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Dr. Pugh: The Minister may be able to assist me. He has pointed out the obvious conflict of interest that can exist when one is both dispensing and prescribing medicines. That needs to be addressed. He has suggested that the only way in which it would be addressed is via the ethics committees of local GPs and so on. The issue will, of course, be assessed, determined and established by the PCT, but is there not provision in the legislation, particularly in relation to where a prescribing practice differs radically from what one might expect, to do things other than relying entirely on doctors’ panels judging themselves?
Mr. O'Brien: The hon. Gentleman asks whether there are other provisions in this legislation. I am not aware of any. I shall consider the matter and in due course confirm in writing whether that is the case. It is a reasonable question, and I shall write to him.
Mr. Stephen O'Brien: The Minister seizes the point, not least because his constituency has the same characteristics of rurality, at least in part, as no doubt many of ours do. That factor has a big effect on the availability of services and access to them in relation to how the cash flows work for both doctors and dispensing operations.
I was pleased at the way in which the Minister put the Government’s case; he did not go down the same track that was used in defence in the other place by Baroness Thornton, who took issue with the proposal of pilots on the basis that it would delay the national roll-out of PNAs for at least two years. I thought that argument spurious, and I welcome the fact that the Minister did not deploy it. Given his assurance, I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
Mr. Stephen O'Brien: I beg to move amendment 145, in clause 25, page 28, line 24, after ‘assessment’, insert—
‘(e) for appeals to the Secretary of State or a body in relation to the content of the statement made by PCTs.’.
The amendment would enable pharmaceutical services to challenge the content of the PNA. It would ensure that when a PCT was failing to reach standards in its PNA, a potential provider or other body could challenge the statement. That sort of scrutiny will help to ensure that the PNA meets a standard that allows sound decisions to be made on new applications to provide pharmaceutical services.
At the moment, the Bill does not guarantee that PNAs will contain reliable and accurate data. I cite Earl Howe, who said in Grand Committee in the other place:
“We do not know how effectively PCTs will use PNAs, especially given their record to date of disinvesting in enhanced services such as out-of-hours opening and local delivery”.—[Official Report, House of Lords, 11 March 2009; Vol. 708, c. GC477.]
I have been in touch with the pharmaceutical services negotiating committee and I pay tribute to it for its thoughts on the benefits of being able to appeal to PCTs should they carry out the PNA negligently.
It would not be appropriate for a negligent PNA to form the basis of granting applications, and I am concerned that, regardless of the PNA standard, it will still be used as the unequivocal method of determining applications. The National Pharmacy Association said:
“It should be understood that if a PNA identifies an unmet need, then there is an obligation on PCTs, under normal circumstances, to secure provision sufficient to meet that need.”
We must therefore ensure that PNAs provide a rigorous assessment of needs, and that they are kept up to scratch so as to avoid applications being granted on the basis of negligent assessments.
The adequacy of a PNA might cause concern to all those affected in cases when the PCT has been classed as poor by the world class commissioning assessment. Will the Minister clarify whether a pharmaceutical needs assessment would still be used as a basis for granting applications if the PCT that conducted it fell into the category of poor under the WCC assessment?
As the Bill stands, there is no mechanism by which applicants can question a PCT’s assessment, even if it is perceived to be negligent. Although the regulations prescribe some of the content of the PNA, what is to stop a PCT from disregarding local needs in order to prevent a particular service from succeeding in its application? I hope that the Minister will respond to that query.
Mr. Mike O'Brien: Allowing appeal rights would be fundamentally flawed for a number of reasons. I recognise the concerns of the Pharmaceutical Services Negotiating Committee, which has raised questions, but I shall also tell the Committee of some of my concerns.
An appeals system would lead to endless appeals from dissatisfied and potentially conflicting local interests. There will always be some who take a different view, and many of them will find that their commercial or other interests are affected by an assessment. They will have many different views on how that assessment might affect them. It is therefore likely that a multiplicity of concerns would be expressed by a significant number of individuals and businesses. We do not intend to create some kind of lawyers’ charter where we can have a massive set of new bureaucracies to try and deal with it. We need to avoid that. There is always a balance to be struck between creating new bureaucracy and ensuring that people have the right to make representations. They can make their representations when the assessment is carried out. The assessment will take account of them—or not—and the outcome will be there. Constant appeals over an assessment, which could go on for years, could get expensive.
Secondly, PCTs would potentially incur huge costs defending their decisions under appeal. That is never justifiable in terms of NHS funding at the best of times, and certainly not in the current economic climate.
Thirdly, as a consequence, appeal rights could undermine the principle of pharmaceutical needs assessment as set out in the Bill. This is supposed to be a clear, robust view from the PCT. It is not supposed to be the view of others. Lots of people will have different views and commercial interests of their own, with particular views in terms of their locality or many other things. This is supposed to be an assessment carried out by those required to deploy the NHS funding as to what their priorities are.
There is a fourth objection. I am not aware of any corresponding appeal rights in respect of other strategic commissioning documents such as the joint strategic needs assessment which PCTs carry out. Where there are concerns about a final pharmaceutical needs assessment or where there are grounds to believe that the PCT has not complied with the forthcoming regulations about PNAs, we expect much more straightforward processes.
The proposed legislation already requires us—under subsection (2)(d) to proposed new section 128A—to set out in regulations the circumstances in which a PCT must carry out a new pharmaceutical needs assessment. How every assessment is determined will be a matter for those regulations. For example, it would be triggered in prescribed circumstances such as where a PCT has not complied with the forthcoming regulations which set out how a PCT is to construct its assessment. It might also be applied in circumstances where an assessment has resulted in the PCT making faulty decisions about individual applications which are then upheld on appeal.
