Source · Select Committees · Public Accounts Committee
Recommendation 6
6
The Department’s business case targeted annual savings of £100 million in pharmacy margins through early...
Conclusion
The Department’s business case targeted annual savings of £100 million in pharmacy margins through early payment settlements with drug manufacturers, based on advice supplied by Lex Greensill in his capacity as government adviser. The Department has stated that it is unable to quantify the savings from the early payment scheme to pharmacies. HM Treasury remained unconvinced that there was market failure or that government needed to be involved but approved the business case in December 2012.7 2 C&AG’s Report, Investigation into supply chain finance in the NHS, Session 2021–22, HC 734, 29 October 2021 3 C&AG’s Report, para 1 4 C&AG’s Report, para 7 5 C&AG’s Report, paras 8, 9 6 C&AG’s Report, para 2.8 7 C&AG’s Report, para 2.9 10 The pharmacy early payment and salary advance schemes in the NHS