HC Deb 31 March 1981 vol 2 cc135-6
1. Mr. Leighton

asked the Secretary of State for Social Services what has been the percentage increase in prescription charges since May 1979.

6. Mr. Ray Powell

asked the Secretary of State for Social Services by what method he intends to determine the revision of prescription charges.

12. Mr. Dixon

asked the Secretary of State for Social Services whether he plans to revise prescription charges.

The Minister for Health (Dr. Gerard Vaughan)

Prescription charges will be increased annually in line with costs. This is a sensible way of running things as compared with the fits and starts of the previous Government. The prescription charge in May 1979 was 20p, as set in April 1971, when it was 27 per cent. of the average cost per item. It is now £1, 31 per cent. of the average cost per item.

Mr. Leighton

Is the Minister aware that he has given a peculiarly disingenuous answer? How does he square an astronomic increase of 500 per cent. with his description of a challenge by the Labour Party at the last general election to the effect that these charges would increase as a Labour lie? Does this not show that the whole prospectus put before the electorate by his party was completely bogus?

Dr. Vaughan

This is an increase in charge which is an adjustment of charge to cost"—[Official Report, 21 July 1969; Vol. 787, c. 1393.] Those are not my words but the words of the Secretary of State for Social Services in 1969, the late Richard Crossman. The percentage increase in charges since 1979 is 400 per cent. compared with a percentage increase in the cost of prescriptions, since the 20p prescription was introduced, of 335 per cent. I cannot see from where the hon. Gentleman ris his figures.

Several Hon. Members

rose——

Mr. Speaker

Order. I propose to call first those hon. Members whose questions are being answered.

Mr. Powell

Is the Department still adhering to what is no more than a rule of thumb method of charging the patient one-third of the total cost of medication through prescription charges? If so, is it the Government's intention to raise the prescription charge to £1.30 in the autumn?

Dr. Vaughan

I have already said that the charges will be increased annually in line with costs. The present average cost of a prescription is £3.22. The sum of £1 seems a reasonable contribution towards this amount.

Mr. Dixon

Does the Minister agree that, in view of the positive campaign to persuade doctors to prescribe cheaper drugs, the cost of a substantial percentage of drugs has fallen well below the £1 prescription charge? Does, he further agree that this has led to many chemists not submitting prescriptions for payment?

Dr. Vaughan

It is too early to see the effects of the recent increases. The total number of prescriptions has fallen. In 1979 the figure was 304.6 million. It is now 303.3 million. I would have thought that the Labour Party, which first introduced and later reintroduced charges, would have been pleased to see this development. It shows a wiser use of money.

Mr. McCrindle

With all these percentages flying around, will the Minister say what percentage of the total population does not pay prescription charges and how this compares with 1979?

Dr.Vaughan

Thirty-five per cent. do not pay prescription charges. Sixty-five per cent. have exemptions and another 5 per cent., making 70 per cent., use season tickets, and I am pleased to say that the use of these has increased considerably.

Mr. William Hamilton

Does the Minister agree that he invokes a new principle in tying a charge to the rate of inflation? Will he give an assurance that no other Health Service charges will be linked to the rate of inflation?

Dr. Vaughan

No. do not think that the hon. Gentleman is looking at the matter correctly. We are tying the prescription charge to the actual cost of drugs which are dispensed.

Mr. Marlow

As the Government, or, in other words, the taxpayers, are contributing, in real terms, a massive £150 million more to health and social services than did the Labour Government, is it not reasonable that those who can afford to pay prescription charges should do just that?

Dr. Vaughan

Yes, it is reasonable. We have increased the overall amount of money available. Drugs are costing about £1,000 million a year. I should have thought that the majority of people would be pleased to contribute to such costs.

Mr. Terry Davis

Now that the Minister has admitted that the Government have increased prescription charges by 400 per cent., will he explain why the Government chose to increase this charge by a larger percentage than any other charge, licence, tax or Excise duty?

Dr. Vaughan

I do not accept that. We are adjusting the costs in direct proportion to the amount of money being spent on drugs. I believe that to be reasonable