A 2019 study published by the BGMA (British Generic Manufacturers Association) in conjunction with the research institution Oxera, has concluded that price setting based on free enterprise – free market competition – is more effective at ensuring supply and reducing prices than drug price control through legislation, as takes place elsewhere in Europe.
Looking at the long-term history of price competition between GP dispensaries and pharmacies it is clear that until 2015 both types of purchaser were offered similar prices. Since then, average prices paid have diverged, with dispensing doctors paying an average price for their drugs of £12.60, and pharmacies, over £15.00. GPs’ greater control over prescribing is considered a key reason for this.
In an exclusive agreement with the Dispensing Doctors’ Association, Wavedata has published a detailed analysis of purchase price movements during June. This and other monthly analyses are available free to DDA members by visiting the online library of monthly purchase prices analyses.