The Pharmaceutical Journal
Vol 269 No 7229 p877
21/28 December 2002

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Pharmaceutical Services Negotiating Committee (www.psnc.co.uk)

PSNC to face challenge over decision to cut period of treatment fee until April

A challenge to the Pharmaceutical Services Negotiating Committee decision to accept the suspension of the period of treatment fee for the remainder of the financial year as a way of avoiding a global sum overpayment is possible.

Imran Khan, a vice-chairman of North East London Local Pharmaceutical Committee, told The Journal that he had been receiving telephone calls from contractors throughout England who are upset by the PSNC's decision. He intended to form an action group to call for a special meeting of LPCs to discuss the PSNC attitude. The action group might even consider some form of legal challenge to the PSNC.

"They have alienated a sector of the contractors they represent," Mr Khan said.

The core of the complaint is that removing the period of treatment will have a disproportionate effect on a subset of contractors who dispense prescriptions from doctors who persist in prescribing for long periods, rather than issue repeat prescriptions at 28 day intervals. "They are talking about saving £4m," Mr Khan said. "That's the equivalent of 0.1p off the dispensing fee for a month for all contractors. It's only those who dispense high volume prescriptions who will suffer. The PSNC has taken a decision to penalise those who already lose dispensing fees under the system. I'm sure we could all afford to give up 0.1p for a month."

Mr Khan is concerned that the PSNC's decision to accept the Department's proposal has no sound basis. He said: "What was the evidence they used to come to their decision? We don't think they used any evidence at all."

Godfrey Horridge, financial executive at the PSNC, declined to add to a statement issued by the PSNC chief executive, Sue Sharpe (see p885).

Mrs Sharpe said that options were discussed at length by the PSNC's contract planning committee in November. In the absence of a specific proposal from the Department at that time no conclusion was reached. When the Department made its proposal later, PSNC members were asked for their views by e-mail. Their decision was based on the discussions that took place in November.