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OFT's value-based pricing scheme is well-founded, but could increase overall NHS drug spend
05-29-2007 · EurekAlert!A report by the OFT has recommended that drug pricing is based not on how much the drug costs to develop, but on the benefit that the drug can bring. After examining the proposals for a paper in Health Economics, Professor Karl Claxton believes that such Value-Based Payments (VBP) make sense. However, he's worried that the current plan is overly generous toward pharmaceutical companies and could lead to a rise in the NHS's total bill.
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