Pharmacies: Government Funding

Shockat Adam Excerpts
Wednesday 9th September 2026

(1 month, 1 week ago)

Westminster Hall
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Rishi Sunak Portrait Rishi Sunak (Richmond and Northallerton) (Con)
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It is a pleasure to serve under your chairmanship, Mr Betts. It takes me back to the days when as a junior Minister I had to answer to you as chair of the Housing, Communities and Local Government Committee. It is also a great pleasure to follow the hon. Member for North Somerset (Sadik Al-Hassan), who has spoken repeatedly with enormous authority on these matters. He deserves all our thanks for championing pharmacies.

I congratulate my hon. Friend the Member for Leicester East (Shivani Raja) on securing the debate and for her detailed compelling speech. I know she does a terrific job representing her constituents locally because my mum is from Leicester and my family are still there, so I get regular reports. I am here today because my mum was a pharmacist and I spent my childhood working in her pharmacy. I saw at first hand the incredible role that independent community pharmacies play in their local area. With flexible opening hours, their location and no need for an appointment, they can be an easy first port of call for families when they need help, care and advice.

I am struck that community pharmacists always want to go above and beyond for their patients. One of my first jobs for my mum was to ride around on my bike in the evenings delivering prescriptions to elderly patients who could not make it in or needed them urgently. That was a sign for me of the role that pharmacists play in their local areas. That is why, extraordinarily, about 80% of those over the age of 65 have visited their local pharmacy over the past three months, which speaks to the role they play.

I see that in my constituency. We have great national pharmacies as well as brilliant independent ones, such as Coopers in Great Ayton, the Village Pharmacy in Catterick, Stokesley pharmacy and Central Dales pharmacy in Hawes, providing vital healthcare in a sparsely populated rural area and reinforcing the lifeline that pharmacies provide. A benefit of knowing pharmacists for the majority of my life is that I have seen the transformation in the role they play. Originally, they just dispensed prescriptions for GPs. My dad was a GP, so I also saw that side of it. They have transformed to being the first port of call for primary healthcare and treatment for minor illnesses.

That evolution had various moments, which the hon. Member for North Somerset will also have experienced. Starting in about 2000, the introduction of hypertension and blood pressure services made a difference. Medicine use reviews were a big statement of trust in what pharmacists could do. The ability to dispense urgent repeat prescriptions made a huge difference to patients. More recently, there has been the introduction of oral contraception and smoking cessation services, as well as flu jabs, catalysed by covid and now accounting for about 30% of those dispensed, which is a huge increase.

That evolution over the past 25 years demonstrates the faith that successive Governments of all stripes have had in pharmacies. Patients and local communities place faith in their pharmacists because they trust them and value what they do; they know that they can provide healthcare in an accessible way. That is why, when in government, we introduced Pharmacy First, of which I am very proud. Pharmacists were enabled to provide medication for seven common conditions, including sinusitis, sore throats, ear infections and urinary tract infections. Obviously, that got off to a slower start than we would have liked, but it now has almost 100% take-up among pharmacies. When I last checked the stats, something like 7 million consultations had taken place and more than 5 million prescriptions had been supplied. High satisfaction in the service is growing by 30% to 40% year over year. It has continued the evolution of increasing trust in pharmacies and providing care closer to people in their communities.

I have three questions for the Minister about how to continue that journey and re-emphasise support for pharmacies. The first is about raising awareness and trust. In the last debate on pharmacies here, which I think the hon. Member for North Somerset secured, the Minister gave some stats about the high awareness of the Pharmacy First scheme. Anecdotally, that did not quite jibe with my personal experience. Is there something we can do collectively to raise awareness of Pharmacy First and, as was touched on, make sure that the healthcare system is on the same page, so that people get the same message from 111, their GP or the hospital about what is available at the pharmacy, and so they can trust their pharmacist to deliver that service?

Secondly, we should look at expanding Pharmacy First, which, in a welcome fashion, the Government have indicated they are minded to do. There are a couple of options for that: we could consider whether the existing restrictions for the seven services, which are limited in part by gender or age, can be expanded. We could also look across the border to Scotland to see what other conditions the service could be expanded to.

Shockat Adam Portrait Shockat Adam (Leicester South) (Ind)
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I agree that we need expanded services for our pharmacies, but does the right hon. Member agree that should come with adequate remuneration? At the moment, pharmacists are saying they are doing a lot more for a lot less.

