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The Pharmaceutical Journal Vol 267 No 7178 p869-874
15 December 2001

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December council meeting
Council decides to take action alongside PSNC over remuneration settlement

At its meeting in London on 4 and 5 December, the Council of the Royal Pharmaceutical Society agreed to take concerted action alongside the Pharmaceutical Services Negotiating Committee in its efforts to secure a better remuneration settlement for community pharmacy contractors in England and Wales (see also p879).

The Council made its decision after debating a motion put by PETER CURPHEY, who proposed that the President should seek immediate discussion with the chief executive and chairman of the PSNC with a view to a supportive, professionally based, joint approach to the Secretary of State for Health to ensure that the profession's views are taken account of. He also proposed that the President should seek a separate meeting with the Secretary of State "to make clear the profession's incredulity at the continued reality gap between workload demands on prescription volume and the advances described in 'Pharmacy in the future' ".

Mr Curphey said that those within Government departments who read reports of Council meetings understand how deep-seated the resentment had grown, and how low morale is in community pharmacy. He added that that he had no vested interest in the matter because he was regarded as essentially a small pharmacy recipient who was not paid therefore on volume.

Some six years previously the Council had mapped out the threats and the opportunities for pharmacy in "Pharmacy in a New Age". It had made clear the magnitude of change that would be necessary. Mr Curphey believed that the Society had won that battle and that pharmacy's time was now. They had an NHS national plan in England and equivalent plans in the other home countries. But somehow the Government had lost the plot. It was failing to make a connection between what it was doing to contractor remuneration and the aspirations of the profession and of the Government in delivering its targets.

In his view, the ministers in the Department of Health were being advised by an unhelpful, unsupportive group of people who appeared to have little interest in the survival or the potential of pharmacy. The Government had made considerable changes to the medical profession by giving money to it. Now it was trying to change the pharmacy profession by taking money away from it. There was something inherently unfair in that.

One document in support of his motion was the letter to pharmacy contractors in England from Hazel Blears (Parliamentary Under-Secretary of State for Health). She had clearly been badly advised to write that sort of letter. It was an insult to contractors' professional pride. It took some beating to tell the profession that, having done 52 per cent more work over 10 years they should be pleased to be 4 per cent better off.

Mr Curphey said that he was not suggesting that the Society should impose itself on the PSNC but should offer support based not on commercial imperative but on the way in which the profession wished to advance. He was not advocating a direct head-to-head with the Government. But he wanted the Council to support the motion and he wanted Council members to speak — and their Journal reports were read in government — so that the incredulity, the disappointment and the anger was clear.

WALLY DOVE seconded the motion.

HASSAN ARGOMANDKHAH said that if the Company Chemists Association and the National Pharmaceutical Association were also consulted and four different responses went to the Department it would be more fruitful than a single message signed by the four bodies. There should be regular meetings of these pharmacy bodies, and when they wished to give a message to the Department on which they agreed, they should try to do it in their own ways from different sides so that the message was reinforced.

KIRIT PATEL said that the PSNC was the mandated body to discuss remuneration, but the Society had a strong voice and stronger public relations with Westminster and the decision-makers. It was already involved in helping the Government deliver the NHS plan. Whatever the PSNC decided to do, the Society had to be willing to support it.

Mr DOVE said that members of Council, and certainly contractors, would be surprised that he had seconded a motion from Mr Peter Curphey, because some five or six years ago they had found themselves on different sides of an argument. But times had changed, and the Society had to back the PSNC. What the Government had done was unbelievable.

The profession had to focus its message. Mr Curphey was right that, if the Government continued to take money out of the profession as practised in the community, then there would not be a profession. There would be pharmacy closures, and it would not just be the small businesses. Multiples would be affected as much as independents. So the profession was facing an extremely difficult situation and the Society had a clear obligation to ensure that there was a profession in the future.

Mr Dove accepted that public interest was important for the Society. But it was a step too far to say that anything in the interest of pharmacists was against the interest of patients. The present situation would affect patients and destroy the profession.

HEMANT PATEL said that the situation in community pharmacy reminded him of the method for boiling a live frog: if the temperature was raised half a degree at a time, the frog would tolerate the rising temperature until it became too debilitated to jump out. That was exactly what was being done to community pharmacy.

The fee had been dropping since 1987, when it was adjusted for inflation and volume increases. After taking legal advice, the PSNC was to challenge the Minister's decision. But that was not all. The NHS was a bad payer. It recommended that everybody should settle their bills within 30 days yet it was itself taking 90 days to complete the settlement. That compounded the issue for community pharmacy owners.

Many pharmacists were losing money dispensing proprietary medicines. If they stopped dispensing proprietary medicines and concentrated on supplying generics, the Government would be in difficulty with patients.

There was also a lack of trust of the Government, and community pharmacists were not willing to accept the Government's word that it would fund new services. Mr Patel said he was finding difficulty in trying to get pharmacists to take on new roles.

Mr Curphey had made the point that money had been found for GPs. In London alone £400m had been given to GPs to improve their premises and the quality of services. Nothing went to the community pharmacist.

Community pharmacists were being penalised for dispensing increased volumes of prescriptions. But pharmacists were not responsible for the prescription increase. The Government wanted the National Service Framework for Coronary Health Disease implemented. That resulted in more prescriptions being generated. The Government had continued to abuse the goodwill of community pharmacists, and sooner or later that had to come to an end.

DIGBY EMSON, supporting the motion, said that the issue was a serious one. It would the affect the whole spectrum of community pharmacy. The Society could send an important signal from its professional perspective regarding concern about the effect on patients.

