Government to seek better value for drugs used by NHS

New measures have been announced by the government to ensure the NHS is getting the best possible value for the medicines it purchases.

Under these plans, the National Institute for Health and Care Excellence (NICE) has been handed a new blueprint to examine at the benefits these drugs bring to patients and wider society.

The regulator will be tasked with assessing new medicines as part of a value-based pricing model set for introduction in January 2014, working alongside patient groups, the NHS and the drugs industry.

Additionally, the Department of Health has launched a consultation to strengthen the statutory pharmaceutical pricing scheme and will be negotiating with the industry to clarify the details of voluntary pricing guidelines.

Health minister Lord Howe said: "NICE is a world leader in the assessment of medicines and other treatments and will now work with patient groups, the NHS and the drugs industry to take this important work forward."

Established in 1999, NICE became a non-departmental public body in April 2013 and has taken on additional responsibilities for developing guidance and quality standards in social care.