Rishi Sunak Portrait Rishi Sunak
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Of course. I am sure when the Minister looks at what services can be expanded, she will make sure they are funded properly and will look at where they will relieve strain elsewhere in the healthcare system. If we look at system costs, pharmacies can help save money. Some of the other conditions covered in Scotland include eye issues such as conjunctivitis, dermatological conditions such as acne, and chest infections.

Finally, the hon. Member for North Somerset touched on joined-up care. If we want a truly joined-up primary care service, we need single patient records. Examining whether pharmacies can be integrated into GP Connect is worth exploring.

I thank the Minister for being a champion for pharmacies inside the Government. Obviously, the issue is personal for me, but there is widespread support for pharmacies among colleagues and society. They deserve our gratitude and support, and I urge the Government to continue to back them.

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Jim Shannon Portrait Jim Shannon
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I thank the hon. Gentleman for giving me a chance to get a wee glass of water. His comments are incredibly important, and he is right to say that those services are almost impossible to bring back once they are lost.

Local pharmacies are under ever-increasing pressure. My particular concern is for small, independent pharmacies in rural constituencies such as my own. These businesses are facing rising costs, increasing workloads and the real risk of insolvency, and that is not to mention the personal toll on local pharmacy owners. The impact on those individuals and their health is sometimes forgotten.

Shockat Adam Portrait Shockat Adam
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I thank the hon. Member for making that point about how much stress is put on pharmacists and small business owners. In the last year, there was a 2.3% increase in items reimbursed by the NHS, a 17% increase in service volumes, a 3% increase in inflation, and increases in operating costs such as national insurance and business rates. That all adds to the pressure when pharmacists should be concentrating on providing a vital service to the community.

Jim Shannon Portrait Jim Shannon
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The hon. Gentleman is a Leicester City supporter, as I am; we do not have to seek our sorrows at this moment in time, but that is by the way. More importantly, his comments underline the issues for local independent pharmacy owners.

As the hon. Member for West Dorset (Edward Morello) said very clearly, at the heart of this issue are the patients—sometimes we need to remember that. Pharmacy closures are leaving many people, and particularly those in rural areas, with greater difficulty accessing their medication. Those concerns are felt deeply in Northern Ireland. The chief executive of Community Pharmacy Northern Ireland has warned officials that medicine shortages are having a greater impact on Northern Ireland because of systemic funding pressures, with pharmacies being forced to use their own money to bridge the gap in funding. That is the reality for these people, who have consciences, feel compassion and want to care for their patients and customers. The impact is clear, because almost 90% of pharmacies in Northern Ireland were unable to pay their wholesaler bill in January. Think about what that means for a second: that is real pressure. Further demonstrating the pressures is the number of pharmacies operating in Northern Ireland, which at 506 is the lowest ever recorded.

I know that the Minister is a compassionate lady who understands these issues incredibly well, and she will be aware that those figures raise serious concerns about the financial sustainability of our pharmacies and the security of the medicine supply throughout this United Kingdom of Great Britain and Northern Ireland. Our pharmacies need certainty about their funding arrangements. They need to know well in advance what support will be available to them, so that they can plan effectively, manage costs and pay their bills, and not be forced to close.

I have often highlighted the fact that pharmacies’ ability to provide first-line defence in the fight against minor injuries is not used enough. The right hon. Member for Richmond and Northallerton (Rishi Sunak) outlined some of the things that pharmacies do; they are frontline defence. These things are perhaps not seen by everyone, but they are seen by the patients and customers who come in. Every person who gets advice on treatment for warts, headlice, thrush or another ailment from the pharmacy rather than the GP is helping to ensure that GPs are not overwhelmed, and that A&Es are not overwhelmed by people who cannot see their GPs. We perhaps do not always see that, but it is very important.

Pharmacies are a vital cog in the health service, and we must fund them to do the job that they are able to do, yet are prevented from doing. I look to the Minister for that funding and for assurance. The Minister always tries to give us the reassurance we need and to answer the questions that we pose. These are hard times financially, but pharmacies are important for everyone. They produce savings for GPs and the NHS. Let us support them.

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Gregory Stafford Portrait Gregory Stafford (Farnham and Bordon) (Con)
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It is a privilege to serve under your chairmanship, Mr Betts. I welcome the Minister for Public Health and Patient Safety, the right hon. Member for Kingston upon Hull North and Cottingham (Dame Diana Johnson), to her new role and congratulate her on her appointment.

