Proposed Dispensing Feescales for GMS Contractors, England and Wales - 2012, October release

In order to introduce new dispensing feescales from 1 October 2012 on the existing doctor-based banding basis, the following have been calculated, based on formulae determined by negotiating parties.

The figures are calculated using data for England and it is anticipated that they will also be accepted for use in Wales:

• The dispensing envelope for 2012/13 is £170.0 million. This is a re-based starting figure. Subsequently, the new agreed methodology will be used to calculate the envelope for 2013/14 onwards.

• The average volume increase of fees is 1.754 per cent. This is the average annual percentage increase in volume of fees over the last 2 years. This is used to adjust for the forecast volume in dispensing fees.

• The proposed feescales to be implemented from 1 October 2012, which will delivers the envelope for 2012/13, is detailed in the ‘Proposed New Feescales’ section of the paper. The average volume increase of 1.754 per cent is applied to each existing banding to calculate new bandings in the proposed feescale.

• An adjustment factor of 1.051 is applied to each pence value at each banding to get a new value in the proposed feescale. This adjustment factor is applied so that the new fees will deliver the remaining envelope for 2012/13.

The methodology used in calculating the feescales follows that agreed between the BMA General Practitioners Committee, NHS Employers, the Department of Health in England and the Welsh Government. The methodology was agreed in March 2012. The Technical Steering Committee has agreed the calculated figures.