HC Deb 23 May 1969 vol 784 c166W
Captain Kerby

asked the Secretary of State for Social Services if he will state the expenditure by the National Health Service on drugs for each of the last 10 years in tabulated form showing, respectively, the percentage in each year supplied by pharmaceutical firms of foreign origin and the percentage of such supplies that were liable for fixation of prices under foreign patent laws.

Mr. Snow

We are not aware of any supplies of drugs to the National Health Service that are liable for fixation of prices under foreign patent laws. Analysis of expenditure by country of ownership of the supplying company is readily available only for the general medical and pharmaceutical services and for the years 1961 to 1967. The table is as follows:

Year Total net ingredient cost (England and Wales £ million Percentage supplied by companies owned overseas Percentage
1961 43.9 71
1962 47.6 72
1963 51.9 72
1964 59.0 71
1965 70.7 69
1966 78.6 69
1967 84.3 69

Captain Kerby

asked the Secretary of State for Social Services what estimate he has made of the outlay of foreign currency during the last 10 years caused by the supply of drugs to the National Health Service from pharmaceutical firms of foreign origin, including those liable under foreign patent laws to fixation of prices; and what steps have been taken to prevent such loss of currency and with what results.

Mr. Snow

None; no special steps have been taken in relation to such firms; the analysis in the report of the Committee of Enquiry into the relationship between the pharmaceutical industry and the National Health Service (Cmnd. 3410) showed that the effect on the balance of payments of the operation of foreign-owned firms was broadly neutral.

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