Jhoots branch stripped of NHS contract after failed appeal
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The troubled pharmacy chain Jhoots has failed to overturn a local commissioner’s decision to remove one of its Isle of Wight branches from the pharmaceutical list after an appeals body found the company’s assurances were “not reliable”.
On October 29, NHS Resolution said it agreed with the position taken by Hampshire & Isle of Wight ICB this summer to take away the store's NHS contract, rejecting the arguments advanced by lawyers for Jhoots in an appeal attempt.
The NHSR report detailed that Jhoots management were informed on June 11 this year that the ICB was considering a list removal in light of the Albert St branch in the town of Ventnor having been closed since March 2025.
The ICB issued over 20 breach notices to the pharmacy in 2025 for closing “without good cause”. The company cited ongoing challenges in recruiting a pharmacist for the island branch.
Between March 14 and the decision being taken on July 15, the pharmacy only opened on one day in June, when a pharmacist was present “for a few hours”.
Jhoots replied on July 14 stating it had recruited a pharmacist who would begin on August 1 – but the ICB was still concerned that the branch “was likely to persist” in breaching its terms of service and on July 18 informed the chain of its decision to remove its NHS contract.
In its July decision, the commissioner noted that five out of 27 pharmacies on the island are owned by Jhoots and four of these have faced performance issues. However, the ICB said it did not base its decision on the circumstances facing these other branches.
‘Not justifiable or proportionate’ say Jhoots' lawyers
Temple Bright, the law firm representing Jhoots, argued in its appeal that the company has “taken active steps” to resolve the staffing issues that had led to the pharmacy being closed between March and August.
Jhoots’ lawyers argued that the ICB’s decision “was neither justifiable nor proportionate,” pointing out that since recruiting a pharmacist the branch is now “consistently open and providing pharmaceutical services” barring two dates in September when the pharmacist had to deal with a family emergency.
They argued that this showed the ICB was wrong to conclude that the store would persist in contractual breaches and said it should have waited before making its final decision on list removal.
And they claimed that in referring to problems facing other Jhoots branches on the Isle of Wight the ICB had allowed “irrelevant matters” to inform its decision on the Ventnor branch.
‘Assurances not reliable’
NHSR’s head of appeals sided with the ICB on the basis that when the latter made its decision in July, it was clear that the pharmacy would continue to breach its contract – as evidenced by the company’s “assurance” that a new locum pharmacist would not start until August 1.
NHSR’s head of appeals commented: “While the pharmacy is now open and providing services, as the appellant stated, I must look forward from the date the decision was taken.
“In doing so, from 18 July 2025, I can conclude with absolute certainty that the breach would persist, even if it was eventually remedied. I note that the evidential standard required by the Regulation was only that it was "likely", which these facts exceed.”
NHSR also noted that the locum pharmacist began working at Jhoots on August 4 and not August 1, as the chain had first promised, and said this demonstrated that the “assurances” received from the company were “not reliable, as has now been proven beyond a doubt”.
“The appellant has put forward the suggestion that the commissioner should have simply accepted the continued breach, without specifying what provisions would require them to do so,” said NHSR.
NHSR found that the problems at the Ventnor branch warranted removal without any consideration of performance issues at separate Jhoots branches, and to “ensure that no irrelevant factors have been taken into account” substituted the ICB’s original decision with its own.
This appears to be the first branch of the chain to be removed from the pharmaceutical list; P3pharmacy has approached NHS England and the Department of Health and Social Care for confirmation.
The NHSR decision comes amid increased scrutiny since pharmacy minister Stephen Kinnock told parliament he was exploring ways to strengthen business regulations “to deal more quickly with pharmacies that do not play by the rules”.
Jhoots and the ICB have both been approached for comment.
Related: NHS withholds £9k from Jhoots over delayed market exit application
Jhoots branch avoids list removal after opening 11 days in 6 months