Don’t Lose Out; Generics Which Cost More Than Drug Tariff

Dispensary Processes are important – how do you ensure you aren’t dispensing at a loss?

As every dispenser knows, the purchase price of generics can vary month on month and from supplier to supplier. So how do you cope with the vagaries of generic purchase pricing?

Do you stick to one supplier of generics?

Do you use a supplier who promises to price match your best generic price elsewhere?

Do you use a supplier who promises your “basket” price will guarantee you a certain amount of discount?

Our advice is to balance the time you spend on generic purchasing against the savings you make – and there are times when your main wholesaler generic price may be as good as a specialist short-line supplier.

Look at the table below – this shows five generics where you need to check your purchase price against Drug Tariff to ensure you don’t lose money when dispensing them. NOTE these are items where even the dispensing fee of c£2 isn’t enough to guarantee income on these lines according to my data.

ItemDrug Tariff August 2021 Price
Betamethasone Valerate and Neomycin
Cream 0.1%/0.5% 30g
Chlorpromazine Tabs 100mg x 28£12.49
Clomipramine Caps 50mg x 28£4.83
Diamorphine Hydrochloride Powder for
Solution for Injection Amps 500mg x 5
Eplerenone Tabs 25mg x 28£8.65

To ensure you are reimbursed correctly you must make sure the prescription has the manufacturer, supplier, or brand name on the right-hand side of the prescription to ensure that the correct price is paid to you for dispensing the item.

This is the correct way for dispensing practices to avoid losing out when generics can’t be purchased below Drug Tariff price.

But the main thing to think about is how you can adjust your processes and dispensary flow to ensure you aren’t dispensing any item at a loss.

Email for an informal discussion.

A full list of generic profitability is available to our members from inside the members’ only area and includes over 150 lines where you would be losing money if it weren’t for the dispensing fee!