Dominic Hannigan (Meath East, Labour)
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Question 156: To ask the Minister for Health the amount of money that would be saved if the 2009 level of 16.4% of generic drugs was increased to the Netherlands figure of 57% use of generic drugs; and if he will make a statement on the matter. [25249/11]

Róisín Shortall (Dublin North West, Labour)
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The Government is fully committed to increasing the usage of generic medicines to achieve greater value for money in pharmaceutical expenditure and to help reduce the cost to individuals of their medications.

In 2008 approximately 8% (€67.12 million) of the total ingredient cost of drugs dispensed under the GMS scheme was spent on generic drugs. Approximately 4% (€15.32 million) of the total ingredient cost of drugs dispensed under the Drug Payment and Long Term Illness Schemes in 2008 was spent on generic drugs.

Under the GMS Scheme in 2008 the ingredient cost of proprietary drugs with no generic equivalent was approximately €658.67 million, representing 73% of the total ingredient cost. Under the Drug Payment and Long Term Illness Schemes the ingredient cost of proprietary drugs with no generic equivalent was approximately €301.04 million, representing 79% of the total ingredient cost. 19% (€163.36 million) of the total ingredient cost of medicines was spent on proprietary products where there was an equivalent generic product available on the GMS scheme. 17% (€64.40 million) of the total ingredient cost of medications was spent on proprietary drugs where there was an equivalent product available under the Drug Payment and Long Term Illness Schemes.

The potential savings arising from using generic drugs instead of proprietary drugs, where there is an equivalent generic product available, is dependent on a number of factors, in particular, the price differential between the proprietary drugs and the equivalent generic drugs. Therefore, it is not possible to provide an answer to the question posed by the Deputy. The Department of Health has finalised the Heads of the proposed Health (Pricing and Supply of Medicines) Bill. This legislation will introduce a system of reference pricing and generic substitution for prescribed medicines. A number of high volume medicines are expected to come off patent in the coming years and this will increase the scope for savings through the greater use of generic medicines. It is expected that the legislation will promote price competition among suppliers and ensure that lower prices are paid for these medicines resulting in significant savings for taxpayers and patients.

Prescribing practices are a significant factor in the usage of generic medicines. The HSE is working in partnership with key health professionals to develop pathways for quality prescribing, promoting an extended role of the use of clinical protocols for the delivery of evidence-based prescribing, developing the role of community pharmacists and promoting the introduction of patient-held prescribing records. In addition, the HSE Primary Care Reimbursement Service has introduced an on-line facility for GPs to review and self-audit their individual prescribing practice in comparison with the national average, which has been standardised for the individual GP's patient profile.

I intend to undertake a closer examination of prescribing patterns and I hope to finalise the details of this initiative shortly.