Pharmacies fear cuts and closures over rising costs

A firm with more than 20 pharmacies across Northern Ireland has said it may have to make redundancies or close stores if it does not get financial help to cover rises in National Insurance contributions and the National Living Wage.

Liam Bradley, who runs the Bradley's Pharmacy chain, said the increases in April "will cost us six figures a year".

It comes after the National Pharmacy Association (NPA), which represents pharmacy owners, said its members could "take collective action, including cutting back opening hours" if costs are not met by the government.

The Department of Health said it "recognised these increased costs" but that it faced a "significant funding gap" over the next year.

"We can't raise our prices, and we can't charge the government any more for the medicines that we stock," said Mr Bradley.

"We've looked at closing on Saturdays because they're not as busy. But we have to apply to the Department of Health to do that and they've said no, but we're going to appeal."

He said pharmacies need direct funding from the government if they are to meet the additional costs in April.

The NPA has warned that the wider sector will incur at least £10m in additional costs, which are compounded by rising energy bills and business rates.

First reported by The Irish News it said thousands of pharmacies are facing a "financial cliff edge" when the new fiscal rules come into effect.

Pharmacies have for many years been taking on a more significant role in community health care.

"Our funding has never been right," said Gerard Greene, the chief executive of Community Pharmacy NI.

"Since Covid in particular, the role of a pharmacy has become increasingly important in the community.

"We're delivering more vaccines and there are more customers coming to us for advice. On top of that our rates are going up, and the cost of doing business isn't getting cheaper."

He added: "We want and can do more, but we need the proper funding to do it."

Health Minister Mike Nesbitt told BBC News NI that he was not "anticipating additional funding will be provided to cover all these additional costs".

He added: "I have written to the secretary of state for health and social care to urge him to work to ensure the treatment of these providers is equal.

"I have also written to the finance minister asking that he bring his influence to bear on HM Treasury in this regard."

The NPA represents 6,500 of the UK's community pharmacies - that's about half in total.

In November some pharmacy owners in England, Wales and Northern Ireland voted in favour of cutting opening hours and stopping home deliveries for the first time, in a protest over funding.

Some 3,339 independent community pharmacies in England, Wales and Northern Ireland took part in the unprecedented ballot, which is a turnout of 64%.

Nick Kaye, chair of the NPA, said there was no certainty for pharmacies that the costs would be met "despite assurances for other parts of the health system including our GP colleagues".

"Pharmacies have shut in record numbers and those that are left are currently hanging on by their fingernails."