Community pharmacy had been held up as a good example of public/private partnership. But a partnership like that required trust on both sides. Mr Curphey was right that that trust had broken down as result of some the signals that the Department had been sending in recent months. Rightly or wrongly, intentionally or unintentionally, that had created a significant degree of uncertainty. The public/private partnership issue made it difficult for people to decide whether to invest further capital. There was a serious public safety issue too. By implication, the productivity increases that the Department was demanding as a result of its action seemed directly in conflict with some of the principles of clinical governance that it sought to be established. Mr Emson had a serious concern that the productivity increases produced so far, and demanded by the Government's action now, would pose a serious risk to public safety in the area of community pharmacy.

ANDREW BURR said that the message the Government was sending to community pharmacies was: "Do not bother with your aspirations. You are never going to achieve them because we are never going to give you enough money to do that". Frankly, all the services that Ministers praised were funded out of the pocket of pharmacists and were not funded by the NHS. Mr Burr hoped that one day the public would recognise that. There was an expectation that they were funded by the NHS.

Dr EVANS suggested that, in part, the sorry story was pharmacy reaping where it had sowed. It was the fruits of the parallel imports story. There should be a lesson there somewhere. He also commented on the ambivalence of a regulatory body, acting in the public interest, taking up that sort of discussion. Could one imagine the General Medical Council having such a discussion? The British Medical Association could, but not the GMC.

Mr Curphey had spoken about the destruction of the network. But there was no pharmacy network: there was a non-random clustering of pharmacies, with aggregations particularly in the high streets. The Audit Commission had said in effect that there was too much clustering and too much public subsidy of pharmacies cheek by jowl in the high street. The support for that was not in the public interest. The public interest was to maintain some kind of presence of pharmacy countrywide.

If the Society wanted to do something constructive about the issue it should apply itself to constructive thinking about how to maintain the reality of pharmacy care throughout the country without improperly subsidising commercial aggregations in the most profitable places.

The VICE-PRESIDENT said that the issues at stake were the destabilisation of the existing network and the undermining of the financial basis of community pharmacy. There was a risk that current philosophy was working counter to the public interest by reducing the availability and accessibility that the community pharmacy network provided. There were implications not just for a continuation of pharmacy's existing role but also for its development in the areas set out in "Pharmacy in the future".

Answering a question from the PRESIDENT, Mr CURPHEY said that his motion recognised that the PNSC, while it might like the support of the Society, would not want to travel with the Society to the Department. That was why he proposed a separate meeting with the Secretary of State.

The PRESIDENT said that, on the whole, the Secretary of State had not met the health professions in recent times. The Society did, however, have a meeting arranged with Hazel Blears in the next week and could point out the inhibiting factors that had emerged which prevented the profession from achieving the objectives which it believed it should achieve.

Mr CURPHEY replied that he did not know what was on the agenda of the meeting with Hazel Blears. If the meeting did not take account of the strength of feeling expressed by Council members then it would be a waste of time.

The PRESIDENT said he would act as the Council wished. He recognised the feelings expressed. The position was that they had a clear view of where the profession should be moving in the public interest. That had support and was entirely in keeping with the Government's policy.

Professor SCHOFIELD supported the point made by Dr Evans about the importance of the Society carefully considering its position. Dr Evans had raised the issue of the appropriateness of the Society taking the stance that it was about to take. If it was a question of the quality of service to patients and safety, then there were important issues that it would be appropriate for the Society to address, and he was fully behind that. But commercial considerations were for the PSNC. The Society should be careful about the basis on which it was taking up the issue, and the basis on which it supported the work of the PSNC.

The PRESIDENT said that that point was entirely valid. The Council needed to have cognisance of the advice and guidance of a Privy Council member on such matters.

PAT HOARE said that she wished to speak on the issue of safety. Pharmacies had difficulty filling staff vacancies when staff could earn much more by stacking shelves in supermarkets without being expected to train. As a result she had experienced this year greater stress than ever before in her work as a locum. It compromised her ability to give the best standard of pharmaceutical care in her practice. When pharmacists were overburdened there was the risk of error through stress.

As a locum going to different sized community pharmacies she was dismayed to see the small independents losing heart. They provided a valuable service to a local community but they were struggling. The smaller companies had to compete in a world where there was a shortage of pharmacists and they could not attract them on a salary basis.

Mr CURPHEY, summing up, said that he first wanted to correct some inaccuracy. He challenged Dr Evans's comment on parallel imports. They were not the fault of pharmacy. Pharmacists had been forced to use them because that was the way that money was being taken away.

Mr Curphey said he wanted to pick up on something that Mrs Hoare had said. Stress levels were high in most pharmacies — in multiples as well as small independents. The reason was volume pressure, which pharmacists could not resolve simply by employing more staff because there was not enough money in the volume payment.

What was needed from the Government was an understanding of the disconnection between the current contracts and where they all wanted to get to and helping and supporting that process of change. He was not talking about millions of pounds for the profession, but help was needed.

Mr Argomandkhah had talked about unanimity but suggested that pharmacy bodies went to the Government separately. Mr Curphey had a suspicion that the best way to give a message of unanimity was to go to the Government together. They would then make sure that everybody was singing from the same hymn sheet.

The message that Mr Curphey wanted to give was that the Society supported the Government's objectives in "Pharmacy in the future". They fitted neatly within the way that the profession wished to go. But if the Government wanted community pharmacy to be part of the delivery of that ambition, then it had to make sure that pharmacies were still in existence.

The PRESIDENT then put the motion to the Council and it was agreed. Professor Schofield and Dr Evans abstained.

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