Bristol Myers Squibb Sets UK Drug Price Same as US Amidst Rebate Controversy

What's Happening?

Bristol Myers Squibb (BMS) has announced that it will set the price of its new schizophrenia drug, Cobenfy, in the UK at the same level as in the US. This decision comes as the UK faces a backlash from pharmaceutical companies over a controversial rebate system on medicine sales to the NHS. BMS's move is seen as a strategic response to President Trump's efforts to enforce a most favoured nation approach to drug pricing, which demands that drugmakers offer the US the best prices compared to other developed nations. The company plans to file Cobenfy with the UK regulator soon, aiming for a first-in-Europe approval and launch next year.

Why It's Important?

The decision by BMS to align UK drug prices with US prices highlights the ongoing global debate over drug pricing and access to medicines. This move could influence how pharmaceutical companies negotiate prices with national health services, potentially affecting drug affordability and availability. The controversy over the UK's rebate system has already led to some companies reconsidering their investment strategies in the country, which could impact the UK's pharmaceutical industry and healthcare system. The broader implications of this pricing strategy may also affect international drug pricing policies and negotiations.

What's Next?

BMS is expected to file Cobenfy with the UK regulator shortly, with hopes for approval and launch next year. The company's stance may prompt further discussions between pharmaceutical companies and the UK government regarding drug pricing and investment in new medicines. The outcome of these negotiations could set precedents for future pricing strategies and healthcare policies in the UK and potentially other countries.