Joe McHugh (Donegal North East, Fine Gael)
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Question 194: To ask the Minister for Health and Children the reason pharmacists have not signed up to the full pharmaceutical contract issued by the Health Service Executive; and if she will make a statement on the matter. [5737/08]

Bernard Durkan (Kildare North, Fine Gael)
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Question 195: To ask the Minister for Health and Children the steps she has taken to resolve the dispute between the Health Service Executive and the pharmacists; if her attention has been drawn to the intransigence of the HSE on the issue; if she will instruct the HSE to engage in direct discussions with the pharmacists with a view to early resolution; and if she will make a statement on the matter. [5780/08]

Pádraic McCormack (Galway West, Fine Gael)
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Question 196: To ask the Minister for Health and Children if she has set up the promised independent body to review and make representations on the remuneration for pharmacists, dentists and general practitioners; when it is expected that this independent body will report back; if she will provide an undertaking not to change the remuneration terms to the pharmacists until this independent body gives its report; and if she will make a statement on the matter. [5826/08]

Michael Ring (Mayo, Fine Gael)
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Question 202: To ask the Minister for Health and Children if she will request the Health Service Executive to postpone change in the way pharmacists are paid until after the independent body has heard and evaluated the arguments from all sides and has made its recommendations. [5468/08]

Finian McGrath (Dublin North Central, Independent)
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Question 213: To ask the Minister for Health and Children if she will work hard to resolve the Irish Pharmaceutical Union and the Health Service Executive dispute as a matter of urgency. [5646/08]

Mary Harney (Dublin Mid West, Progressive Democrats)
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I propose to take Questions Nos. 194 to 196, inclusive, 202 and 213 together.

In view of the issues arising under competition law, I agreed to the establishment, by the HSE, of a process under Mr Bill Shipsey SC to address concerns by the Irish Pharmaceutical Union (IPU), on behalf of community pharmacists, about the implications of legal advice on competition law on the right of the IPU to negotiate fees or margins on their behalf with the HSE. At a meeting between the HSE and the IPU under Mr Shipsey SC on 5 December 2007, a proposal was outlined to the IPU to (i) address their immediate concerns regarding the alleged impact of the proposed revised wholesaler arrangements on GMS-dependent pharmacies and (ii) to provide a basis upon which discussions on a new substantive contract could commence.

The IPU was not prepared to accept this proposal from the HSE and, accordingly, no further discussions have taken place under Mr Shipsey's aegis since then. Notwithstanding the failure to reach agreement, the HSE has offered a draft interim contract to pharmacists to address their main concerns regarding the alleged impact of the proposed revised wholesaler arrangements on GMS-dependent pharmacies. I am informed that the HSE intends to implement the deferred revised wholesaler arrangements from 1st March 2008.

The Executive also held preliminary discussions with the IPU and other parties on the development of a new substantive pharmacy contract. The details of the draft interim contract, and the HSE's other intentions in this regard, were set out in a letter to individual community pharmacists on 2nd January 2008. In response to the HSE offer of an interim contract, my Department understands that preliminary interest has been expressed by both pharmacy chains and individual pharmacists in the new interim contract. However definite information on possible take-up has not been provided by the HSE.

In the light of the legal position previously outlined in the House, and after further consultation with the Attorney General, the other relevant Departments and the HSE on the best way of progressing the development of a new contract with pharmacists in compliance with competition law, my Department is working to develop appropriate arrangements for the development of contracts and for the setting of the fees payable in respect of contracts with private sector undertakings for the provision of health services on behalf of the HSE. These arrangements may include the establishment of an independent body which would consider the nature of the service to be provided and all other relevant factors in each case and make recommendations to the Government in relation to the fees it considers appropriate. The composition of such a body, its terms of reference and the timescale for its work are amongst the matters to be considered in this regard. In line with the legal advice received, the HSE may enter into discussions with community pharmacists on the non-fee aspects of their contract, with a view to developing a new substantive pharmacy contract.