UK Set to Pay 25% More for Innovative Medicines as Part of US Deal
The UK has agreed to pay a significant premium for new medicines over the next decade, following a zero-tariff deal with the United States. The deal is set to cost an estimated £3 billion annually and will see the National Health Service (NHS) in England allocate 0.6% of its budget towards innovative therapies, doubling its current allocation of 0.3%.
Critics have accused the government of caving in to US pressure, with Liberal Democrat leader Helen Morgan describing it as a "Trump shakedown" that will leave patients footing the bill. The party claims that NHS funding is already insufficient to absorb the costs, and warned against raiding budgets for care services.
However, NHS leaders argue that the deal will ultimately benefit patients by securing access to groundbreaking new treatments for conditions such as cancer and rare diseases. "This landmark agreement will prove worthwhile in terms of tens of thousands of patients receiving life-saving new drugs," said an NHS spokesperson.
The UK-US deal has also been hailed as a boost to the pharmaceutical industry, which had paused or scrapped major investments in protest over government approaches to drug pricing. The agreement includes a reduction in tariffs on medicines manufactured outside the US, allowing for increased exports of UK-made treatments.
Under the new arrangement, the National Institute for Health and Care Excellence (NICE) will increase its budget allocations for potentially life-extending drugs, paving the way for approvals of several more life-saving treatments. While some have questioned how these costs will be funded, sources within Whitehall say that hundreds of millions of pounds have already been allocated in the comprehensive spending review to cover the initial costs.
The agreement also includes changes to a longstanding NHS procurement scheme, with rebates reduced under the new voluntary arrangement for branded medicines pricing and access. This guarantees suppressed prices for branded drugs should demand exceed annual caps, similar to schemes in other European countries.
The UK has agreed to pay a significant premium for new medicines over the next decade, following a zero-tariff deal with the United States. The deal is set to cost an estimated £3 billion annually and will see the National Health Service (NHS) in England allocate 0.6% of its budget towards innovative therapies, doubling its current allocation of 0.3%.
Critics have accused the government of caving in to US pressure, with Liberal Democrat leader Helen Morgan describing it as a "Trump shakedown" that will leave patients footing the bill. The party claims that NHS funding is already insufficient to absorb the costs, and warned against raiding budgets for care services.
However, NHS leaders argue that the deal will ultimately benefit patients by securing access to groundbreaking new treatments for conditions such as cancer and rare diseases. "This landmark agreement will prove worthwhile in terms of tens of thousands of patients receiving life-saving new drugs," said an NHS spokesperson.
The UK-US deal has also been hailed as a boost to the pharmaceutical industry, which had paused or scrapped major investments in protest over government approaches to drug pricing. The agreement includes a reduction in tariffs on medicines manufactured outside the US, allowing for increased exports of UK-made treatments.
Under the new arrangement, the National Institute for Health and Care Excellence (NICE) will increase its budget allocations for potentially life-extending drugs, paving the way for approvals of several more life-saving treatments. While some have questioned how these costs will be funded, sources within Whitehall say that hundreds of millions of pounds have already been allocated in the comprehensive spending review to cover the initial costs.
The agreement also includes changes to a longstanding NHS procurement scheme, with rebates reduced under the new voluntary arrangement for branded medicines pricing and access. This guarantees suppressed prices for branded drugs should demand exceed annual caps, similar to schemes in other European countries.
I mean, £3 billion a year is a lot of dosh, but I guess it's better than nothing 
At least the NHS is getting some of that cash, right? But what really gets me is those critics saying it's just another way for the US to stick it to us 
Like we don't already pay enough taxes. I'm all for helping patients get access to life-saving meds, but can't we find a more cost-effective solution like, I don't know, negotiating better prices with pharmaceutical companies? 
3 billion quid every year? that's just insane 
what's next? are they gonna raise our council tax too? 
can't believe they're just handing over the reins to Big Pharma 
"landmark agreement" sounds like a load of hype 
! i get that we need better meds for cancer and rare diseases, but can't the govt just negotiate a better deal? 
. and what about the NHS funding already being super tight? how are they gonna make room for this? 
i guess we'll just have to wait and see if these meds really save tens of thousands of lives 
. and btw, who benefits from all this? the pharma industry, duh 
then maybe its worth it? seems like the pros outweigh the cons for now. hope they make it work without leaving patients footing the bill 
! And what about the NHS funding problems already? Its like theyre just pouring more money into the problem 
. We already know the NHS is underfunded and understaffed. How are they gonna make up for this new expense? The Liberal Dem's not being too harsh, but I think they're spot on in saying this is a Trump-style shakedown.
. It's not like we're talking about some flashy new gadget here - we're talking about real people's lives. And let's be real, the pharmaceutical industry needs this boost or it'll just take its ball and go home 
.
. And let's not forget, this deal is also supposed to be a win-win for the UK, with increased exports of homegrown treatments 
. So, yeah, I'm all for it 
. Bring on those tens of thousands of life-saving new drugs! 
. The NHS will have to cough up some serious cash (an estimated £3 billion annually 
. When you're already short on funds and care services are struggling, it's like throwing money out of a window 
with this new agreement. I mean, when you think about it, this deal could be a game-changer for the industry - more business and growth 
. But at what cost? That's something we need to keep an eye on 
they're finally making progress on getting those life-saving meds to patients 
It feels like we're sacrificing our collective well-being for access to 'groundbreaking' treatments that might not even work as advertised 
. And what about the environmental and social impact of increased pharmaceutical production and trade? 
.
Oh man, 25% more? That's insane! 
. And what about those who can't afford it? Poor people will be struggling to pay for their meds 
. It's like they're saying, "Hey, we'll give you access to life-saving treatments, but you gotta break the bank 
.
It's a small price to pay for saving lives, right? Plus, the pharmaceutical industry is already super psyched about this deal, which means they're more likely to invest in new meds, not just sit on their hands waiting for prices to go up. And let's not forget that we've already got some extra cash set aside from the comprehensive spending review... fingers crossed it all works out! 
i mean what's wrong with the EU or Canada that we gotta pay top dollar for meds? 