CCA responds to National Pharmacy Association letter on funding crisis

A letter signed by more than 3,200 community pharmacies and organised by the National Pharmacy Association (NPA) has warned that pharmacies in England may have to reduce or stop providing services within weeks due to rising costs and sustained underfunding.

The NPA says 65% of pharmacies are operating at a loss, with closures already at their highest level in 20 years.

Speaking on this, Malcolm Harrison, Chief Executive of the Company Chemists’ Association (CCA) said:

“Many community pharmacy businesses are at breaking point. Years of rising costs and sustained underfunding are forcing them into impossible decisions – cutting services, reducing opening hours, or closing altogether.

The recent 4% increase in funding for 2024/25 and the 14% uplift for 2025/26 offered a little respite but was insufficient to offset the financial pressures built up from almost a decade of real‑terms cuts, or the growing pressures of rising NHS workloads.  The sector is operating within a funding model that no longer reflects the true cost of delivering NHS pharmaceutical care.  The NHS’ own economic review has established that there is an annual shortfall in funding of at least £2 billion.

Pharmacies are being forced to scale back levels of access and service because current funding simply does not meet the costs of providing them.

At the heart of this issue are patients. Without urgent investment to stabilise and sustain the sector, patients risk facing an erosion of access to medicines, advice, and essential care through pharmacies. A sustainable funding model is critical to safeguarding the future of community pharmacy and ensuring these vital services can continue.

If investment is not forthcoming, the government’s ambition to bring healthcare closer to communities will fail before it has even had a chance to succeed. The government must deliver on its commitment to stabilise the sector.”

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