The National Pharmacy Association (NPA) has again called upon the government to deliver a business rate exemption for pharmacies, as the sector battles rising employment costs.
In evidence submitted to the Low Pay Commission, the NPA warned that without an exemption, wage policy could “unintentionally accelerate pharmacy closures, reduce patient access, and undermine the work being done to shift more healthcare into the community”.
The NPA based its evidence on the results of a member survey conducted last June, which claimed last year’s changes to the National Living Wage created additional financial pressure for 90% of pharmacies, with 66% of respondents being forced to reduce opening hours and staff.
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The NPA also urged the Low Pay Commission to work with the Department of Health and Social Care to review the impact of wage changes during funding negotiations, and on pharmacies in deprived, rural and high-need areas where closures could be particularly detrimental.
“The NPA has told the Low Pay Commission that pharmacies cannot easily pass wage inflation onto consumers, as the majority of the income pharmacies receive is from set NHS funding,” said NPA chair, Olivier Picard.
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He called for pharmacies to be regarded as a “special case” as it faces “particular constraints” and he urged the government to extend the exemption, which exists for dentists and GPs.
In March, the NPA said pharmacies in England have cut their weekend hours by more than 20% since 2022 in order to cope with underfunding.
And it cited “chronic underfunding” as the reason for one in 6 pharmacies decreasing weekend hours, with 8% now closing altogether at the weekend.
