Almost two-thirds of pharmacy premises in England are reportedly losing money, a survey by Community Pharmacy England (CPE) has revealed.

And 16% of pharmacy respondents predicted they will have to close within a year.

The survey, carried out between early March and April 2024, involved over 900 pharmacy owners representing more than 6,100 (around 60% of) pharmacy premises in England, as well as more than 2,000 pharmacy team members, most of whom were pharmacists.

Of all the pharmacy premises premises represented in the survey, 64% were losing money.

Around a third (34%) reported being 'still profitable, but only just', and just 1% said they were still profitable.

Meanwhile, 3% said the threats to their business were so serious that it would not survive another six months, while 13% said they would not survive another year.

Some 80% said they were able to manage the threats to their business, but did not know how much longer they would be able to do so.

Just 4% described the threats to their business as 'manageable'.

More than 40% of pharmacy owners said the financial strain on their business was limiting their ability to provide some Advanced services.

And over half (52%) of pharmacy staff reported that patients were being negatively affected by the pressures on pharmacies, with 18% saying patients were being 'severely' impacted.

The biggest reason for cost increases was cited as staffing costs, closely followed by medicine purchasing costs.

Pharmacy owners also reported that regulatory and administrative burdens; shortages and supply issues; poor infrastructure and technology; and patient care and safety concerns were also driving cost increases.

Janet Morrison, CPE chief executive, said the findings made 'distressing reading' that 'should be ringing alarm bells for anybody interested in protecting the health and wellbeing of local communities and the public'.

'We’ve been warning for many months and years that these issues must be resolved, and this evidence provides yet another stark warning which must not be ignored,' she said.

She warned that the financial instability faced by community pharmacies was 'a direct consequence of the significant funding cuts and spiralling costs which have pushed them to the brink'.

Following the survey, CPE is calling for:

  • A sustainable funding model for community pharmacy
  • Investment in the clinical future of community pharmacy
  • A plan to safeguard the pharmacy workforce
  • And a full review of the medicines supply market and short-term relief measures

A spokesperson for the Department of Health and Social Care spokesperson said: 'This government inherited a broken NHS and pharmacies have been neglected for years. We are monitoring closures closely.

'Pharmacies are key to our plans to make healthcare fit for the future, as we shift the focus of the NHS out of hospitals and into the community. We will expand the role of pharmacies - making better use of pharmacists’ skills, including accelerating the rollout of independent prescribing.'

Another CPE poll of pharmacy owners representing more than 2,100 pharmacies across England, recently suggested that 96% had stopped delivering locally commissioned services over the past 12 months. This could include minor ailments services that build on the national Pharmacy First service.