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PJ Online homeThe Pharmaceutical Journal
Vol 274 No 7350 p603
21 May 2005

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PCTs see pharmacies as businesses, NAO concludes

Primary care trusts prefer to view community pharmacies as businesses, rather than primary care providers, when considering NHS local improvement finance trust (LIFT) schemes. LIFT schemes entail joint funding by the NHS centrally, local health stakeholders and private enterprise for the redevelopment of primary care premises. These are then rented to providers at reduced rates and to third-party organisations at commercial rates.

The National Audit Office reported this week that community pharmacies are likely to be the most significant source of third party income for LIFT projects.

It said that, unlike other primary care providers, such as GPs and dentists, who receive some automatic reimbursement for the rent paid to practise from primary care premises, it is up to PCTs to decide whether to treat pharmacies as primary care providers.

“More often, pharmacy is treated as a business, which as such will pay full rent to occupy space in a LIFT building,” the report states.

It draws no conclusion on whether or not this approach is appropriate.

Overall, the NAO concludes that the LIFT initiative, launched in 2001, is an effective means of improving primary health and social care. The model was seen to have a number of strengths, including taking a long-term strategic approach to local health care provision and combining the benefits of national support and local control.

Shiv Bagga, a Royal Pharmaceutical Society Council member involved with a LIFT scheme in east London where he has to pay the full commercial rent, said: “Pharmacies should not be used as cash cows and should be integrated into NHS services. We have made them understand that locally and they have been reasonably sympathetic.”

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