The Department of Health published its initial consultation on value-based pricing

Dear All,

this was just released by the Department of Health in the UK.

best wishes
Ulf

Patients to benefit from new drug pricing system
16 December 2010
Department of Health
Proposals that will in future enable more NHS patients to access innovative medicines were set out by Health Secretary Andrew Lansley today. The plans for pricing drugs according to how they benefit patients, the NHS and wider society were published in a consultation: A new value-based approach to the pricing of branded medicines.
The consultation looks at how a medicine’s value can best be measured and reflected in the price the NHS pays for it. The new arrangements would mean that more licensed and effective drugs will be available to NHS patients and clinicians at a price that reflects the value they bring.
While the current system of pricing medicines has tried to achieve a balance between reasonable prices for both the NHS and the pharmaceutical industry, it does not sufficiently promote patient access or innovation effectively.
Health Secretary Andrew Lansley said:
“I want to ensure patients have access to the right medicines and treatment. I do not want in future for the effect of the medicines pricing system to be the denial of effective and appropriate treatments to NHS patients. So we need to change the way drugs are priced and ensure value for money for the NHS. Doctors should be able to focus on what matters most – achieving the best health outcomes for their patient, not debating the relative value and price of a drug.
“Value-based pricing will ensure that the price the NHS pays for medicines are based on an assessment of its value, looking at the benefits for the patient, unmet need, therapeutic innovation and benefit to society as a whole.
“I look forward to working with the NHS and the pharmaceutical industry to develop a system that encourages medical research and rewards truly innovative breakthrough drugs.”
As an international leader in the evaluation of drugs and health technologies, the National Institute for Health and Clinical Excellence (NICE) will continue to have an important advisory role in the new system, including in assessing the clinical benefits of new medicines and giving authoritative evidenced-based advice to clinicians.
Value-based pricing will be introduced from 2014 following the expiry of the current Pharmaceutical Price Regulation Scheme arrangements at the end of 2013.
This consultation invites contributions from all interested parties towards the development of the future model of drug pricing.
Notes to editors
1. The consultation on the new drug pricing system, A new value-based approach to the pricing of branded medicines, can be found at:
http://www.dh.gov.uk/en/Consultations/Liveconsultations/DH_122760
2. The current Pharmaceutical Price Regulation Scheme runs for the period of 2009 to 2013.
3. NICE produces a range of evidence-based guidance on the treatment and prevention of ill health. Its appraisals of drugs and other technologies look at all available clinical evidence, including data submitted by the drug’s manufacturer and the most recent clinical research. Following evaluation, NICE provides guidance to the NHS on how a particular drug or technology can best be used in the NHS. Please see www.nice.org.uk for more information.
4. For further information, please contact the Department of Health press office on 020 7210 5221.