Health Secretary gives update on England’s CPCF negotiations
The Health Secretary Wes Streeting has stated that CPCF negotiations will be commencing “shortly in the new year.” Speaking at an evidence session held by the Health and Social Care Committee on 18 December 2024, Streeting revealed he was “working through” a package for community pharmacy, has “got the budget set,” and “will be consulting with Community Pharmacy England shortly.”
While some were disappointed by yet another delay, news of the negotiations commencing imminently were welcomed by the sector. However, just days after the statement, DHSC announced a finalised 2025/2026 contract for GPs on 20 December, leaving many frustrated with the disparity within Primary Care.
CPCF Negotiations update
At the Health and Social Care Committee meeting, the health secretary stated that he is “carefully working through, with Stephen [Kinnock], the package that we will need to initially stabilise the system and create a more stable foundation from which to build a better future for pharmacy.”
Reflecting on the vital work of community pharmacies across the UK, he added: “I do want to reassure pharmacists across the country that we are taking into account the enormous pressures they are under when thinking about allocations so that we can stabilise the system.”
Streeting acknowledged that pharmacists had faced a “real-terms cut in funding for community pharmacy of 28% since 2015/2016”, and said he was equally taking that into account when thinking about the CPCF negotiations.
Streeting’s comments confirmed what had been outlined the previous day by Pharmacy Minister Stephen Kinnock, who told members of parliament he would be starting negotiations “early in the new year.”
In a House of Commons debate on Tuesday 17 December, Kinnock said he was “as frustrated as anybody else” by the delays in agreeing new terms for England’s community pharmacy sector. Now overdue by nine months, the new contract was expected to begin in April but was delayed as “negotiations did not get over the line before the general election,” according to Kinnock.
“The general election came, and we have spent a lot of time now clearing up the disastrous mess that the previous government made of the system. I can say that we are now very focused on getting these negotiations started early in the new year.”
He continued: “Community pharmacies are a vital part of the NHS and communities across our country. The Government are committed to supporting them now and into the future.”
A long overdue negotiation
Tase Oputu, Chair of the England Board of the Royal Pharmaceutical Society (RPS) welcomed the minister’s “recognition of the vital role of community pharmacies in patient care and easing NHS pressures,” but reaffirmed the need for the government to deliver on their promises and offer a substantial financial plan for community pharmacy urgently.
“The delay to the contract negotiations has caused uncertainty for pharmacy teams already working under extreme pressures. It is essential the Government prioritises sustained investment and funding for community pharmacies to ensure patients can continue to access a resilient community pharmacy network,” she added.
The news comes amid warnings of widespread pharmacy closures, rising operational costs, and stagnant government funding. According to the NPA, over 700 pharmacies have closed in England over the past two years, with Streeting himself acknowledging in the evidence session more than 1,250 closures recorded since 2017.
It is this combination of continued delays and rising operational costs that resulted in the recent NPA ballot voting in favour of collective action unless the government urgently addressed funding for community pharmacy.
The General Practice contract for 2025/2026
Despite many reacting positively to the initial news that CPCF negotiations would be commencing in the early months of 2025, community pharmacy leaders have since expressed outrage that GPs have already been offered their contract for the next financial year just days after Streeting’s somewhat ambiguous announcement.
Paul Rees, Chief Executive Officer of the NPA expressed anger at this disparity: “It is an outrage that GPs have been offered their contract for the next financial year before pharmacies have even received an offer for the current year — nine months late,” he said.
“The seemingly endless delays to [last] year’s contract negotiations only reinforces the belief that there is a lack of respect for pharmacies within government and leaves hardworking pharmacies abandoned in the dark, causing them stress and uncertainty about their future”
Janet Morrison, Chief Executive of Community Pharmacy England (CPE), initially welcomed the news of the contractual framework discussions commencing as “encouraging” and said CPE “look forward beginning negotiations early in the New Year.” However, following the announcement of the General Practice contract, was left disappointed with the government.
“It is extraordinary that the Government has announced what looks to be a generous investment in General Practice for 2025/26 before settling the contract for community pharmacies,” said Morrison.
Morrison added that for many the announcement “will feel like more evidence of the inequity at the heart of primary care, and it is a further kick while they are down.”
“The ongoing delays to CPCF negotiations are infuriating, particularly after we have only recently written to Ministers to express our very serious concerns and intense anger about this. Today's announcement further intensifies our frustration.”
“It is clearly in everyone's interests to have a strong general practice service, but without a stable network of community pharmacies to support them, any efforts to ease pressure on GPs will be wasted.”
She continued: “While assurances this week from ministers that news is coming soon and that the pressures have been taken into account have been very welcome, this is not enough: every further delay is likely too late for some pharmacy business and the communities and patients they serve.”
“Community pharmacies simply cannot wait any longer for the good news they so desperately need.”
Similarly, Leyla Hannbeck, Chief Executive of the Independent Pharmacies Association, said the government is “well aware of the devastation that the stagnated 2019 five-year deal has caused to community pharmacies and to further delay the sector’s funding announcement is simply cruel.”
“The pharmacy minister was on record this week saying that there has been a 28% real-terms cuts to community pharmacy funding. We are therefore calling on the government and officials to address this real-terms cut to community pharmacy funding by giving a 28% uplift to the community pharmacy sector — we are calling on the minister and officials to do this urgently as our sector is struggling to survive,” she said.
Commenting on the tensions between General Practice and community pharmacy at the committee meeting, Streeting said, “There is plenty of work to go around. There really is.”
Streeting continued: “At the same time as I am trying to manage the competing choices and trade-offs between GP and pharmacy…Every single part of health and social care is under enormous pressure,” Streeting added.
“I am not going to try to boil the ocean with this budget, because it can’t be done; if we try to do everything for everyone, everywhere, all at once, we will fail. But we will make the right strategic choices now that provide some stability and solid foundations from which we can help to recover the whole health and care service.”
A new year for community pharmacy?
At the time of writing this article, the government are still yet to confirm any solid plans for CPCF negotiations.
The coming weeks will be crucial for determining whether community pharmacies can secure the support they need to avoid further closures and protect the essential healthcare services they provide.
As community pharmacies wait with bated breath for hopeful news, Janet Morrison’s recent comments on CPCF negotiations speaks for the whole sector when she said they “cannot happen quickly enough.”
You can watch the full meeting held by the Health and Social Care Committee here: https://www.bbc.co.uk/iplayer/episode/m0026624/select-committees-health-and-social-care-committee