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AI FOR PHARMACIES & DATA PROTECTION
Balancing Innovation with Privacy Rights
A
rtificial Intelligence (AI) is revolutionising the way pharmacies operate within healthcare, offering transformative
benefits in diagnostics, treatment planning, dispensary operations, efficiency and patient engagement.
AI Opportunities in a Pharmacy Setting A growing number of AI technologies are being developed, tested and adopted across healthcare providers, including pharmacies.
These innovations include: • Automation in drug dispensary and prescription processing, improving speed and accuracy.
• AI assistants and chatbots to streamline routine patient interactions.
• Predictive analytics to identify patients needs and build patient profiles.
• Administrative automation to reduce manual workload and improve operational efficiency.
Pharmacies are embracing AI to enhance patient care and reduce costs, but must navigate risks around data protection, privacy, consent, compliance and accountability.
AI & Data Protection Challenges Pharmacies must process personal data in accordance with the UK Data Protection Act, UK GDPR and the newly enacted Data Use and Access Act 2025, which received Royal Assent on 19 June 2025, expected to be implemented by June 2026.
Key requirements include: • Lawful Basis for Processing When using AI, pharmacies must establish a lawful basis for processing personal data. This may be based on patient consent, scientific research, or public interest in public health.
• Transparency Patients must be clearly informed about how their data will be used, especially when AI
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systems are involved. The effects of AI processing may not be immediately obvious, so it is essential to explain the purpose and potential consequences—positive or negative.
• Automated Decision-Making The Data Use and Access Act 2025 revises the approach to using AI for automated decisions about patients. Compliance with these new requirements must be prioritised.
• Data Minimisation & Security Pharmacies should only process the minimum data necessary to achieve the intended outcome. Due diligence is essential when procuring third-party AI technologies. Conducting Data Protection Impact Assessments (DPIAs) ensures privacy controls are embedded from the outset.
AI & Ethical Challenges Ethical considerations can be complex.
For example: • Bias AI systems can produce bias results and can hallucinate. If data quality is poor or inaccurate, the results may be skewed and inaccurate which could have a detrimental effect on patient or negatively impact patient care. This has the potential to increase the risk of complaint, claims and other legal issues arising for pharmacies.
• Consent Patient consent can be challenging due to the perceived power imbalance between clinician and patient and challenges in relation to transparency and clarity and communicating the right to opt-out where applicable. Seeking advice and training on this point can assist pharmacies in successfully navigating these challenges.
• Accountability Identifying AI tools to assist your pharmacy may take time and demonstrating
accountability with data protection law is crucial to the decision making process. Reaching a sound decision which meets legal, privacy and ethical standards while also meeting your commercial and operational needs may involve consultation and collaboration between a number of stakeholders and professional advisors.
Best Practices for AI & Data Protection To ensure responsible and compliant use of AI in pharmacy practice, consider the following:
• Define a clear use case and purpose for processing personal data via AI.
• Complete a Data Protection Impact Assessment to document your approach and embed privacy and ethical safeguards.
• Minimise personal data processed to only what is strictly necessary.
• Ensure transparency by clearly communicating your AI strategy to patients.
• Audit AI tools regularly to identify bias, hallucinations, or security risks.
• Manage consent in accordance with data protection law.
AI has the potential to improve Pharmacy operations and create efficiencies and cost savings but it must be deployed responsibly and used in accordance with legal requirements.
Thorntons Data Protection Team can assist your practice with the safe introduction of innovative AI tools.
MORGAN O’NEILL Director of Data Protection 0330 236 7008 •
moneill@thorntons-law.co.uk
LORETTA MAXFIELD Partner
01382 346814 •
lmaxfield@thorntons-law.co.uk
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