Scepticism over
pharmafile | July 29, 2008 | News story | |Â Â Â
NICE will receive a record £100 million from the government in attempt to end the UK's postcode lottery and speed up access to new drugs.
The unprecedented sum – almost four times NICE's current annual budget – looks to be good news for patients and the pharma industry, but doubts and scepticism remain over whether it can achieve its goal.
The money was announced by health secretary Alan Johnson when he spoke to the BBC about the new NHS Constitution, which promises patients legal rights to all drugs that have been NICE approved.
His comments first sparked reports that the £100 million would go towards the cost of new drugs, but now Pharmafocus can confirm that none of it will go to the local trusts that have to pay for patient treatments.
Instead the full sum will go solely to NICE in order to speed up its processes, with nothing put towards the drugs bill despite claims it will rise with the new patient rights and plans for fast-track appraisals.
A government spokesperson said: "The readily quantifiable costs of the NHS Constitution to the NHS are estimated as up to £100 million per annum. These costs primarily arise from speeding up NICE processes and increased uptake of NICE approved drugs."
The Department stressed there was no need for PCTs to spend more money on medicines – possibly due to the new pricing deal between the government and the pharmaceutical industry, estimated to save the NHS £500 million a year on drugs. This link, though not explicit, was hinted at by Alan Johnson.
But Noel Staunton, an industry consultant specialist in pricing remained sceptical about the new investment. He said the round sum of £100 million seemed too easy a figure, and was more of a "sound bite" than the product of studied research.
He added: "I am sceptical about it, and I think a lot of the money will be lost in bureaucracy."
Mr Staunton doesn't believe the investment will in any way abolish the postcode lottery, at least not in the next few years, but he does see it as positive for pharma when combined with the Darzi reforms and the new PPRS.
He added: "We may soon catch up with the rest of the civilised world and see prescribing as a way of improving outcomes, not cost-cutting."
The Department of Health has not yet announced when it will release the money to NICE, but has said it marks the start of a regular investment that is likely to double over the next four to five years.