I understand the concerns expressed on this issue and on the capacity and capability of PCTs in this area. I refer to earlier amendments under this clause and the comprehensive support programme we are putting in place for PCTs. We need to continue that work. However, I am not persuaded that in this case, the appropriate way to proceed is to create an entirely new and somewhat bureaucratic appeal process. I therefore ask the hon. Gentleman to consider whether it is appropriate to withdraw these amendments.
5pm
Mr. Stephen O'Brien: I am grateful to the Minister for his response, as much to me as it is to the Pharmaceutical Services Negotiating Committee and others, who I am sure he has had representations from. In effect, that was the response to the position that has been put forward.
Amendment, by leave, withdrawn.
Mr. Stephen O'Brien: I beg to move amendment 135, in clause 25, page 28, line 24, at end insert—
‘(e) as to differing assessment criteria for urban and rural needs.’.
This is very much linked to the subject matter of our debate on the first group of amendments under this clause. It should be recognised that patients in rural areas may have needs that differ from those of patients living in towns and cities. The amendment seeks to serve that purpose. The area of a PCT may well span both urban and rural geographies. There is no guarantee that it will take into account both areas. We need to ensure that a PCT’s PNA acknowledges the potential requirement for different services among different populations.
As I discussed under the earlier group of amendments, patients in the country make extensive use of dispensing doctors, as do the elderly, who appreciate the convenience of being able to combine the collection of medicines and their visit to the doctor without the burden of an extra trip to the pharmacy. The Minister identified precisely that service on behalf of some of his constituents.
I must express an interest in the issue, as 24 per cent. of England’s dispensing practices are in Western Cheshire PCT—the main PCT of my constituency—and a further 13 per cent. are in Central and Eastern Cheshire PCT, the other one that serves my constituents. Cheshire GP Dr. Nigel O’Callaghan—himself a dispensing doctor—recently outlined the crux of the matter on the Chemist and Druggist website by saying:
“Why not let patients vote with their feet and choose between GPs and Chemists?”
The Dispensing Doctors Association similarly observed in its meeting with me that patient choice was at risk of being restricted if appropriate safeguards were not put in place to maintain a variety of services.
Having not seen the regulations for PNAs, I can only judge the assessments on their track record to date, which, as I have already discussed, is poor in places and far from consistent. It is a worry that once again, the Government may be jeopardising patient choice in rural areas by not ensuring in primary legislation that PNAs cover a breadth of services, of views, including those of patients, and of patient choice. We support PNAs, but they must not limit choice as that defies their objective. I therefore hope that the Minister is able to guarantee that the PNAs will provide for rural and urban populations in their PCTs.
Mr. Mike O'Brien: There are many different criteria by which assessments will need to be made. The first is, of course, the rural-urban one, but “urban” is not a single category—it deploys many different kinds of urban areas. There are inner cities and suburban areas. There are different ways in which categorisation can take place. Remember that the criteria of choice and access are different. The hon. Gentleman seems to propose that we should, in some way, create a two-tier assessment system, which discriminates in the criteria to be adopted between rural and non-rural areas. I do not think that that is the right approach to take.
Further, regulating to differentiate between the criteria to be adopted risks imposing on PCTs criteria that may not match their assessment of the needs locally—or worse, risks omitting criteria that are crucial to PCTs locally, of which we know nothing at the centre. In our view, PCTs are better able to differentiate for themselves the mix of cities, smaller towns, villages and remote rural areas, and are better able to locally reflect the way in which they feel it is appropriate to do the assessment, rather than seeking to impose—as the Opposition now seek to do—central top-down criteria, by which they tell PCTs what to do. Let the PCTs get on with it and do it themselves. Do not apply this bureaucratic centralisation on them. I say to the hon. Gentleman that I think it is time he withdrew the bureaucratic and unnecessary amendment.
Mr. Stephen O'Brien: I think we have reached a point in this Committee where just because the Minister says it, it does not mean that it is. On this particular issue, I do not think that it invokes a high degree of bureaucracy in quite the way he seeks to tease. The main point is to emphasise the need to make an assessment that takes fully into account the difference between rural and urban. I accept that to some degree there is difficulty with the rather all-embracing word “urban”, which can include not only suburban, but even associated villages with an urban centre. I think of the villages that immediately surround Chester; they are only as far from the main part of the outer edges of Chester-urban as they are from the next village, which under the current criteria, is counted in the rural area.
Indeed, such matters lay at the heart of a dispute that was eventually happily resolved, but not until a long and tense campaign had been fought to get the local PCT to recognise the value of a dispensing doctor in the rural area. That doctor was funding a satellite operation in a village close to the edge of where a village would be regarded as being connected with an urban, not rural, environment. As a sign of our earnest approach to the matter and to make sure that we put it on the record how important we consider such matters to be, I wish to press the amendment to a Division.
The issue is something to which we shall necessarily have to return for reassurances, but I drafted the amendment to gain a guarantee from the Minister that pharmaceutical needs assessments will apply to rural and urban populations. Even given his qualification about the imperfection of the word “urban”, it is a useful point by which to demonstrate the determination on the part of the Committee not to let that little aspect of the Bill rest and to show that it has large consequences for many of our constituents, not least those who live in combined rural, urban and semi-urban areas.
Question put, That the amendment be made.
The Committee divided: Ayes 5, Noes 8.
Division No. 6]
AYES
Horam, Mr. John
O'Brien, Mr. Stephen
Penning, Mike
Pugh, Dr. John
Wilson, Mr. Rob
NOES
Creagh, Mary
Cunningham, Mr. Jim
Hall, Patrick
Merron, Gillian
Naysmith, Dr. Doug
O'Brien, rh Mr. Mike
Slaughter, Mr. Andy
Turner, Dr. Desmond
Question accordingly negatived.
Clause 25 ordered to stand part of the Bill.
 
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