HC Deb 15 July 1998 vol 316 cc217-8W
Mr. Hoyle

To ask the Secretary of State for Health if he will make a statement on the contribution of the United Kingdom-based pharmaceutical industry to the United Kingdom economy. [47803]

Mr. Milburn

The pharmaceuticals industry is a significant contributor to the United Kingdom balance of trade. In 1997, the industry accounted for a £2,292 million trade surplus from £5,484 million in exports. This was a 1.9 per cent. increase over the 1996 surplus.The industry also accounts for some 75,000 UK jobs.

Mr. Hoyle

To ask the Secretary of State for Health what assistance is given to the pharmaceutical industry for research and development on new drugs. [47818]

Mr. Milburn

The principal form of assistance is through the prices of medicines bought by the National Health Service. The pharmaceutical price regulation scheme, which controls the profits and indirectly the prices of pharmaceutical companies from the sale of medicines to the NHS, makes allowances available for research and development to encourage the development of new medicines. This support amounted to £556 million for 1994, up from £539 million for 1993.