Website of the Department of Health

Government and Industry in drug price deal

A new deal reached today between the Government and the pharmaceutical industry means that more patients will benefit from a wider range of innovative drug treatments at a fair price to the NHS.

The flexible pricing scheme agreed will ensure that medicines fairly reflect their value to patients, branded drugs will see their price cut, and industry innovations will be encouraged and rewarded. As a result, patients will have faster access to new medicines that are clinically and cost effective.

Today's agreement with the pharmaceutical industry meets commitments set out both in Lord Darzi's review of the NHS earlier this year and the National Cancer Director's review of access to medicines. It also reflects the Office of Fair Trading's recommendation that value should be better reflected through the Pharmaceutical Price Regulation Scheme (PPRS).

• Full news story (opens new window)