According to a PharmData analysis, the new discount deduction model unveiled last week may leave three-quarters of pharmacies in a worse financial position each month.
The PSNC said last week that it had reached an agreement with the Government about changes to the discount deduction system. The new payment method would be divided into three parts: generic medications, branded medications, and appliances.
“The new discount deduction model unveiled last week may leave three-quarters of pharmacies in a worse financial position each month.“
According to contractor and PSNC member Fin McCaul, the modifications, which will go into effect in October and last for six fiscal quarters through January 2024, are intended to enable "fairer access to medical margin across the community pharmacy sector.
There have been worries raised that the modifications will disadvantage smaller pharmacies and reward those that dispense more items.
According to the firm, 2,811 pharmacies will benefit more from the new deduction plan, while 8,296 will suffer.
Pharmacy2U, a remote dispenser, is anticipated to benefit most from the adjustments, saving £129,000 thanks to a decrease in monthly deductions, per the company's expected calculations.
The changes are "going to better off for the larger pharmacies and worse for the smallest pharmacies," says PharmData's Oliver Staunton, "We'll know for certain the effects of the changes once NHSBSA starts providing both sets of figures to pharmacies, which will be from October."
While the changes are based not on the volume but rather the value of dispensed items, these "tend to correlate together," he stated.
The amounts are likely to be minimal for those pharmacies for which monthly losses are anticipated; he stated: "There are thousands of pharmacies for whom this will mean a difference of one hundred pounds a month or so."
PharmData predicts a £318 increase in monthly deductions for the pharmacies that will be most impacted.See all the latest jobs in Consumer