NHS Saves Hundreds of Millions of Pounds by Switching to Generics - What More Can Be Done?
The NHS has saved hundreds of millions of pounds last year, by switching from some branded medicines to generics.
Switching just the 10 most costly medicines to better value alternatives that did the same thing has saved hospitals in England £324 million in that year alone.
In 2017/2018, NHS Improvement targeted £250 million in savings for NHS trusts that used the 10 most costly medicines, but ended up exceeding that target by £74 million.
Next year, there may be further large savings as NHS trusts are being encouraged to use a biologically similar medicine - trastuzumab - in place of the breast cancer drug, Herceptin.
This demonstrates the greater opportunities for the suppliers of generics and biologics within the NHS.
Comment
The Government recently announced £20 billion extra funding for the NHS per year by 2023, as part of a new settlement. Even with that extra money, however, it is important to spend it wisely. There is still so much more demand on budgets than money available. It is encouraging to see NHS Improvement making significant savings, while still being able to provide equivalent care.
I want to see further steps taken to improve the uptake of technology - which will ultimately be able to see improved outcomes and more efficient care. This will need investment in the technology to benefit from the longer term advantages.
Another aspect of spending the limited NHS pot more wisely is to use existing resource, such as community pharmacy, in more public health initiatives to prevent disease, rather than the more costly spend in the long term on cures and treatments.
With technology and the availability of community pharmacy, it is a case of "a stitch in time, saves nine".