bjhc&im May 2003 cover

Editorial

May 2003
Volume 20 Number 4

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Prescribing costs

In 2100, a latter-day Charles Wilson or Brian Abel Smith will write a definitive economic history of the National Health Service. If, sadly, the work is also by way of an epitaph, it will no doubt dwell at length on the impact of the transition from public to private, or part private, funding, and the economic effect of so great a change — mirrored only by the original, reverse, transition of 1948.

Epitaph or not, however, the work will also contain an extensive section devoted to the cost of prescribing, and its profound effect on the overall costs of both primary and secondary care — if indeed that distinction still exists at that time. There will, of course, be nothing startling in such an observation. As early as 1956, the Guillebaud Committee1 reported that “since the beginning of the National Health Service, the gross cost of pharmaceutical services has increased substantially, and the annual rate of expenditure is now more than double what it was in the first few months of the Service”. To emphasise the point, and the implicit note of alarm, it should be noted that while in 1949 the total number of prescriptions dispensed by the general pharmaceutical services was 202m, in 1954 it was 218.7m and in 2001 it was 578m. And that rise relates only to primary care. Hospital care has seen not dissimilar rises both in prescriptions and in costs over the same period.

Why this trip down Memory Lane? It is to make an obvious, if rather vulgar, point: pharmacy costs, whether in primary or secondary care, are high and have consistently exercised all those charged with the management of the Service. If — and setting aside the boring necessity of an extensive infrastructure — one was called upon to design ICT systems for the Service that rapidly increased both therapeutic and financial effectiveness, most managers would opt for systems that tackled pharmaceutical costs. However, one of the problems that beset those endeavouring to persuade reluctant authorities to invest in ICT is the real difficulty in demonstrating immediate cash savings.

Evidence of the savings that electronic prescribing, medicines administration and medicines management can enable has been steadily mounting over the past decade. There is a small, but persuasive, body of definitive studies that show the different kinds of savings, including both direct and indirect financial savings, that can be derived from intelligent use of the opportunities released by computerised prescribing. And this issue of the Journal carries two articles from secondary care that demonstrate the point.

In primary care, it is only necessary to look at the volume of prescription-handling traffic to see the potential benefit of applying ICTs to processes: 538m prescriptions are dispensed on behalf of more than 30 000 general practitioners; they are all processed, analysed, and paid for through the Prescription Pricing Authority. This is a large-scale data-transfer operation that cries out to be automated from end to end — where the potential savings in time and effort are, at the very least, considerable and where, as one of the main pillars of the National Strategic Programme, trials are already under way.

Another opportunity for extensive savings is available in the use of computer-based prescribing protocols. If they can have so great an effect in secondary care, consider what might be their potential in primary care. Their promise dwarfs the impact of the limited list or the successful drive to generic prescribing.

In short, for those doubters who cannot, or who choose not to, accept the cost benefits and the proven organisational improvements flowing from the drive to computerise the NHS, the field of electronic prescribing is an absolute winner of a persuader.

In this issue of the Journal, we have articles covering a number of vital aspects in progress towards full-scale electronic prescribing. Sean Brennan and Alan Spours report from their recent survey on the take up of electronic prescribing and medicines administration (EPMA) in England, which shows that despite very considerable therapeutic and financial benefits to be derived from EPMA, there remain sizeable barriers — a major one being resources. Dr Neal Maskrey, Medical Director of the National Prescribing Centre, describes its work, which must play a considerable role if there are ever to be effective national prescribing protocols in primary care. Finally, Keith Farrar and his colleagues from Wirral Hospital Trust explain how they significantly reduced prescribing errors in paediatrics with new protocols — a prize-winning development, recognised in this year’s Healthcare IT Effectiveness Awards. His second article, with Ann Slee, reviews some of the best-known published evidence of the beneficial impact of computerised prescribing on medication-error rates and associated costs.

There appears to be very little doubt that the potential advantages of electronic prescribing are extensive. The Journal understands that the precise form of the national initiative in this area is currently under review: it is to be hoped that the review will be speedy and positive.

Michael Fairey

Reference

1.  Report of the Committee of Enquiry into the cost of the National Health Service. Guillebaud Report. London. HMSO, 1956. Cmd.9663.

 

 

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