Over 85% of all prescriptions are obtained free of charge. The income from charges actually finances less than 1% of the costs of the NHS, and about 6% of the costs of those prescriptions. Prescription charges raise revenue of about �500m per year, about 40% of all income raised from NHS charges.
Whilst this might seem small compared to say�. a bank bail out loan, if the charges were abolished, they would be funded by other means, quite probably through additional and extra taxes on the working tax payer. The tax paying, prescription paying public, wouldn�t gain anything, but would likely pay more than they do now through PAYE.
R1s �28 per annum could be more like �400 or so, and for those not on regular prescription, it would be a larger premium.