The Association of Independent Multiple Pharmacies (AIMp) and senior official of NHS Property Services (NHSPS) had a meeting on August 18 to review the rent
policy for health centre pharmacies.
Earlier, the association had sent a letter to NHSPS that was signed by pharmacies from across the sector, including single independents, pharmacy groups and members
of the Company Chemists' Association.
The letter outlined concerns about rent reviews and the impact of it on the co-located health centre pharmacies.
Dr Leyla Hannbeck, CEO of AIMp, said: "We outlined that whilst in the past, the norm established by the industry, was to base rents for co-located pharmacies
primarily based on patient list size, (and taking account of a few other factors), the industry now needs to revise the basis on which rents are determined for
co-located pharmacies."
The association, on behalf of the pharmacy sector, met the CEO of NHSPS and two of their senior directors (director or property management and their finance director).
The National Pharmacy Association (NPA) has raised its concerns over rising cost of rent for its members.
The association highlighted that pharmacy spending is shrinking, and therefore, the NHS Property Services must ensure viability of health centre pharmacies.
In May, the NPA wrote to NHS Property Services to voice its concerns over the rising cost of rent after some of its members reported demands for a three-fold increase in rent.
Many pharmacies operate in premises of which NHS Property Services is the landlord.
In a letter last month to chief executive Martin Steele, NPA said: "The past years have seen far fewer patients in health centres and therefore using the on-site pharmacy - whilst the situation will change somewhat as we move out of the pandemic we expect a permanent impact on workload as practices handle more of their interactions virtually.
"The NPA encourages NHS Property Services to review lease agreements involving community pharmacies and consider favourable changes to terms that are in line with
current financial realities affecting the sector. This could avoid the loss of a pharmacy service to communities and the resulting loss of rental income to NHS Property Services."
The National Pharmacy Association (NPA) has been in dialogue with the senior management of NHS Property Services to bring down the rent for community
pharmacies based in NHS health centres.
Association said: "Community pharmacies based in NHS health centres are struggling to make ends meet due to expensive rental rates."
It is calling for pharmacies to have the ability to renegotiate rental rates part way through a contract.
Gareth Jones, Director of Corporate Affairs at the NPA, said landlords need to take into account that pharmacy spending power is shrinking and the previous formula
used to set rental rates is no longer fit for purpose.
"It no longer makes sense to calculate based on historical assumptions about how many prescriptions the co-located GP will generate for the pharmacy," he said.