Devolving the Global Sum - Temporary Safeguarding Payments (Drug Tariff Part XIVC)

Drug Tariff Part XIVC sets out the temporary safeguarding arrangements put in place where a pharmacy contractor’s dispensing business is adversely affected if prescribers systematically increase prescription duration on all or a significant percentage of their prescription items. This could lead to dispensing contractors facing increased supplier bills in certain months (as more medicines are dispensed per prescription than usual) and then decreased prescription item volume in subsequent months.

Claim 1 - To provide support to pay an increase in supplier's bill

For a month where the prescription item duration has increased compared to that seen previously, as the contractor will have dispensed significantly more medication per prescription item than usual, the 100% advance (which is based on a historic net ingredient cost) is likely to be insufficient to cover the contractor’s supplier bill for the month.

In these circumstances, the contractor is able to claim for that month, for an increase in their 100% advance (Claim 1) via the Temporary Safeguarding Payments claim form. The amount that can be claimed should reflect the amount by which the contractor’s supplier bill has increased solely due to the increase in prescription item duration and no other reason. 

Claim 2 - Remuneration

For the months following an increase in prescription duration, contractors may experience a drop in items dispensed and as a result earn fewer fees.

In these circumstances, the contractor is able to claim for an affected month, for any lost fees and allowances (Claim 2)  via the Pharmacy contractor additional advance/compensatory fee claim form.


Please read Part XIVC of the Drug Tariff before submitting your claim.