Measure

VAT and healthcare

The measure

The VAT exemption for healthcare will be extended to include medical services that are carried out by staff who are directly supervised by registered pharmacists.

Zero-rating for prescriptions will be extended to medicines supplied through Patient Group Directions (which allow healthcare professionals to supply and administer certain medicines to specified groups of patients without a prescription).

 

Who will be affected?

Pharmacies, healthcare professionals operating under Patient Group Directions and their customers. 

 

When will the measure come into effect?

The extension to the VAT exemption will take effect from 1 May 2023.

The extension to the zero-rating provisions will be introduced in autumn 2023.

Our view

As indicated by the government, these amendments reflect changes in both healthcare delivery and how the NHS operates.