Question to the HM Treasury:

To ask the Chancellor of the Exchequer, how much income HMRC receives annually from charging VAT on medicines donated to patients through compassionate access schemes.

Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)

HMRC does not hold information on the annual revenue from VAT on donated medicines. This is because businesses are not required to provide a breakdown by product in their VAT returns, as this would impose an excessive administrative burden.

I have heard from firms and others that the VAT rules in this area may impact the sector’s ability to donate medicines. On 23 June, I announced that the Government will take forward a new approach to address this issue as soon as possible. The costing for any new tax measure will be provided in the usual way at the next fiscal event.

Question to the Department of Health and Social Care:

To ask the Secretary of State for Health and Social Care, what assessment he has made of trends in the level of delays to the Clinical Priorities Advisory Group (CPAG) prioritisation process and their potential impact on equitable access to treatment for people living with rare diseases.

Answered by Preet Kaur Gill

The Clinical Priorities Advisory Group (CPAG) makes recommendations on NHS England’s approach to commissioning treatments that are not routinely assessed through National Institute for Health and Care Excellence technology appraisals. Investment decisions are taken against a discretionary funding envelope which is set annually as part of the financial planning cycle based on affordability.

The 2026/27 CPAG annual prioritisation round was held in May 2026, and the recommendations are currently being considered. In addition, CPAG continues to meet regularly throughout the year to consider clinical policy propositions that are cost-neutral or cost-saving.

While no assessment has been made of trends in CPAG recommendations and their impact on people affected by rare diseases, all clinical policy propositions are supported by an Equality and Health Inequalities Impact Assessment (EHIA). The EHIA considers the potential impact of commissioning decisions on equality, health inequalities, and access to the relevant treatment for affected patient groups.

The Government is committed to improving the lives of those living with rare diseases under the UK Rare Diseases Framework. We published the fifth annual England action plan in February 2026, where we report on the steps we have taken to advance the priorities of the framework, including getting a diagnosis faster and improving access to specialist care, treatments, and drugs.

Question to the Department of Health and Social Care:

To ask the Secretary of State for Health and Social Care, what assessment he has made of the potential for the Innovative Medicines Fund to support access to treatments that are awaiting funding through the Clinical Priorities Advisory Group (CPAG) process.

Answered by Preet Kaur Gill

There are no plans to use the Innovative Medicines Fund to provide access to medicines awaiting consideration by the Clinical Priorities Advisory Group. The Innovative Medicines Fund is reserved for medicines that the National Institute for Health and Care Excellence has concluded are plausibly cost-effective, but where additional evidence is required to address resolvable clinical uncertainty. This approach ensures that the Innovative Medicines Fund supports value for money from medicines spending and does not undermine the established commissioning processes for medicines.

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