Role and uptake of local pharmaceutical services contracts in commissioning community pharmacy services

Aim: To describe the early development and uptake of local pharmaceutical services ad to investigate the nature of the contracts develop by the first-wave pilots. Design: Analysis of Department of Health data on 31 LPS pilots receiving ministerial approval by 1 October 2004 and content analysis of 10 first-wave LPS contracts. Outcome measures: Uptake and characterisation of LPS pilot schemes. Contract analysis: typology of services, contract pricing, monitoring and review arrangements, staff standard and competencies. Results: 31 LPS pilots have been approved in three waves, involving 147 potential service providers concentrated in urban locations across England. To date, nearly half of the pilot schemes (15/31) have been implemented. LPS pilots fall into three main categories: extended community pharmacy services, specific community pharmacy services, and out-of-hours services. Dispensing is worth between 14 and 100% of the total LPS contract value; a variety of payment mechanisms reimburse contractors for LPS services. PCTs and LPS providers take joint future contract price. Staff competencies were not routinely addressed; instead contracts tended to focus on the continuing professional development requirements of staff. Conclusions: LPS pilots are addressing a number of government priorities. Many LPS services will be mainstreamed in the new national contract, the development of which has slowed the growth of LPS. The use of LPS to enable the provision of innovative services has been demonstrated. In commissioning new community pharmacy services, the length of time taken to develop and implement services should be acknowledged.