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We mustn't lose out over VAT change

From Dr Charles McEvoy, Ripon

I read with alarm your article discussing the forthcoming change in VAT regulations (Financial Pulse, 17 December). Our practice has only recently VAT de-registered following the Beynon ruling, which means that a dispensing practice providing personally administered drugs is unable to reclaim the VAT it has paid on the cost of the drug.

Practices that are not VAT registered are reimbursed the full cost of the drugs (including VAT) by the PPA.

If practices like ours are forced to register for VAT then they may be unable to continue providing services such as flu vaccines or GnRH analogue injections as the financial losses incurred by dispensing the drugs will be too large.

The PPA should quickly look to provide fair reimbursement of the cost of these drugs to all practices, VAT registered or not.

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