THE HEALTH Service Executive (HSE) last year paid out more than €600 million to pharmaceutical wholesalers and retail pharmacists, according to new figures released yesterday.
The figures show that the HSE paid more than €1.138 billion to pharmaceutical manufacturers for drugs provided to patients under a number of State schemes. In addition, wholesalers received just over €200 million, while pharmacists received €237.6 million in fees and a further €130.1 million as mark-ups.
The figures reveal that more than €38 million went on VAT, bringing the total expenditure on drugs and medicines to €1.745 billion.
The figures released by the HSE covered expenditure on drugs in the medical card scheme, the drug payment scheme, the long-term illness scheme, the high-tech drug scheme and the methadone scheme.
The figures also cover spending on drugs and medicines arising from dental prescriptions and for patients who contracted illnesses such as hepatitis C from contaminated blood products and who are entitled to free care under legislation.
Expenditure on drugs for patients from other countries in the European Economic Area who received treatment in Ireland are also covered by the figures.
The HSE also revealed yesterday that 86 pharmacies received fees of more than €500,000 last year. A further 120 pharmacies received between €400,000 and €500,000, while 226 received between €300,000 and €400,000.
Details of the new earnings were released as the HSE plans to implement a controversial new payment system for pharmacies from today. The HSE plans to reduce the margin paid to pharmaceutical wholesalers in a move aimed at saving €1,100 million.
Pharmacists claim they could end up paying more for drugs than they receive in State reimbursement. They have warned that the planned HSE cuts would lead to the closure of pharmacies and a reduction in service to patients.