Devon Pharmacist Secures Loan Due to Insufficient NHS Prescription Reimbursements

A pharmacist operating in Devon has stated that she was compelled to secure a loan to settle payments with her medicine wholesaler. This action was necessary because the revenue generated from dispensing prescriptions is insufficient. Esi Kumordzi, who manages the DA Tubb pharmacy in Plymouth, indicated that her business has become financially unviable due to the disparity between the amount the NHS provides for each drug and the actual cost she incurs to acquire them. The National Pharmacists Association reported that a recent survey revealed 85% of its members were experiencing financial losses on NHS-prescribed medications. In response, the Department for Health and Social Care affirmed the existence of “safeguards in place if purchase prices for a given drug increase.” Pharmacies procure their medications from wholesalers and receive a fixed reimbursement per prescription from the NHS. However, Mrs. Kumordzi noted that these fees have remained unchanged since 2016. She disclosed that she obtained a loan in 2023 to manage the escalating expenses and expressed her intention to withdraw from the NHS system if an alternative were available. Mrs. Kumordzi explained that while the NHS employs a drug tariff for reimbursements, this tariff frequently fails to account for fluctuating market prices. She added that although the NHS determines monthly which medications will be reimbursed at elevated rates, this adjustment does not consistently offset the actual cost incurred by the pharmacy. The government stated that the reimbursement structures for community pharmacies do not assure that each contractor will be compensated for every item at a rate equal to or exceeding the product’s acquisition cost. Nevertheless, it clarified that pharmacies are reimbursed up to the maximum permitted within the medicine margin, which is defined as the gap between the reimbursement price paid by the NHS to the pharmacy for dispensing the item. Mrs. Kumordzi commented, stating: “It’s virtually impossible to run a pharmacy business at this time, you are literally out of pocket every time you hand out a prescription.” She further elaborated that the NHS provides a professional fee of £1.27 per item for drug reimbursement. She added: “All our outgoings and salaries are being paid out of that.” Concluding her remarks, she said: “It’s impossible to run a business when you are paying £3 or £4 above what the NHS is willing to pay you.” Mrs. Kumordzi expressed her reluctance to resort to a personal loan to manage expenses. She stated: “I haven’t been able to finish paying up that loan, I have a lot of it to pay.” She also conveyed: “I feel if I had a way of leaving the NHS altogether, I would take that option.” The Department for Health and Social Care issued a statement, asserting: “This government inherited a broken NHS but is committed to expanding the role of pharmacists, making better use of the skills of pharmacists and pharmacy technicians.” The department continued: “We already reimburse community pharmacies for what they spend on drugs and provide additional funding for the services they provide. “It reiterated: “There are also safeguards in place if purchase prices for a given drug increase.” The National Pharmacy Association reported findings from a survey of 500 pharmacies, indicating that 64% of participants were utilizing personal savings or financial assistance from family members to sustain their operations. Furthermore, 85% of respondents confirmed they were incurring a net loss from dispensing NHS prescriptions.