Key Summary
- The DHSC would to move more products to Category H in a phased manner.
- DHSC aims to set reimbursement prices that better reflects the actual purchase prices of these products.
- Community Pharmacy England will monitor the impact of these changes.
The NHS Business Services Authority (NHSBSA) has published the reimbursement prices for the first 11 products moving from Category C to the new Category H in the March 2026 Drug Tariff.
The prices for six products have increased, whereas five saw a decline after this move.
The Category H prices will be updated on a quarterly cycle with the next change in June 2026.
The DHSC aims to move more products to Category H in a phased manner, and Community Pharmacy England (CPE) will monitor the impact of these changes.
It will raise concerns with the DHSC about products that are not appropriate or suitable for entry to Category H.
After moving to Category H, the steepest price drop was for Ursodeoxycholic acid 500mg tablets (£10.93), whereas Isosorbide mononitrate 25mg modified‑release capsules (28) have the highest price increase (£1.31).
The CPE has urged pharmacy teams to report any Category H products sold at or below the stated drug tariff price.
It will investigate these reports and request the Department of Health and Social Care (DHSC) to grant any price concessions, if required.
The formation of Category H is part of a series of community pharmacy drug reimbursement reforms following a public consultation in 2019.
This was one of the actions outlined in the Community Pharmacy Contractual Framework (CPCF) 2025/26 funding settlement to support medicine margin arrangements.
DHSC aims to set reimbursement prices that better reflects the actual purchase prices of these products and to support fairer distribution of the medicine margin.
CPE has objected to these changes as it felt it could disrupt the already turbulent medicines supply chain.
