Administrative charges are payable by pharmaceutical companies (both members and non-members of the ABPI) in relation to cases considered under the Code of Practice.
Charges are only paid by pharmaceutical companies. Charges are paid by those ruled in breach of the Code and those that make unsuccessful complaints.
The administrative charges are based on the matters ruled upon in a case. A number of charges may arise in a particular case.
Healthcare professionals, members of the public or other individuals from outside the pharmaceutical industry do not pay any charges for making a complaint.
CHARGES: LEVY, ADMINISTRATIVE CHARGES, AUDITS
The PMCPA is required to be self financing. The Constitution and Procedure requires the ABPI Board of Management to determine the charges for the annual Code of Practice levy, administrative charges in relation to cases, charges for compulsory audits of companies and the contributions to the cost of press advertising. The charges were subject to approval at the General Meeting of the ABPI on 20 November 2014.
Please note that all of the changes set out below are subject to the addition of VAT.
- Annual levy
ABPI member companies to pay £4,000 per vote, but ABPI companies with one vote to be subdivided depending on their ABPI subscription, (which relates to company size) as follows:
25% of the one vote charge ie £1,000 (ABPI subscription up to £12,500)
50% of the one vote charge ie £2,000 (ABPI subscription £12,501 – £25,000)
75% of the one vote charge ie £3,000 (ABPI subscription £25,001 – £37,500)
100% of the one vote charge ie £4,000 (ABPI subscription £37,501 – £50,000)
Members would have a partial refund of the levy if the Authority's income was more than its expenditure.
The revised levy applied from 1 January 2015.
- Administrative charges and the cost of press advertising
The administrative charges are only payable by unsuccessful pharmaceutical companies, whether in membership of the ABPI or not, and are intended to contribute substantially to the costs of dealing with complaints. They are not fines. The majority of the PMCPA's income usually comes from administrative charges although, as the amount collected depends upon the source of the complaint and the outcome, the total which will be collected in any one year cannot be predicted.
The administrative charges are £3,500 and £12,000 for members and to £4,500 and £13,000 for non members. In addition, all companies ruled in breach of Clause 2 of the Code, or the subject of a public reprimand or required to issue a corrective statement, pay £4,000 towards the cost of advertising that fact in the medical, pharmaceutical and nursing press.
These charges apply in respect of complaints received on and after 1 January 2015.
The charge for a compulsory audit for all companies is between £15,000 and £20,000 depending on complexity. The charge for a voluntary audit for members is £7,500 and for non members £9,000. These charges applied from 1 January 2015.