OBJECTIVES Prescription charges were abolished in Wales in April 2007. We hypothesised that as a result, the demand for prescription medicines might increase, and compared the rates of dispensing of the 15 medicines that most frequently incurred a prescription charge, versus a region with similar socio-economic characteristics that continues to charge patients (NE England). METHODS Monthly data from 2002 to 2008 (one year post abolition) on the quantities of dispensed medicines were obtained from Health Solutions Wales and the Prescription Pricing Authority. Descriptive comparative analyses of unadjusted dispensing rates (per 1000 list size) were conducted for each medicine. RESULTS The combined dispensing rates for all 15 medicines increased significantly in both regions, but the change in Wales was higher than that in England (Wales change=57.67, p<0.0001, 95%CI=55.09 to 60.28; NE England change=30.18, p<0.0001, 95%CI 27.32 to 33.03). The difference between regions was statistically significant (difference=27.51, p<0.0001, 95%CI 23.66 to 31.35). Whilst an expected widening of the difference between regions was apparent for some medicines, factors beside the abolition of prescription charges are likely to account for the observed differences in others. For atenolol, a reduction in overall dispensing is observed to coincide with trial evidence that cast doubts for its suitability as a first-line drug for hypertension. The dispensing of co-codamol has risen dramatically in Wales, but not NE England, possibly related to different recommendations following the withdrawal of co-proxamol. CONCLUSIONS The abolition of prescription charges is associated with changes in dispensing rates in Wales for some evaluated medicines. However, the data require to be interpreted in the context of the low proportion of prescriptions that were previously charged, and changes in clinical practice.