In News

Follow this topic

Bookmark

Record learning outcomes

MPs debating the Government’s Health Bill have said it should legislate for the health secretary and integrated care boards to be required to step in when pharmacy businesses fail.

Proposed amendments to the bill that were discussed in the House of Commons on September 7 included one that would require the health secretary to ensure pay and employment protections for staff “during provider failure,” such as when a company enters insolvency or has its contract suspended.

The amendment would allow the health secretary to “recover from the failed provider” any sums paid out to staff.

Another proposed new clause would give the health secretary powers to direct an ICB to “suspend or terminate arrangements” with pharmacy providers that have breached their obligations with regard to their contract, patient safety or workforce issues.

Under this proposal, an ICB could be told to make arrangements with an alternative contractor to maintain service provision or “take such other emergency measures as may be specified in the direction”.

The health secretary and ICB would be required to support any new provider taking over the contract, “in particular” where serious misconduct by the previous provider has been identified or where the new provider “is not part of a large company”.

Speaking during the debate, Liberal Democrat MP Edward Morello – who was vocal in the Commons about failing chain Jhoots in 2025 – said the proposals “are designed to improve the Bill, but they will all be rejected and that is a shame”.

“The collapse of Jhoots Pharmacy showed us the limits of the current regulatory framework, which was largely designed around independent pharmacies, not large companies controlling extensive pharmacy networks,” said Mr Morello.

Health minister Karin Smyth did not address the proposals relating to pharmacy during her closing remarks.