§ Mr. Pavittasked the Secretary of State for Social Services why he has endorsed the increase of drug prices, in many cases 290W reaching 50 per cent., contained in the trade price list, issued July, 1972, sent to him by the hon. Member for Willesden, West; if these increases are within the arrangements of the voluntary price regulation scheme; if the form of the covering letter, which by implication makes his department partly responsible for the increases, has his approval; and if he will make a statement.
§ Mr. AlisonThe price increases of National Health Service medicines contained in the trade price list sent to me by the hon. Member were agreed by the Department under the Voluntary Price Regulation scheme because the financial information supplied showed that they were justified. The draft of the covering letter was not referred to the Department, but I see no reason why the company should not allude to the negotiations which took place. The average increase on National Health Service turnover was less than 5 per cent. The highest individual increase was 9.5 per cent. and no increase was made on one major product.