Page 30 - P4304.1-V110 PSUK Mag June 2025

What is Part VIIIa?

Part VIIIa lists the reimbursement prices for generic medicines. These are non-branded
versions of medicines that are typically prescribed by their generic name. This section
ensures that pharmacies and dispensing doctors are reimbursed a set amount for
dispensing these medicines, regardless of the brand or supplier used.

Key Elements of Part VIIIa:

Category A, C, and M Drugs:

Generics in Part VIIIa are usually classified
under one of three categories:

• Category A: Items that are post patent Pack Sizes and Reimbursement
and are now available readily as generics. Units:
Prices are based on a weighted average
of a range of suppliers, including major Each listed item includes a standard pack
wholesalers. These prices aim to reflect size and the reimbursement unit (e.g., per
what a pharmacy would typically pay in tablet, per ml), which determines how much
the open market. a pharmacy is paid per dispensed quantity.

• Category C: Prices are based on a
specific branded product or supplier, Concessionary Prices:
often the originator brand and used
when only one or a few versions of the When the market cost of a generic rises
drug are available. This can lead to higher significantly above the Drug Tariff price,
reimbursement prices than Category A the DHSC may temporarily grant a price
or M. concession. These are published monthly
and will result in Prescription Services
• Category M: Prices are based on reimbursing contractors the higher price
information submitted by manufacturers during that month. Concession prices are
and are adjusted quarterly by the then re-considered the following month if
Department of Health and Social required..
Care (DHSC) to manage pharmacy
profit margins across the sector. Prescribing Implications:
These generics tend to be the ‘fast
movers’ high volume generics we use If a prescriber writes a prescription
on a day-to-day basis. generically and the item is listed in Part
VIIIa, the prescription will be reimbursed
at the tariff price—even if the dispenser
dispenses a more expensive branded
version. Conversely, if you purchase your
generics competitively then you will realise
a margin on the tariff price.

If the prescription is written as a branded
medicine, the pharmacy is reimbursed
based on the price of that specific brand,
not the Drug Tariff.

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