Pharmacies ‘dismayed’ as pubs get 20% rates reduction
In Business news
Follow this topic
Bookmark
Record learning outcomes
Pharmacy owners will be “dismayed” at being excluded from a 20 per cent business rates reduction announced today (July 23) for pubs, clubs and music venues, the National Pharmacy Association has said.
Commenting on prime minister Andy Burnham’s announcement of plans “to build an economy that works for every postcode,” NPA chief executive Henry Gregg said: “While hard pressed pubs and clubs will be pleased to have a tax break, pharmacies will be dismayed that they continue to be hit by the full force of this fast-rising tax, despite their pivotal role holding our high streets and 90 per cent of their funding coming from the NHS.
"Pharmacies are central to NHS care in their communities yet don't have any of the concessions on rates enjoyed by GPs or other parts of the health service.”
Mr Gregg urged the prime minister to “direct some of his reforming zeal to stopping pharmacies from closing due to tax rises,” adding that “millions… will see the benefit and thank him for it”.
Independent Pharmacies Association chief Leyla Hannbeck warned that while Government “may believe that supporting pubs is more politically attractive than supporting pharmacies,” the rise in pharmacies exiting the market threatens healthcare access.
“It remains absurd that community pharmacies are expected to pay full business rates, while other parts of the NHS, such as GP surgeries and dental practices, receive relief for the NHS services they provide,” said Ms Hannbeck.
Community Pharmacy England chief executive Janet Morrison said:“We welcome the new prime minister’s review of business rates. Community pharmacies have not yet been mentioned in the measures to support high streets.
“Despite their vital role in improving the health of local communities, pharmacies don’t get their business rates reimbursed by the NHS, in contrast with GP practices and dental surgeries. “CPEas long called to end this unfair disparity, with pharmacies either having their costs fully covered, or given the same rates relief as other healthcare providers.
“We again set out a clear case for business rates relief during this year’s funding negotiations, and will put these arguments forward to Mr Burnham and his Government.”
Related: Burnham leaves door open to supporting struggling pharmacies with business rates