The veterinary sector in the UK has seen significant growth over the last few years. According to the Office for National Statistics, income generated from veterinary services rose from £5.04 billion in 2021 to £6.3 billion in 2023, representing an increase of 24.8 percent. The rise of pet ownership is clearly behind this spike. As of 2024, 60 percent of households own the country’s 36 million (non-aquatic) pets, with 38 percent of the population welcoming a new pet in the last four years.
As demand for veterinary care increases, so too will the need for advanced diagnostic equipment for faster disease detection. However, with rising energy costs, vet shortages and growing workloads (among other pressures), practices may struggle to find the resources, whether in terms of budget or staff time, to invest in the latest equipment. At the same time, the ongoing cost-of-living crisis may affect how much pet owners are willing or able to spend on treatments. Pet owners need access to high-quality care – both general and specialised – but at reasonable costs.
Independent practices are especially hard-hit in this respect, leading to larger groups increasingly taking market share. Smaller vet practices therefore need affordable and convenient means of investing to remain competitive.
As demand for veterinary care increases, so too will the need for advanced diagnostic equipment for faster disease detection
State-of-the-art diagnostics
Investing in cutting-edge equipment and technology allows clinics to offer a wider range of more efficient and effective services and treatments. Improved diagnostic capability leads to earlier and more accurate diagnosis, enabling timely treatment and better patient outcomes.
Equipment capabilities are constantly evolving. Modern CT and MRI machines now have AI functionality, for instance. AI-powered scan automations allow staff to spend more time with the patient and less time operating the scanner. Guided workflows created by AI-based software can analyse the animal’s shape and identify key anatomical landmarks for patient positioning. AI algorithms can also review diagnostic tests and imaging scans, recognising patterns and highlighting abnormalities with a reduced margin of error, saving valuable time and leading to better outcomes for animal patients.
Leveraging specialist finance
While the benefits of advanced diagnostic machines are clear, there remains the issue of investment. Inflationary pressures mean that many practices are hesitant to invest in new assets, preferring instead to preserve working capital and maintain liquidity.
To ease the situation, healthcare equipment finance options are available to support investment without the need for a large up-front capital outlay. Such arrangements tend to be offered by specialist financiers, such as Siemens Financial Services (SFS), who have an in-depth understanding of the equipment being financed and its applications in the vet industry. Siemens Healthineers also manufactures animal diagnostics equipment, so the financier can consult Healthineers experts as needed too.
Specialist financiers tailor asset finance packages to fit the specific requirements of each individual veterinary practice, flexing the financing period to match the business’s cash flow. Medical equipment financing gives practices the opportunity to hold on to their precious capital for use in other more pressing areas of their business.
Financing options available to vet practices include:
- Tailored arrangements: flexible payment periods make every option affordable, as practices can exercise a full range of choice in what they decide to invest in. Such arrangements recognise the cash-flow profile of each individual business, allowing them to align payments with the revenue benefits of the equipment
- Deferred payments: financing that delays paying for a new system or solution until it has been set up, trialled and tested, thus avoiding paying for both original and replacement technology at the same time
- Technology upgrade: arrangements that provide the option to upgrade or add to the technology, either during or at the end of the financing period, offering protection against technology obsolescence
Case study: Specialist vet practice expands surgical capabilities with leasing solution
Bridge Referrals, a veterinary referral centre, expanded its advanced care services for pets with two new operating theatres. Siemens Financial Services (SFS) helped the centre acquire critical imaging equipment.
Veterinary referral centres play an important role in providing advanced care for more complex conditions or injuries. Highly trained advanced practitioners provide a range of services that are normally not available at a general veterinary practice. Since opening its doors in 2022, Bridge Referrals has grown rapidly, with revenue increasing by 50 percent annually and a total of 72 employees (the team was 20-strong to start with).
Bridge Referrals was in the process of opening two new operating theatres, expanding its total to four. One of the theatres was specifically built for X-ray and fluoroscopy services and needed a fluoroscopic c-arm (a mobile X-ray imaging device for surgical procedures) from Siemens Healthineers. The centre felt that the functionality and advanced capability of this equipment would keep it at the forefront of fluoroscopy in veterinary care. The c-arm was available for purchase through PLH Medical, an approved supplier of Siemens Healthineers equipment.
Bridge Referrals was open to a finance solution to make its ambitions a reality. PLH Medical introduced Bridge Referrals to Siemens Financial Services (SFS), Siemens’s finance arm. SFS stepped in to offer a tailored financing option for Bridge Referrals to acquire the equipment. Iain Kennair, operations manager, Bridge Referrals, explains, “Given the size of the investment, financing from SFS helped ease the burden of purchasing the equipment we needed. They also took care of the whole process for us, from raising a PO to organising delivery, and made it hassle-free.
“Our centre is still in its infancy and it’s a big project to manage, so SFS’s help in overseeing the acquisition of our new equipment was invaluable, allowing us to concentrate on other parts of the business that needed our attention. We weren’t anxious about lead times for the project, since SFS made sure everything arrived on time.”
SFS financed the c-arm at £77,000, adding in other small-value equipment for the operating theatre, up to a total value of £150,000. All this equipment is embraced in a single leasing arrangement. The new equipment allows the centre to offer a wider range of services and procedures to a greater number of patients.
Final thoughts
For independent practices, flexible finance makes it possible to compete with the large group companies, especially in terms of having the best technology base to manage pet patients’ welfare
With demand for animal care expected to rise further, it is vital that veterinary practices are able to manage this growing demand. For independent practices, flexible finance makes it possible to compete with the large group companies, especially in terms of having the best technology base to manage pet patients’ welfare.
