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Pharmaceutical Services Negotiating Committee

CIP error package 1 April 2011 to 31 March 2012

Please note: these arrangements apply to English contractors only.

The Department of Health has now announced a payment package to take account of prescription pricing processing errors related to the Capacity Improvement Programme for the period 1 April 2011 to 31 March 2012. Full details are in the October 2012 Drug Tariff (Part XIVB).

Payment 1

Payment 2

Recheck Guidance

Additional Information


PAYMENT 1

Trading period requirements

  • Pharmacy contractors who are open on 1 October 2012 will receive a payment based on the extent to which they were open for business during the period from 1 April 2011 to 31 March 2012.
  • A contractor will receive a payment based on the date the pharmacy opened (see table below):
 
 Date pharmacy contractor opened for business  Single payment due (£)

1 January 2012 - 31 March 2012

150

1 October 2011 - 31 December 2011

300

 1 July 2011 - 30 September 2011

450

 1 April 2011 - 30 June 2011

600

Please note: if a pharmacy has been open for the entire period, they will receive the maximum payment of £600.

  • Contractors who have purchased a business during this period will only be paid in respect of the payment bands when they owned the business unless they have purchased the business with liabilities and the NHS account code has remained unchanged.
  • Contractors who have ceased trading on or before 1 October 2012 will not receive a payment, even if they were trading for the entirety of the reference period.

 

How payment is made

  • This initial payment will be made automatically in October's advance payment, which is made in December 2012 to all the eligible contractors.
  • No claim needs to be submitted to qualify for the payment.

 

PAYMENT 2

Rechecks

  • Any contractor who thinks their payments from 1 April 2011 to 31 March 2012 have been significantly affected has until 31 December 2012 to ask in writing for a recheck of a month or months' prescriptions directly to the NHSBSA.
  • After this time, no further requests for rechecking of prescriptions pre 31 March 2012 will be accepted.
  • To request a check:

1. Contractors must submit their request for a check to NHSBSA in respect of particular month(s) using the appropriate form available from NHS Prescription Services of the NHS Business Services Authority (or from their website - here). There must be a separate form for each month they wish to have checked. Contractors with more than one pharmacy need to complete separate request forms for each pharmacy, and for each month, they wish to have checked.

2. Completed forms can either be submitted via email to nhsbsa.repricingrequest@nhs.net or alternatively they can be posted to the Prescription Pricing Helpdesk, NHS Business Services Authority, Bridge House, 152 Pilgrim Street, Newcastle upon Tyne, NE1 6SN.

3. NHSBSA will select an equal number of months to check. Using the results from all the months reprocessed:

- Where a net underpayment is revealed, the contractor will be paid the value of the underpayment;

- Where a net overpayment is revealed, the NHSBSA will recover the value of the overpayment.

- Where a net underpayment is revealed in excess of £500, the contractor will be paid an additional payment of £400 to recognise that they have been significantly affected by the new payment system.

4. This means that contractors who seek a check will risk losing any underpayment owed when balanced with any overpayment revealed by NHSBSA.

 

If no rechecks are requested, how payment is made

  • After the recheck deadline of 31 December 2012, any contractor who has chosen not to request a recheck will receive an additional payment (as outlined below).
  • It will only be payable if the contractor is still open on 1 January 2013.
  • This additional payment will be paid in January's advance payment made in March 2013.
 
 Date pharmacy opened for business  

Single payment due if no re-checks requested (£)

1 January 2012 - 31 March 2012

100

1 October 2011 - 31 December 2011

200

 1 July 2011 - 30 September 2011

300

 1 April 2011 - 30 June 2011

400

Please note: if a pharmacy has been open for the entire period, they will receive the maximum payment of £400.

  

RECHECK GUIDANCE

Contractors will need to decide whether to ask for rechecks and are advised to consider the following:

  • Contractors who seek a check will not recover any underpayment owed if checks of other months reveal it to be balanced by an overpayment.
  • A contractor who asks for a recheck will not receive the additional payment unless the results from all the months reprocessed amount to a net underpayment of £500 or over.
  • PSNC pricing audit results show that some accounts are overpaid.

 

ADDITIONAL INFORMATION

For the purposes of both payments, contractors are treated as being open on a particular day if that day falls within a period when they are providing pharmaceutical services, even if under their terms of service they are not required to be open on that particular day.

FAQ. Will LPS contract pharmacies also receive the CIP error compensation payment?

No. The prescription bundles of LPS contract pharmacies are not priced using the CIP system, as such they would not receive the compensation payment in relation to CIP errors.