The Welsh medicines margin will receive a £13 million boost for 2026/27 after the devolved government confirmed it will continue following national drug tariff arrangements.
The decision follows the £200 million uplift to the margin allowance for contractors in England under the new pharmacy contract announced last month.
During recent discussions, the Welsh government confirmed that it will keep following the current drug tariff arrangements set by the Westminster government.
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As such, Welsh contractors can anticipate an extra £13 million in consequential margin funding for 2026/26 as well as the write-off of any over delivery in margin accrued until the end of March 2026, Community Pharmacy Wales (CPW) said.
The Welsh government has also indicated that negotiations for the 2026/27 pharmacy contract requirements will begin in July, according to CPW.
CPW said: ‘We are obviously keen to resolve these in a timely manner to give contractors clarity on any requirements and secure additional funding to support the network in this challenging period.’
The community pharmacy sector in Wales has been facing ongoing financial pressures, with a survey by the National Pharmacy Association (NPA) in February finding that six-in-10 pharmacy owners there had remortgaged their house or used personal savings to keep their doors open.
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The poll also revealed that four-in-10 pharmacies in Wales were not profitable in 2025, increasing the risk of pharmacy closures.
CPW has also invited contractors to complete its 2026 community pharmacy pressure survey, the results of which are used to support discussions with decision-makers about the pharmacy contract.
The deadline to complete this survey is 30 June 2026.
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In February, political parties in Wales were urged to support community pharmacy and commit to boosting funding for the sector ahead of the Senedd elections.
The Company Chemists’ Association (CCA) warned that investment was 'non-negotiable' if the next Welsh Government wanted to improve patient access and support the NHS.
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