Prescription charges were first introduced in 1952. They were abolished in 1965 but then reintroduced, with exemptions, in 1968 because of budgetary pressures. In 2019 approximately £600 million was generated in revenue from prescription charges which supported direct delivery of NHS services.
In England out of 1.1 billion items dispensed in 2018, almost 90% of prescription items dispensed in the community in England were free of charge. Almost 63% of all items were dispensed free of charge because the patient was aged 60 or over. The prescription charge exemptions cover 3 broad categories:
those of a certain age, that is those:
under 16
aged 16 to 18 in full time education
aged 60 and over
those on low income, that is via certain Department for Work and Pensions (DWP) benefits and tax credits (which will largely be replaced by Universal Credit) and the NHS Low Income Scheme
those with certain medical conditions and expectant or new mothers.