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The Independent Pharmacies Association has said it is seeking legal advice with regard to what it described as “ludicrous” rules that ‘require’ pharmacies to dispense medicines at a loss. 

The IPA, which in January warned it may take legal action against the government if the sector's funding deficit is not addressed, said pharmacies are “placed in an untenable position when dispensing certain medicines”.

It explained that market volatility, rising drugs prices and reimbursement delays put them at a financial loss without the option of passing their osts on to patients.  

The trade body added: “In situations where a pharmacy makes the difficult decision not to supply a medicine because doing so would leave them significantly out of pocket, they risk being deemed in breach of their NHS contractual obligations.” 

The IPA called on other pharmacy bodies to support it in seeking independent legal advice “to clarify the rights of pharmacy contractors operating under these conditions” and challenge “any contractual expectations that compel pharmacies to jeopardise their financial stability in order to remain compliant”. 

It also called for urgent contractual reform and a “fair and responsible reimbursement system”. 

IPA chief executive Leyla Hannbeck said: “It is completely unacceptable that pharmacies are being forced to supply medicines at a loss.

“Pharmacies are already under immense pressure, and we saw over 650 closures across England and Wales last year alone.  

“With rising costs from increased National Insurance contributions, a higher minimum wage and the impact of business rates, many more are now at real risk of shutting their doors.

“If this situation continues, it will not just be pharmacies that suffer, it will be patients who lose access to vital medicines and care.  

“The system must be fixed before more damage is done and that’s why the IPA is investigating all avenues to stop this ludicrous situation of pharmacies having to dispense at a loss.”