Published: 04/10/24

Purpose

This circular sets out to community pharmacy contractors the details of the community pharmacy funding arrangement for 2024/25.

Background

Circular PCA(P)(2023)26 advised on amendments to the remuneration and reimbursement arrangements listed in Part 7 of the Drug Tariff (generics) along with the Part 7 discount clawback rate for the financial year 2023/24.

A settlement has now been reached with Community Pharmacy Scotland on a one year community pharmacy funding package for the financial year 2024/25.

Detail

This circular now advises of the headline elements of the community pharmacy funding package for 2024/25:

A. The remuneration Global Sum will be reset for 2024/25 at £232.705m, an increase of 6% on the previous year and sets the baseline figure for 2025/26.

B. The non-Global Sum shall roll forward at its current level set at £1.3m.

C. The continued mapping of funding from Part 7 (generic) Drug Tariff as guaranteed income will remain at £80 million for the financial year. Mapped guaranteed income is not subject to an annual uplift.

Taking these points A and C above, the total guaranteed funding to be delivered in 2024/25 is £312.705 million.

The current level of Guaranteed Minimum Income has also increased by £10m to £110m. The delivery of the Guaranteed Minimum Income will be closely monitored monthly throughout the year and further action to support contractor cashflow will be considered if appropriate.

The uplift to the global sum for this year will be allocated to the Dispensing Pool. Further details on the breakdown of global sum funding are set out below.

Further advice will follow on the recovery of the advance payment made in January 2023.