Jollyes said that its proposition to offer vaccinations at a significantly reduced cost to the traditional veterinary practice has been hampered by Royal College of Veterinary Surgeons (RCVS) regulations that mean it must offer out of hours support in the event of an allergic reaction to the vaccination.
In response to the Competition & Market Authority’s (CMA) proposed market investigation reference (MIR) into veterinary services for household pets, Craig Smith, director of retail operations at Jollyes, said: “Our proposition was devised to provide an alternative solution to those who could not afford a traditional route. We have grown our offering significantly over the last 12 months and now offer community pet clinics (CPCs) in 75 stores.
“We want to expand further and have plans to open a further 125 CPCs; it is apparent to us that a considerable amount of out of hours provision is controlled by large corporate veterinary groups.
“As our business effectively undercuts theirs, they are refusing to provide out of hours cover, which means that vaccination prices in the market are kept high and we are unable to compete and offer lower priced services.”
Mr Smith said Jollyes has experienced this issue specifically in Newport, Isle of Wight; Plymouth, Devon; and Harrogate, North Yorkshire.
“Furthermore, RCVS only permits our MRCVS to undertake one service – either vaccinations or flea and worming – but not both,” Mr Smith said.
“This clearly undermines consumer choice and competition. We are concerned that our pricing strategy may be at the centre of these regulatory concerns.”
Ahead of store openings in Northampton and Nuneaton, Jollyes carried out desktop research to compare the cost of services it provides in its CPCs to the six large veterinary groups identified in the CMA report.
“The significant price differential for cat and kitten microchipping is especially concerning in light of legislative changes in England that will make microchipping compulsory in June 2024,” Mr Smith said.
Jollyes has informed CMA that it is ready to assist the body as it progresses to a full MIR.
“We already believe that there may be a case for ensuring the big vet services providers offer out of hours support at a capped cost,” Mr Smith added.