Layer 1

Pharmacies to get £2,000 allowance after HMRC u-turn

The government has reversed its decision to exclude independent pharmacies from its £2,000 employment allowance


The government has reversed its decision to exclude independent pharmacies from its £2,000 employment allowance, following a C+D campaign.

Contractors were previously unable to claim for the allowance, which was announced on April 6, because they carried out more than half of their work for the NHS and were deemed "public sector" businesses.

But HM Revenue and Customs (HMRC) confirmed yesterday (May 6) that the government had changed its mind and independents would be eligible for the allowance, in the wake of a three-week campaign by C+D and pharmacy groups.

"Following representations received from pharmacies and representative bodies clarifying and providing further details of their work, HMRC has come to the conclusion that independent pharmacies do not come within the exclusion when they are dispensing NHS prescriptions," a spokesperson told C+D.

As part of the campaign, C+D provided a template letter that many contractors sent to their local MPs. C+D also spoke to politicians with an interest in the sector, including all-party pharmacy group chair Sir Kevin Barron and shadow health minister Jamie Reed, who threw their weight behind the campaign.

HMRC has changed its decision after a campaign by C+D which included a letter sent by contractors to their MP

More on tax

MPs get on board to overturn clearly unfair tax break exclusion

Sector lambasts prejudiced tax break

C+Ds tax break campaign


In its template letter, C+D argued that independents, unlike GPs, do not receive NHS pensions or have their costs remunerated by the NHS and so were entitled to the allowance. The extra £2,000 would allow contractors to deliver extra healthcare services, reducing the strain on the wider NHS and improving the health of local populations, the letter said.

NPA chief executive Mike Holden, who also wrote to the government to query the exclusion of contractors, told C+D that he was "delighted" at the news and the speed at which HMRC had responded.

"This episode goes to show that reasoned argument made by a united sector can achieve results," he said.

HMRC told C+D that they will update their guidance to reflect the changes. Details of how to claim for the allowance can be found on the government's website.  

39 Comments

Hanbal Chaudry, Community pharmacist

For Contractors. There are various other schemes that contractors should look at. I just had my business rate bill reduced from almost 2k to zero. Retail and small business rates relief.

Paul Miyagi, Information Technology

What is it with successive governments and pharmacy ?? Time after time we just get pushed around. And what a surprise , when we stand up for ourselves - we get something. Doesn't that send a message to all pharmacists our there. STAND TOGETHER !!!

Sachin Badiani, Pharmacy owner/ Proprietor

I await Mezit Ozil and S Morein's views on these.

I think it's a good result.

London Locum: what do you mean?

London Locum, Locum pharmacist

I mean contractors would not support locus in a similar quest were it to arise

P M, Community pharmacist

get real...your staff nothing more.. you'll get paid what your worth.

London Locum, Locum pharmacist

I keep saying it. Contractors are special. In no other profession do you find such lack of respect between eachother to the point of exploitation. Good luck to you.

P M, Community pharmacist

take a chance london locum... put your money where your mouth is, or are you all hot air?

London Locum, Locum pharmacist

Take time to read my words and you'll actually see my concerns are more with the profession as a whole, working conditions, respect between colleague. As for hot air, Am I suppose to list my outside investments and post up my tax returns for you as well. lol.

P M, Community pharmacist

wow a contractor who's trying to make money .... lol... how unethical.

London Locum, Locum pharmacist

typically like most contractors you don't get it. I don't recall anyone here ever saying money should not be made

London Locum, Locum pharmacist

finally a contractor exposes himself. lol. Take note people

MESUT OZIL,

Not fussed to be honest Sachin...I am financially secure at the age of 35...I work to live and don't chase the material world. I'm guessing Pharmacy is your life?

Ryszard Cygan, Superintendent Pharmacist

Now that is cheesy! Like something out of Miss World. Next you will be telling us that your a vegetarian, want to save the polar bears and like men that aren't afraid to cry.

P M, Community pharmacist

i dont chase the material world ... what a joker...

MESUT OZIL,

Another contractor who thinks the world revolves around them!!!!

London Locum, Locum pharmacist

Sadly a lot of the conractors i come across are a snivelling conniving bunch, and mostly wear their trousers way too high for my liking.

P M, Community pharmacist

sadly most locums i come across are selfish, self indulged, lazy wannabes... and have ideas above their station.. your staff get used to it...

London Locum, Locum pharmacist

You must treat your staff very well i'm sure. Were you bullied as child or at uni pehaps?

P M, Community pharmacist

tut tut lazy locum... dont take it so personally..

MESUT OZIL,

Maybe Mummy or daddy didn't shower P M, Com pharmacist any love ...?

P M, Community pharmacist

nice one mezit, you must have your mates in stiches, hurts to miss the boat though doesn't it?

MESUT OZIL,

For the record...I am a contractor BUT unlike UUUUUUUUUU I don't think the world revolves around me...:)

ps It's Mr Mesit to U!!

P M, Community pharmacist

your funny.... a contractor .... ha ha

MESUT OZIL,

Does the PM stand for pre-menstrual?

HAHA

P M, Community pharmacist

non healthcare professional , does that stand for uneducated gimp?

London Locum, Locum pharmacist

I don't. What most contractors don't get(multilples don't care) is that if the new registrants are treated appallingly with regards pay and conditions the actual profession itself is dead.

P M, Community pharmacist

look, if your a locum you'll enjoy the current locum wage, however if you add value to what your doing you'll earn more simples.

London Locum, Locum pharmacist

Don't worry all of this is moving up the chain so you'll understand soon

MESUT OZIL,

Pharmacy is a job which pays the bills. It's not my life , I'm presuming from your message u live and breathe pharmacy...

N O, Pharmaceutical Adviser

"Pharmacy is a job which pays the bills. It's not my life , I'm presuming from your message u live and breathe pharmacy..."

So funny Mesit. Do you read what you have written before you post or just mumble something for the sake of it ???

If Pharmacy pays for your BILLS, then it means it SUPPORTS YOUR LIFE and of those dependent on you.

Pages

Job of the week

Relief Pharmacist or store based Pharmacist
Mid Wales - Powys (Builth and Lland
Competitive Salary + Location Supplement and Benefits