Government moves to relax the rules governing pharmacies have been criticised as a "missed opportunity" by the Office of Fair Trading.

The proposed overhaul of the prescription rules, announced by health minister Rosie Winterton, could lead to the approval of internet and mail order pharmacies.

The move will also pave the way for large supermarket-run out of town chemists and 24-hour pharmacies.

There were concerns that the plans could lead some smaller community pharmacies to close.

But John Vickers, the OFT chairman, said: "While some liberalisation is better than no liberalisation, we see this as a missed opportunity."