by £82,000 in two years. This falls in line with the 9.6% increase in private fees from 2023 to 2024 as dentists seek to recoup losses whilst faced with below inflation contract uplifts.

Lab costs

When it comes to lab costs, the factors in the rise in inflation have combined with other market conditions to produce periods of rising prices and constrained supply, driving up demand and potentially impacting prices. Lab fees are estimated to make up anywhere between 5% and as much as 17% of costs, varying widely from practice to practice. NASDAL, the association representing specialist dental accountants and lawyers, estimates that materials and lab fees make up on average 13.1% of fees.

Depending on the course of treatment, they can contribute to a much higher percentage cost if a lab fee is required for more complex work.

BDA members experienced a spike in difficulties in accessing laboratory services in 2022, with 37% expressing problems with accessing lab time. In 2024, nearly two thirds suggested that the volume of product supply was broadly similar to the year before, indicating a settling in the market for dental lab made goods. However, in Northern Ireland, a much higher cohort said that lab work had increased by 36%, as opposed to the average of 20% across the four nations.

Lab fees can range from as little as £30 for a small, simple product like a special tray to over £300 for crowns and dentures. However, prices can fall below or above that range depending on bespoke needs for the piece required or geography. Following the unwinding of lockdown restrictions, dental labs experienced severe bottlenecks which pushed up prices. The sector is also experiencing a reallocation of resources as some practices move to chairside or on-site lab work, possibly using 3D printers and other techniques. The number of people becoming dental technicians is also decreasing (2), just as the role changes following technological advancement. Artificial intelligence techniques may begin to have a role to play as time goes on.

Materials

Dental materials cover a wide range products from those produced and purchased in great volume and with a short usage life, to chemicals used in care and specific tools. Composite materials, medical gloves and sterilisation pouches keep dental care going but rely largely on imports and plastic production.

As we witnessed with PPE during the pandemic, dentistry is competing with other medical services not just in the UK but worldwide for mass produced items susceptible to global market conditions. Many products come from the EU, particularly Germany or further afield, manufactured in East Asia.

The Office for National Statistics (ONS) has tracked medical products and equipment prices since 1989 (3), their data indicating that costs have followed changes in inflation very closely. Materials costs, based on our data, range between 7% and 9% of total costs for a practice. However, practices account for materials differently. Costs are often higher for practices which support dental foundation training, due to the extra wastage of materials as trainees develop their skills.

Larger practices can make use of economies of scale when purchasing materials in larger quantities, in a way that single handed practices may not. When asked in Autumn 2024, nearly half of practice owners were experiencing mild problems with product supply, whereas 31% experienced significant problems and 8% experienced severe problems.

Utilities

Businesses’ utilities costs, the primary outlay on which applies to electricity for practices, are shaped by international factors affecting wholesale prices. Britain’s energy costs are comparatively high compared to European competitors (4). British consumers are therefore slightly more susceptible to changes in unit prices, which can be shaped by international factors such as the war in Ukraine. Tariffs for business customers are arranged on a per-business basis and can be on fixed or variable terms, based on your usage (costed in Kilowatt Hours: kWh).

These trends have been reflected fairly similarly by our expenses research for practices. The most recent research survey into practice expenses indicated that monthly energy costs for practices ranged between £800 and £900 per month.

As a member, you can now access a bespoke utility review service from MESO Energy organised through our insurance partners Lloyd & Whyte. MESO Energy specialises in helping UK businesses reduce electricity, gas, water, and telecoms costs, so find out how much you can save.

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