UK Branded Pharmaceutical Clawback Levels Comparable to Greece and Romania

Consumer

Branded medication producers will soon be made to pay back over £3.3 billion in sales to the UK administration. This is a huge increase on the £1.8 billion last year and £0.6 billion the year before.

The move has been coined "excessive" by the Association of the British Pharmaceutical Industry, who insist that this will undermine the position of UK life science.

“Branded medication producers will soon be made to pay back over £3.3 billion in sales to the UK administration“

The maximum NHS expenditure for branded medications is 26.5%, and the restriction is increasing by 2% year. Any overspending is reimbursed by the sector.

The DHSC thinks the programme makes the cost of branded medicines manageable for the NHS and fosters a flourishing domestic life sciences sector by making the best value and most effective medications more accessible.

The Life Science sector sees the existing strategy as ineffective and is hoping for transparent negotiations with the government this year to alter the current arrangement. They plan to highlight how investment into branded medication has decreased 14% in the last 10 years.

The rate set for this year is over twice as high as similar countries, leaving UK clawbacks levels comparable to Romania and Greece.

UK medication expenditure totals 81p: £1 GDP. In contrast, Germany spent £1.94, while Japan paid £1.84.

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