Bargain drugs: could the NHS cut costs by taking the budget option?

The NHS could save over £200 million a year just by using a cheaper version of one drug, according to a study by the University College London Hospitals Foundation Trust.

Thousands of people in the UK are prescribed angiotensin receptor blockers (ARBs) to treat high blood pressure and heart disease. The most commonly used drug in the group is a branded medicine called candesartan.

A study found that switching patients to losartan, an older generic form of the drug, dramatically reduced the cost of treatment without affecting clinical outcomes.

Researchers compared the price and clinical benefits of the two drugs. Lead scientist Dr Anthony Grosso explains why one is so much cheaper than the other: “When drugs are first launched they are protected by patents and are relatively expensive as the pharmaceutical companies need to recover their research and development costs.”

“Once these patents have expired, the manufacturer loses market exclusivity and generic drugs can be produced, which ultimately drives down the price. This offers significant opportunities for cost savings, but only if the clinical evidence supports the use of the less expensive generic drugs.”

Although candesartan reduced blood pressure slightly more than losartan the difference is unlikely to be cost effective, particularly when it is prescribed in combination with other drugs.

More research is needed to ensure clinicians are not trading short-term savings for a long-term, more expensive increase in cardiovascular risks. However, with budget cuts looming the NHS’s pharmaceutical bill has been tipped as an area where major savings could be made easily, with no effect on patient care.

Picture © C. Todd Lopez

References
Grosso, A., Bodalia, P., MacAllister, R., Hingorani, A., Moon, J., & Scott, M. (2011). Comparative clinical- and cost-effectiveness of candesartan and losartan in the management of hypertension and heart failure: a systematic review, meta- and cost-utility analysis International Journal of Clinical Practice DOI: 10.1111/j.1742-1241.2011.02633.x


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