Veterinarians will need to limit prescription charges to a maximum of £21 and disclose treatment expenses to protect pet owners from exorbitant bills. New regulations will require practices to publicly display price lists and indicate if they are part of a larger chain.
The Competition and Markets Authority is cracking down on escalating veterinary costs following complaints from pet owners. According to the CMA’s latest findings, the average cost of veterinary services surged by 63% from 2016 to 2023, driven by factors such as increased pet ownership, advancements in medical care, and the trend of treating pets more like family members.
The pet care industry has become a £6.7 billion annual business, translating to an average expenditure of £390 per pet-owning household. Some owners spend significantly more, with surgeries for dogs, like those for cruciate ligament disease, reaching up to £5,000 per procedure.
In the past decade, many independent veterinary practices have been acquired by major corporate entities. Presently, six large groups control over 60% of the market, with the biggest player, IVC, owning more than 900 practices across the UK. However, the CMA notes that these large groups tend to charge higher prices compared to independent practices, leading to increased costs for consumers.
As part of the reforms, the CMA will cap written prescription fees at £21 for the initial medicine and £12.50 for each additional medication. Practices will be required to disclose comprehensive price lists for standard services, including consultations, common procedures, and diagnostics. Currently, less than 40% of practices provide pricing information on their websites. Additionally, practices must furnish written cost estimates for treatments expected to exceed £500, as currently, less than half of clients receive pricing details in advance.
The regulatory changes respond to overwhelming feedback from the public and the industry, aiming to enhance transparency and accountability in veterinary services. These measures are designed to empower pet owners with information about practice ownership, pricing transparency, and treatment options. The reforms also aim to bolster trust in the veterinary profession and safeguard clinical decisions from undue commercial influence, ensuring the best care for pets.
Leading figures in the industry, such as Sue Davies from Which? and Dr. Rob Williams of the British Veterinary Association, have expressed support for the reforms, emphasizing the importance of transparency, informed decision-making, and maintaining high standards in veterinary care.