HC Deb 26 October 1989 vol 158 c531W
Mr. Ashley

To ask the Secretary of State for Health whether the National Health Service ever pays a higher price for pharmaceutical drugs than that charged by manufacturers to other customers; and what procedure there is for routinely comparing prices.

Mr. Mellor

The prices of branded medicines supplied to the National Health Service are controlled through the operation of the pharmaceutical price regulation scheme under which an overall limit is set on the profit which a company can make from such sales. Manufacturers' list prices apply to the home market generally; they do not distinguish between supply for use by NHS or private patients. There are no arrangements for individual price comparisons.

Mr. Kirkwood

To ask the Secretary of State for Health what plans he has to replace or modify the pharmaceutical price regulation scheme due to come to an end in October 1992, in light of his plans for the National Health Service, outlined in the White Paper and accompanying documents.

Mr. Mellor

When the changes in "Working for Patients" have been implemented they will place a greater emphasis for prescribers on the price of drugs, and it may be sensible to modify the pharmaceutical price regulation scheme to reflect the fact. Paragraph 2.1 of the scheme, a copy of which is in the Library, provides the flexibility required to facilitate this.