I also congratulate my hon. Friend the Member for Leicester East (Shivani Raja) on securing this most important debate. She spoke very powerfully about the pressures facing community pharmacies and I want to build on her speech by discussing what is happening both in my constituency and nationally.

In Farnham and Bordon, we have access to 15 community pharmacies, which collectively dispense around 142,000 prescriptions every month and deliver around 6,500 flu vaccinations. The Government’s 10-year plan wants more healthcare to be delivered in the community, which is an aim that I think we all support. At the same time, however, the Government appear to be making it harder for those very pharmacies to deliver such care and to remain sustainable.

The reality is that community pharmacies are being asked to do more while facing rising costs. We have seen higher national insurance contributions, increases in the national minimum wage, rising business rates and persistent inflationary pressures. At the same time, pharmacies are dealing with medicine shortages, higher procurement costs and disruption to international supply chains. The financial picture is impossible to ignore. Funding for community pharmacies in 2025-26 was actually £800 million less in real terms than it was in 2015-16. In the last year alone, the number of NHS-prescribed items dispensed by pharmacies and the service volumes increased by 2.3% and 17% respectively.

As the hon. Member for North Somerset (Sadik Al-Hassan) has already highlighted—he was echoed by a number of Members around the Chamber today—the Government’s own independent economic analysis in March 2025 identified a funding gap for pharmacies of £2 billion a year, and trade bodies that have spoken to me identify a structural funding problem. Of course, we on this side of the House welcome additional funding, but pharmacy is not made sustainable by giving with one hand and taking with the other. We need to ensure the long-term viability of community pharmacy and I am very sceptical that the Government’s approach will achieve that.

I turn now to Pharmacy First, which is an excellent example of what can be achieved when we make better use of the skills and expertise available within our NHS. My right hon. Friend the Member for Richmond and Northallerton (Rishi Sunak) is absolutely right to be proud of his Government’s record on this matter. Created and implemented by the last Government, Pharmacy First shows what NHS reform should look like—the right professional, with the right responsibility, delivering the right care in the right place. It should be a game changer and I pay tribute to my right hon. Friend for its introduction.

Pharmacy First recognises that patients with seven common conditions can be safely assessed and treated by qualified pharmacists without there always being a requirement for a GP appointment. However, the scheme is currently limited and not as expansive as it is in Scotland, where it covers up to 30 common conditions. I would like the Government to move rapidly to expand Pharmacy First elsewhere. We should be ambitious about the skills and clinical expertise of our pharmacists.

Shockat Adam Portrait Shockat Adam
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Does the hon. Member agree that another opportunity for Pharmacy First—indeed, a generational opportunity—is independent prescribing? That would really unlock the potential of pharmacies and help patients, but it requires both a vision and adequate funding.

Gregory Stafford Portrait Gregory Stafford
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I entirely agree with the hon. Gentleman. I think that we can use pharmacists and pharmacies much more creatively and in a manner that would in no way put patient safety at risk. In fact, it would allow patients more choice, and free up GPs and other health professionals to do other parts of their job, so he is right.

Community Pharmacy England’s 2026 pharmacy pressures survey makes the scale of the challenge facing pharmacies clear. Drawing on responses from nearly 4,000 pharmacy owners and staff members, it found that 75% of pharmacies are currently losing money, while only 14% reported being profitable. There is little value in providing additional funding for services without recognising the wider cost and workforce pressures facing the sector: 30% of pharmacies have reduced their opening hours and 76% report an impact on patient care, including longer waits and delays in accessing medicine.

That brings me—briefly—to the issue of business rates and the wider cumulative costs facing pharmacies. A pharmacy might occupy a storefront on a high street, but it is not simply another retailer; it is part of the national health service and is an essential provision in our community. As the hon. Member for Strangford (Jim Shannon) outlined, pharmacies are also part of our national resilience. The Government want pharmacies to take on more responsibility, but they face rising costs that have been caused by the Government.

Pharmacies need to be properly considered within the system and not treated simply as another high street retailer. The same issue applies when we consider national insurance increases, and indeed the national living wage. These cumulative increases are having a real impact. Unlike a high street retailer, a pharmacy has contractual obligations to the NHS and a moral responsibility to its patients, so it cannot just increase prices or stop providing a service like other businesses could. As my hon. Friend the Member for South West Hertfordshire (Mr Mohindra) rightly put it, the Government have to recognise the cumulative impact of these terrible decisions when considering future policy.