HL Deb 26 April 2001 vol 625 cc53-4WA
Baroness Howells of St Davids

asked Her Majesty's Government:

Whether they are willing to subsidise the cost of drugs for poor South Africans. [HL1755]

Lord Sainsbury of Turville

The Government agree that there is an urgent need to improve access to new and affordable drugs in South Africa and other developing countries. However, direct subsidisation may not be the most effective or sustainable solution. We are working on a range of policy measures which will increase the affordability of and access to drugs.

The Government are working with developing country governments to strengthen basic health systems, without which the poorest will be unable to access the necessary drugs regardless of cost. We have committed £1 billion since 1997 to help developing countries put in place effective health care systems.

The Chancellor announced in February, as part of the Global Child Poverty Initiative, and in the Budget statement on 7 March, a number of measures to help increase access to medicines in developing countries. We are also considering a range of policy options with industry, including tiered pricing agreements (selling drugs more cheaply in poor countries) and tax measures including tax credits. In addition we are discussing with other donors, UN agencies and developing countries a Global Health Fund for HIV/AIDS, malaria, tuberculosis and diseases of childhood.

We are also currently supporting a number of innovative public private partnerships aimed at tackling the diseases of poverty. These include the International AIDS Vaccine Initiative and support for the Global Alliance for Vaccines, the Medicines for Malaria venture, and LAPDAP to treat drug resistant malaria and the StopTB partnership.

The Government welcome moves by major pharmaceutical companies to reduce prices, and look forward to further reductions to make patented medicines for illnesses affordable in poor countries.