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Vol 273 No 7321 p572
16 October 2004

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British Pharmaceutical Conference 2004

Does new contract mean end of LPS?

The 2004 British Pharmaceutical Conference and Exhibition “Medicines: from cell to society” took place at Manchester International Convention Centre from 27–29 September

BPC 2004 summary


How will the new pharmacy contract affect local pharmaceutical services? This seemed to be an important question for participants attending a session at the British Pharmaceutical Conference entitled “LPS in action”.

Participants first heard about the experiences of two pharmacists involved in LPS — Riaz Esmail, a community pharmacist from Harrow, Middlesex (see PJ, 3/10 January, p19) and Nicola Roe, pharmacy service development manager for Rowlands (see PJ, 17 April, p473) — and then Juliette Kendall, project manager of the team evaluating LPS in England and research fellow at the University of Manchester, gave her views on the opportunities and obstacles that it poses.

One of the key benefits is the opportunity for pharmacists to extend their roles. “The pilots have enabled pharmacists to become better integrated within primary care teams and to work alongside social care and secondary care providers,” said Ms Kendall. She added that the way that many of the LPS pilots have developed reflects the development of the new national contract and primary care trusts have been able to learn from the LPS experience, which will enable them to inform the development of the national contract locally.

“LPS is a good example of how community pharmacy can contribute towards local projects and initiatives,” said Ms Kendall. For example, the LPS contract is being used to set up new premises in Local Improvement Finance Trust developments and funding for LPS has been obtained from social care budgets in order to provide services to certain at risk populations, including older people and substance misusers.

“Development of the new national contract has slowed development of LPS, and the role of the LPS contract until the new national contract is developed is rather unclear,” she said. “However, to date, LPS has allowed a number of innovative services to be developed and many providers are keen to continue their LPS contracts into the medium term.”

A question and answer session following the presentations centred around the role of LPS following implementation of the new contract. “Given the small numbers of people that are currently on LPS (around or less than 1 per cent of pharmacists), and the longer services look like they can be delivered under the new contract, is LPS a solution looking for a problem,” asked Jonathan Buisson, NHS strategy manager, Moss Pharmacy.

Ms Kendall said that in the same way that GPs can now choose between PMS and GMS, pharmacists may have the choice between the new national contract and something more innovative.

With regard to funding for LPS, Ms Roe explained: “You have to say up front the number of dispensed items you think you are going to do in a year and if you overestimate then fees are clawed back.”

Colette McCreedy, National Pharmaceutical Association director of pharmacy practice, suggested that something needs to be built into the LPS formula which allows for adjustment in dispensing volumes. Ms Kendall replied that she had seen a number of LPS contracts that allowed for an adjustment in dispensing volume, which was negotiated between the provider and the PCT.

Andrew Gray, an LPS provider from Berwick-upon-Tweed, told participants that he may have to withdraw from LPS. “Although [LPS] was not supposed to be dependent on prescription numbers, that is all the Department [of Health] seems to be interested in. Also, when the new contract comes in, the Drug Tariff will be reduced and, again, although LPS was supposed to take us away from retaining profits from dispensing ... unless there is a corresponding increase in LPS funding, there will be a large gap in our income.”

Jeannette Howe, deputy chief pharmacist, Department of Health, said that the department is aware of the potential implications in terms of the changes to reimbursement of generic medicines and, once it has settled negotiations on the new contract, it is also aware that it needs to look at the implications of that for LPS providers. “We cannot give you any answers at the moment because we are not at that point, but we completely recognise that we need to take those changes into account,” she commented.

Linda Dodds, pharmaceutical adviser, Ashford PCT, asked whether prices negotiated for LPS were going to be shared with PCTs and used as a basis for pricing enhanced services. Ms Howe replied: “In developing the service specifications for enhanced services we have been looking to existing experience in the NHS, including LPS. ... We have been doing some work to bring together the different pricing mechanisms and we will need to provide some indications in terms of benchmarks.”

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