Drugs and Medical Equipment: Cost Effectiveness

(asked on 6th November 2024) - View Source

Question to the Department of Health and Social Care:

To ask the Secretary of State for Health and Social Care, what steps he is taking to help ensure value for money in (a) medicines and (b) medical supplies in the NHS.


Answered by
Karin Smyth Portrait
Karin Smyth
Minister of State (Department of Health and Social Care)
This question was answered on 13th November 2024

Processes are in place to ensure that new medicines represent a clinically and cost-effective use of resources before they are routinely funded by the National Health Service in England. New licensed medicines are evaluated by the National Institute for Health and Care Excellence (NICE), which makes recommendations for the NHS on whether they should be routinely funded based on an assessment of their costs and benefits. The NICE aims, wherever possible, to issue its recommendations close to the point of licensing, and the NHS in England is legally required to fund medicines recommended by the NICE, normally within three months of the publication of final guidance.

Furthermore, the United Kingdom has had controlled spend on branded medicines through a series of voluntary agreements since 1957. The new Voluntary Scheme for Branded Medicines Pricing, Access, and Growth is expected to generate the NHS approximately £14 billion in savings over five years in medicines expenditure that can be made available to provide the best possible treatment and care for NHS patients, grow the workforce, and cut waiting lists.

Regarding value for money in medical supplies for the NHS, the sourcing, delivery, and supply of healthcare products is managed by NHS Supply Chain. Their aim is to leverage the collective buying power of the NHS to drive savings and provide a standardised range of clinically assured, quality products at the best value. The Department is committed to realising the full potential of NHS Supply Chain to deliver greater savings and efficiencies alongside a broader value proposition focussing on supply chain resilience, product safety, enabling access to innovation, social value, sustainability, and ethical considerations. NHS Supply Chain is continuing to work together with the Department, NHS England, NHS trusts, suppliers, and other system partners across the country to improve procurement in the NHS. This will be achieved through ongoing collaboration, partnership working, and innovation.

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