Community pharmacies warning of potential cuts to services ahead of national insurance contribution hike

Employer's contributions are due to rise from 13.8% to 15% from April, 1

Community Pharmacy NI says the changes announced in the autumn budget will cost £10m
Author: Tara GriffithsPublished 15th Feb 2025
Last updated 15th Feb 2025

There's a warning community pharmacies may be forced to reduce hours, staff numbers and services from April, amid a hike in national insurance contributions.

Employers contributions are due to rise from 13.8% to 15% from April, 1, as part of measures announced in the Chancellor's autumn budget.

Chief Executive of Community Pharmacy NI Gerard Greene says it could cost the sector £10 million:

"Community Pharmacists are caught in a desperate dilemma: they are clearly demonstrating their value by absorbing pressure on frontline healthcare services; and yet they’re also experiencing unrelenting financial pressures over which they have no control.

"In the private sector, businesses facing these National Insurance rises will, most likely, consider increasing the prices they charge for goods and services to cover the extra running cost.

"As a free public health service, community pharmacies do not have this option and unlike the health service they are not protected from these Budget increases.

"The only other way they can reduce the impact of this increased staff cost is to either cut staff numbers, or to reduce opening hours.

"The reality is that individual pharmacy owners are already propping up the cost of providing this national health service from their own savings, so any further increased costs are simply unsustainable and unjust."

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