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‘Big brother’ margin rules come into force from July 1

Record-keeping requirements for dispensing practices

June 18th 2018

Tagged: DM Zone news England

By Ailsa Colquhoun

So-called ‘Big brother’ dispensary margins regulations will come into force in England from Sunday 1 July.

The Health Service Products (Provision and Disclosure of Information) Regulations 2018 require dispensing practices in England only to keep invoices or supporting information related to medicines for NHS dispensing for four years, for presentation on request. The information should state:

  • discounts, payments or payments or benefits in kind received
  • the name of the supplier
  • the quantity, by pack size, purchased
  • the net purchase amount, or a reasonable estimate of the net purchase amount, paid for the purchase
  • the terms on which any discounts, payments, or payments or benefits in kind were given.

These requirements also apply to dispensing doctor practices in England with a wholesale dealer’s licence, where the net income from wholesaling is less than £5 million.

The regulations, which were first mooted in August 2017, aim to improve transparency in the generics market and reduce the exposure of the NHS to price shocks. The legislation follows a report by the National Audit Office into generics price increases.






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