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German Pharmacy Closures Accelerate as Financial Pressure Mounts

With closures reaching a record low of 16,908 pharmacies, industry advocates push for higher fees and targeted support to sustain essential services.

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Overview

  • Germany's pharmacy density has fallen to 21 per 100,000 residents, significantly below the EU average of 32, with 133 closures reported in the first four months of 2025 alone.
  • Pharmacies face rising operational costs and stagnant reimbursement rates, with profit margins stuck at a historic low of 4.4% despite a 2024 revenue of €70.4 billion.
  • The government has proposed raising the fixed dispensing fee to €9 per prescription, but pharmacy representatives argue this increase is insufficient to offset rising costs.
  • Essential services like home delivery are in decline, particularly in rural and underserved areas, where a quarter of pharmacies are in precarious financial situations.
  • The government has abandoned the light-pharmacy model, but further negotiations on compensation reforms are anticipated to address the sector's financial strain.