Community pharmacies at breaking point, Janet Morrison calls for immediate financial reform

The Darzi report last month noted 1,200 pharmacy closures over the last seven years, affecting both the high street and patient services.

• Eastern Eye
• 14 October, 2024

By: Eastern Eye

COMMUNITY pharmacies urgently need a new funding model to stem the current decimation of the sector, says Janet Morrison, CEO of Community Pharmacy England (CPE).

The Darzi report last month noted 1,200 pharmacy closures over the last seven years, affecting both the high street and patient services.

Morrison revealed that a CPE survey found 64 per cent of businesses are operating at a loss, with 16 per cent uncertain about remaining open within a year.

British Asians make up a large contingent of community pharmacists. Of the 51,184 pharmacists in England, 43.6 per cent are from an Asian or Asian British background, according to the General Pharmaceutical Council.

“We need to know first and foremost that community pharmacies have a firm base and sustainable funding for the future,” said Morrison.

She noted that negotiations for the 2024-25 pharmacy funding contract will resume with the Department of Health once the budget is published on October 30.

Morrison spoke at the Sigma UK Community Pharmacy Conference 2024 last Sunday (6), attended by 250 participants, including pharmacists and politicians, at the Hilton London, Heathrow Terminal 5.

British Asians make up a large contingent of community pharmacists. Of the 51,184 pharmacists in England, 43.6 per cent are from an Asian or Asian British background, according to the General Pharmaceutical Council.

In his welcome speech, Hatul Shah, CEO of Sigma Pharmaceuticals, shared that as a pharmacy contractor, he has experienced change, volatility, and cash flow implications that many in the sector are facing today.

“For the first time in my career, I’m struggling as a contractor to balance the books. I feel I have the best tools at my disposal to ensure I can operate a lean ship, but the rising overheads and squeezing margins are now at breaking point for my stores.”

Hatul believes that West Streeting’s emphasis on the importance of primary care and understanding of the crucial role that community pharmacy can play is vital for the NHS going forward.

“This must trigger a transformation plan to reform healthcare provision in the country by using highly skilled and hungry pharmacists to deliver revolutionary healthcare as the front door of the NHS,” he noted.

Hatul expressed hope that the government will recognise the industry, which is now on its knees due to a “broken funding system” and give what it deserves.

He advocated for community pharmacy to be recognised as a “core element of the NHS workstream” and to be adequately funded to generate greater savings for the NHS and improve patient care effectively.

In a video message, pharmacy minister Stephen Kinnock said he recognised the need for a sustainable funding solution that matches the government’s ambitions to reform and expand the services offered by community pharmacies, adding that they are looking at this as “a matter of urgency.”

Matt Turmaine, MP for Watford, who opened the conference, said the new government is listening to the concerns of community pharmacy and is undertaking consultation properly.

It is a government that is determined to fix the foundations of our economy, and it is a government that is determined to deliver for community pharmacy in this country, ensuring better services.”

Closing the conference, Sigma founder, Bharat Shah, stressed the importance of multidisciplinary working in healthcare, which includes doctors, dentists, nurses, discussing how pharmacists can work with other professions.

Shah announced an upcoming session at the House of Commons later this month with healthcare decisionmakers to discuss collaboration and improve outcomes.

“We want to move forward in working together in the NHS because we all work for the patients. We should be working in silos”.