Tommy Broughan (Dublin Bay North, Independent)
Link to this: Individually | In context | Oireachtas source

276. To ask the Minister for Health his views on reports that almost all the available funding allocated to the HSE for new medicines in 2019 has already been used; the steps he is taking to address inflated prices for lifesaving new drugs from major drug companies; and if he will make a statement on the matter. [14910/19]

Simon Harris (Wicklow, Fine Gael)
Link to this: Individually | In context | Oireachtas source

Medicines play a vital role in improving the overall health of Irish patients. Securing access to new and innovative medicines in a timely manner is a key objective of the Government of Ireland. However, the challenge is delivering on this objective in an affordable and sustainable way. 

To date in 2019, 17 new medicines and 3 new uses of existing medicines have been approved by the HSE (at an additional cost of approximately €150m over five years). 

The HSE National Service Plan 2019 includes a provision of €10m for new drugs enabled by an “invest to save” programme.  In accordance with the National Service Plan, the HSE is committed to the introduction of cost reduction measures to create the financial headroom, for new drugs in 2019.   To assist the HSE in creating this financial headroom, the National Service Plan 2019 includes a provision of €3m for the establishment of a HSE dedicated pharmaceutical value improvement programme, to bring about greater efficiencies in medicines management and to promote changes in prescribing behaviour in favour of more clinically efficient and cost-effective products in both community and hospital settings.

These new measures are expected to complement existing cost control initiatives which are being undertaken by the HSE under the auspices of the Medicines Management Programme. Among the initiatives already being pursued are improvement in practices for the procurement of drugs in hospitals and the designation of preferred products, with a focus on high cost prescribing areas.

The HSE is also strengthening its pharmacy resourcing capacity in order to target particular areas, such as biosimilars. To date substantial progress has been achieved in increasingly biosimilar prescribing rates in acute hospitals. For example the prescribing rate for the biosimilar drug infliximab has increased from 5% in 2017 to 40% in 2018. The biosimilar drug rituximab became available in July 2017 and the dispensing rate has already increased to 25%. The HSE is working on identifying barriers to the prescribing of biosimilars with a specific focus on education and supports. It is seeking to increase understanding of biosimilars through targeted presentations to clinicians and hospitals.

The Department of Health proposes to build on these positive developments and to bring forward a National Biosimilar Medicines Policy statement that would support and complement the many initiatives which are already underway.

In spite of significant progress on drug costs achieved from reference pricing and the price reductions under the IPHA Agreement, the Health Service is still facing significant challenges in relation to the affordability of medicines – mainly related to the emergence of increasing numbers of very expensive products, particularly in the high-tech medicines area. 

In that regard,  I and officials have been engaging over the past number of years, with a number of voluntary EU forums.  In June 2018, I signed the Beneluxa Initiative on Pharmaceutical Policy. This Agreement is in line with my objective to work with other European countries to identify workable solutions, in an increasingly challenging environment, to secure timely access for patients to new medicines in an affordable and sustainable way.  Members of the Beneluxa Initiative will work closely together to identify pragmatic solutions to the challenges which we all now face with medicine pricing, sustainability and supply.