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A survey of National Pharmacy Association members has found that business rate increases could force hundreds of contractors to exit the market, with some contractors seeing their bills triple. 

The NPA surveyed 420 pharmacies on the impact of business rate hikes, finding that 48 per cent are considering closing for good, while 55 per cent are “actively considering” moving premises to cut costs.

Ninety-two percent of respondents said their rates burden prevents them from investing in workforce, premises or services, while some said their rates have gone up threefold.

Some NPA members in areas or units with higher rateable value have reportedly been landed with bills for tens of thousands of pounds. 

This could pose risks to rural and coastal communities where rates are higher than the national average, warned the NPA.

The trade body said nine in 10 council areas have lost at least one pharmacy since 2022, with 44 pharmacies having exited the market so far in 2026.

Criticising the decision to leave pharmacies out of a recent rates relief package for pubs and music venues, the NPA urged the Government to grant business rate exemptions to the sector amid efforts to reform the rates system, warning that further closures could seriously undermine Labour’s 10-year plan for the NHS.

“GPs and even dentists that provide NHS services are reimbursed for their business rates by the NHS,” it said.

NPA chair Olivier Picard said: “Pharmacies across the country are linchpins of their high streets, often being the anchor on parades of shops they exist on and providing vital medicines and other services to their patients.

“However, as this alarming survey shows, soaring business rates has prevented them for investing new services and has forced some to relocate or close altogether, damaging local economies.

“As the government rightly looks to revitalise our high streets, they must give pharmacies the same support as GPs and dentists and exclude them from paying business rates.

“Pharmacies are not like a pub, restaurant, vape shop or off licence. They cannot flex their prices to meet increasing costs such as these and are almost entirely dependent on funding from the NHS for their existence. They should not be treated in the same way.

“Pharmacies not only provide vital health services but are key to unlocking local economic growth.

“The public wants to see a thriving pharmacy network on their high streets and the government must stop pharmacy closures and provide business rates support, allowing pharmacies to invest in new services to patients and to flourish.”