CPE gave ‘abrupt’ response to call for action on contract, says IPA

The IPA told C+D it was “disappointing” to receive a “short” note from CPE declining to be involved in seeking legal advice on the NHS pharmacy contract.

exclusive
Contract deal discussion pros cons
The IPA said it "would have been good to show a unified front" (Cagkan Sayin)

The Independent Pharmacies Association (IPA) received a “short” and “abrupt” note from Community Pharmacy England declining to be involved in the trade association’s call for action on the pharmacy contract, it has told C+D.

A representative for the IPA said that “many pharmacy owners across the country are increasingly dispensing medicines at a loss” - and that “as a representative body”, it feels “it is only right to ask legal advice on what contractors’ rights are and how this unfairness can be addressed”.

“To this effect, we asked all pharmacy bodies last week to come together and have a joint call to discuss this further,” they added.

Read more: ‘Ludicrous’: IPA calls for ‘collective action’ over pharmacy contract

But they said it “was disappointing to receive a short and, in our view, abrupt note from the CEO of CPE telling us that it would be inappropriate for CPE to be involved at this time, without making any efforts to come on a joint call or to explain their reasoning further”.

“We understand that CPE is busy with negotiations, but with such an important matter for contractors, it would have been good to show a unified front and have a joint call to discuss it collectively.”

Read more: Over half of pharmacies could ‘limit services’ over funding gap

It follows the IPA announcing last week that it is “seeking legal advice on the requirement by the NHS for pharmacies to supply medicines at a loss”

The body said at the time that it was seeking support from other pharmacy bodies in “commissioning independent legal advice to clarify the rights of pharmacy contractors operating under these conditions”.

“Inappropriate”

In briefing papers for CPE’s April 2026 committee meeting, published on April 29, the negotiator said it had recently received a “brief proposal from the IPA on seeking legal advice” and IPA representatives had also raised the issue at the meeting.

CPE noted that the IPA had not shared with it the “specific questions on which legal advice would be sought””.

Read more: Over half of pharmacies could ‘limit services’ over funding gap

“As with seeking any legal advice, the need for these questions to be very carefully considered and drafted is key to maximising both the usefulness of the advice and the value from any spend,” it said.

It added that the IPA’s proposal “was discussed at the committee meeting” and the committee determined “that it would be inappropriate for CPE to be involved at this time”.

“Unfair situation”

The IPA’s representative said the body “will continue to raise awareness about the fact that so many pharmacy owners are dispensing at a loss at a time when costs are rising significantly and, unlike other sectors, they cannot pass their costs on to consumers”.

“We have already highlighted this repeatedly in the national media, in our letter to secretary of state Wes Streeting and in our meetings with the HM Treasury and Department of Health officials,” they added.

“We are keen to seek a solution to this unfair situation that our sector is finding itself in.”

Read more: NPA calls for ‘emergency’ £52m payment for pharmacies

CPE also said in its meeting papers that its “position on dispensing at a loss is very clear” and that community pharmacies “must be put on a sustainable footing, including how they are recompensed for dispensing medicines”.

“These are central to our negotiating objectives and we have long argued for a complete reset and reform of the margin system,” it added. “We have taken appropriate independent and legal advice on how to re-shape the system over several years.”

“We continue to make representations to government in this and previous negotiations, on how to avoid dispensing at a loss, ensure a complete reset of margin and deliver reimbursement reform.”

Read more: Pharmacy chain accuses CPE of ‘ignoring’ economic review

It comes after the IPA revealed earlier this month that more than half of pharmacies would consider cutting back services if the government does not address the sector’s funding gap.

The body’s survey of around 3,500 English pharmacies found that 56% “have no choice but to consider limiting services” including Pharmacy First, reducing deliveries and “cutting opening hours” if a “sufficient funding agreement” is not reached.

Darcy Jimenez

Read more by Darcy Jimenez

Darcy became managing editor at C+D in April 2026, after joining as a senior reporter the previous August. She has been a journalist for several years, writing news and features across a range of areas, including healthcare and the pharmaceutical industry.

Latest from Funding

More from News