Study Finds New Drugs Are Detrimental to Nation’s Health
Researchers have found that diverting NHS funds from existing services to pay for expensive new drugs could be detrimental to the nation’s health. The London School of Economics (LSE) researchers cautioned that the cost of some innovative medicines may not always justify the benefits they provide.
A study published in the Lancet recommended reforming England’s pharmaceutical pricing policy to better cater to the health needs of all NHS patients rather than a small number who may benefit from costly new drugs.
Although NICE, the NHS spending watchdog, emphasized its role in preventing a “postcode lottery” in patient access and potential cost increases, the researchers suggested that redirecting funding from new drugs to existing services could generate more years of full health for others.
The LSE team proposed lowering NICE’s cost-effectiveness threshold, which currently stands at £20,000 to £30,000 per additional year of full health gained. This adjustment, they argued, would enable the NHS to negotiate better prices for new medicines and consider the impact on other users who may lose out due to resource reallocation.
More Lost Than Gained
An analysis of NICE-approved drugs between 2000 and 2020 revealed that these medicines generated 3.75 million additional years of full health at a cost of £75 billion. The researchers estimated that redirecting this funding to existing services could have produced 5 million years of full health for other patients.
Lead author Huseyin Naci stressed the importance of balancing the benefits of new drugs with their significant costs. He suggested that NICE’s threshold should be revised to align with the NHS’s spending needs.
Another aspect highlighted in the study was the emphasis on cancer and immunology treatments in new drug appraisals. While these treatments are vital, the researchers pointed out that other conditions with high mortality rates, such as vascular disease, receive less attention in drug evaluations.
‘Do No Harm’
The study concluded that decision-makers must prioritize population health and avoid unintentional harm caused by skewed funding allocations for new drugs. The analysis suggested that over a 20-year period in England, decisions on new drugs may have led to a net health loss of 1,350,000 quality-adjusted life years.
Reflecting on the findings, health economist Daniel Howdon highlighted the importance of considering the broader impact of new drug approvals, noting that the focus is often on patients who benefit rather than those who may suffer from reduced funding for other services.
NICE’s programme director, Jacoline Bouvy, reiterated the need for rigorous evaluation and transparent decision-making to ensure efficient use of NHS funds. She emphasized the trade-offs involved in introducing new, costly treatments and the importance of evaluating their cost-effectiveness compared to current standards of care.
