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UK Drafts NHS Drug Pricing Shift to Head Off US Tariffs

Officials outlined a 25% increase to NICE’s cost-effectiveness threshold in talks with the White House.

Overview

  • UK officials briefed the Trump administration this week on proposals to change how the NHS prices medicines.
  • The plan’s centerpiece would lift NICE’s cost-effectiveness threshold by about 25% from the current £20,000–£30,000 per QALY benchmark.
  • Raising the threshold would allow more high-priced drugs to reach patients and would increase overall NHS spending on medicines.
  • Ministers say talks with Washington are in advanced stages and they plan to brief UK pharmaceutical companies later this week, with the US response still unclear.
  • Trump has threatened tariffs of up to 100% on drug imports under a pact that ties preferential treatment to improved conditions for American pharma, as UK officials warn investment has been drifting away.