The IPA has called for “collective action” over an NHS pharmacy contract it says has left community pharmacies “in an untenable position”.
In a statement shared on April 20, the IPA announced that it is “seeking legal advice on the requirement by the NHS for pharmacies to supply medicines at a loss”.
“At present, community pharmacies are placed in an untenable position when dispensing certain medicines,” it said.
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It added that “due to ongoing market volatility, rising acquisition costs, and delays in reimbursement”, pharmacies are “increasingly required to dispense medicines at a financial loss”.
“In situations where a pharmacy makes the difficult decision not to supply a medicine because doing so would leave them significantly out of pocket, they risk being deemed in breach of their NHS contractual obligations.”
“Time for collective action”
The body urged the pharmacy sector to “unite in seeking urgent reform of the NHS pharmacy contract to reflect current economic realities” and “advocate for a fair and responsive reimbursement system”.
It said it is seeking support from other pharmacy bodies in “commissioning independent legal advice to clarify the rights of pharmacy contractors operating under these conditions” and “challenging any contractual expectations that compel pharmacies to jeopardise their financial stability in order to remain compliant”.
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The IPA warned that if pharmacies “are to continue serving patients effectively, they must be supported by a contract that is fair, sustainable and fit for purpose”.
“Now is the time for collective action,” it said.
Ludicrous situation
IPA chief executive Dr Leyla Hannbeck said it is “completely unacceptable that pharmacies are being forced to supply medicines at a loss”.
“Pharmacies are already under immense pressure, and we saw over 650 closures across England and Wales last year alone,” she added.
“With rising costs from increased national insurance contributions, a higher minimum wage and the impact of business rates, many more are now at real risk of shutting their doors.”
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Hannbeck stressed that it “will not just be pharmacies that suffer” if the issue is not resolved, but also “patients who lose access to vital medicines and care”.
“The system must be fixed before more damage is done, and that’s why the IPA is investigating all avenues to stop this ludicrous situation,” she said.
C+D has approached NHS England for comment.
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It comes after the IPA last week revealed 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.
