Stevenson Welcomes OFT Investigation Into Pfizer Redistribution Deal

SNP Candidate for Banff & Buchan Stewart Stevenson has welcomed the launch by the Office of Fair Trading (OFT) of an investigation into the impact of pharmaceutical giant Pfizer's decision to restrict distribution to only one wholesaler in Scotland.

The investigation will focus on the impact of the deal on competition in wholesaling, discounts granted to pharmacies and the NHS, and disruption to services. Mr Stevenson had previously called for an investigation into the move and had written to Health Minister Andy Kerr.

Today's announcement follows a meeting between senior Pfizer representatives and Mr Stevenson and Maureen Watt where they raised the key concerns of pharmacists in their rural constituencies over the move, including disruption to delivery and discounting policy. In response, Pfizer gave an undertaking that they would look again at the discounts which they offer to community pharmacies.

Commenting on the investigation Stewart Stevenson said:

"I welcome this OFT investigation as recognition of our efforts to oppose this move by drugs giant, Pfizer. Their redistribution arrangement is anti-competitive and threatens to seriously disrupt the way smaller pharmacies operate and therefore the sustainability of the service in rural areas.

"In a recent meeting with Pfizer representatives I impressed upon them the grave consequences of this deal for smaller pharmacies in terms of disruption to delivery and received an assurance that they would reconsider their discounting policy.

"I am now particularly concerned that other pharmaceutical companies are likely to follow suit which will have severe implications for smaller rural pharmacies. To lose local pharmacies would be a major body blow to our health service in rural parts of Scotland.

"I sincerely hope that this OFT investigation will have an impact by preventing further drugs companies from pursuing similar anti-competitive deals in the future."