Thyroid Diseases: Drugs:Written question - 143641

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(Twickenham)
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Asked on: 14 May 2018
Department of Health and Social Care
Thyroid Diseases: Drugs
Commons
To ask the Secretary of State for Health and Social Care, what assessment he has made of the potential to reduce the cost to the NHS of treating hypothyroidism by procuring relevant medicines from (a) from licensed providers other than Concordia and (b) appropriately accredited overseas providers.
A
Answered by: Steve Brine
Answered on: 17 May 2018

The Net Ingredient Cost (NIC) of levothyroxine and liothryonine dispensed in England in each of the last three years is provided in the following table.

NIC1 of prescription items dispensed in the community in England

British National Formulary Chemical Name

2015

2016

2017

Levothyroxine Sodium

£104,482,222

£97,074,190

£86,942,415

Levothyroxine Sodium and Liothyronine

£665,394

£1,000,049

£1,270,675

Liothyronine Sodium

£22,188,778

£32,804,312

£30,237,512

Total

£127,336,394

£130,878,552

£118,450,601

Source: Prescription Cost Analysis

Note:

1NIC is based on the price listed in the Drug Tariff. It does not take into account for example any discounts and therefore the price the National Health Service paid will be different.

Both levothyroxine and liothyronine are unbranded generic medicines. For unbranded generic medicines, the Department encourages competition between suppliers to keep prices down. In primary care, community pharmacies are incentivised to source products at the lowest possible cost and in secondary care, competitive tenders ensure value-for-money to the NHS.

Liothyronine is currently the subject of an investigation by the Competition and Markets Authority, which has provisionally found that the single supplier of the product abused its dominant position to overcharge the NHS by millions of pounds for liothyronine tablets. A provisional decision does not necessarily lead to an infringement decision. Where companies have breached competition law, the Department will seek damages and invest that money back into the NHS.

Until recently, only one marketing authorisation had been granted for liothyronine. However, there are now multiple marketing authorisations for liothyronine and as a consequence of this increased competition it is expected that prices will go down.

Any medicine authorised in another European Union Member State can be imported into the United Kingdom, as long as the imported product has no therapeutic difference from the same UK product. The importer must hold a Wholesale Dealers Authorisation and a parallel import licence for the product from the Medicines and Healthcare products Regulatory Agency (MHRA). The criteria of the simplified parallel import scheme include the requirement that the UK and imported products have a ‘common origin’. In practice this usually means that they are authorised to the same company or to related companies.

Medicines unlicensed in the UK may be imported by importers holding an appropriate Wholesale Dealers Authorisation or Manufacturer’s “Specials” Licence and who notify the MHRA. Unlicensed medicines may only be imported to meet the special clinical needs of individual patients where there is no suitable licensed medicine available. Only clinical needs are admissible, not reasons of cost or other non-clinical considerations.

Grouped Questions: 143640

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