Community Pharmacy Closures

Baroness Bakewell of Hardington Mandeville Excerpts

Tuesday 28th January 2025 Lords Chamber

Asked by

[Baroness Bakewell of Hardington Mandeville]

To ask His Majesty’s Government what plans they have to prevent community pharmacy closures.

[The Parliamentary Under-Secretary of State, Department of Health and Social Care (Baroness Merron) (Lab)]

My Lords, the Government recognise that pharmacies are integral to the fabric of our communities. They provide an easily accessible front door to the NHS and are staffed by highly trained and skilled healthcare professionals. We have now recommenced the consultation with Community Pharmacy England on funding arrangements, which was not able to be concluded before the general election.

[Baroness Bakewell of Hardington Mandeville (LD)]

I thank the Minister for her response. Since 2017, there has been a net loss of 1,200 pharmacies in England, with 35% of closures occurring in 20% of the most deprived areas. The annual funding shortfall in England stands in excess of £100,000 per pharmacy—a rise from £67,000 since 2023. Between September 2022 and June 2024, the annual loss of pharmacy access was 3.4 million hours. Given this, does the Minister believe that pharmacies are in a healthy state to support the Pharmacy First service?

[Baroness Merron (Lab)]

Some 98% of pharmacies are signed up to Pharmacy First and I am glad about how it is developing. On the noble Baroness’s very real points, the majority of recent closures were the result of large pharmacy chains optimising their portfolios. As she is aware, community pharmacies are private businesses, although they earn most their income from the NHS. Those business models vary significantly.

Local authorities are required to undertake a pharmaceutical needs assessment every three years to assess whether the population is being served. Integrated care boards have to give regard to those needs assessments when they review applications from new contractors and seek to fill any gaps. This continues to be work in progress to which we must be alert, but it is also important to look at some of the reasons for the closures.