Several pharmaceutical companies have been fined more than £ 260m for overcharging the NHS, a drug used to treat life-threatening conditions.
According to the Competitive Markets Authority (CMA), these companies have practices such as buying potential rivals to keep them out of the market, raising drug prices as the only provider, and paying off competition. Engaged in.
Regulators have fined Actavis UK, Auden Mckenzie, Allergan Plc, Accord Healthcare, Intas Pharmaceuticals, Waymade Plc, Amdipharm, Advanz Pharma, and some Cinven entities. Auden Mckenzie and Actavis UK (now known as Accord-UK) will pay a combined £ 221.1 million.
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Watchdog is a company NHS The “excessively high price” of the steroid hydrocortisone, which is used to treat conditions in which the adrenal glands do not produce enough hormones, for nearly a decade.
For almost a decade, the CMA has fined a total of over £ 260m for violations of competition law in connection with the supply of hydrocortisone tablets.
To maintain its position as the only provider of tablets and allow it to continue to raise prices, Oden Mackenzie also keeps competitors AMCo and Waymade, now known as Advantage Pharma, out of the market. Rewarded.
Actavis UK continued to pay for AMCo after taking over the sale of hydrocortisone tablets in 2015. In the UK, tens of thousands of people rely on hydrocortisone tablets to treat adrenal insufficiency, including life-threatening conditions such as Addison’s disease.
Andrea Coscelli, CMA’s CEO, said: The actions of these companies have cost the NHS, and therefore taxpayers, hundreds of millions of pounds.
“Oden Mackenzie’s decision to raise the price of unbranded drugs meant that the NHS had to pay large taxpayers for life-saving drugs.
“In reality, the NHS was charged more than £ 80 for a pack of tablets that were previously less than £ 1. These artificially inflate the costs faced by the NHS and patients. It was a terrible violation of the law, reducing the money available for care of the NHS. Our fines serve as a warning to other pharmaceutical companies planning to abuse the NHS. “
CMA raises the price of 10 mg and 20 mg hydrocortisone tablets by more than 10,000% compared to the original branded version of the drug that Auden Mckenzie and Actavis UK sold by previous owners of the drug before April 2008. I found that. The NHS had to pay one pack of 10 mg tablets. It rose from 70p in April 2008 to £ 88.00 by March 2016.
At 20 mg intensity, the price increased from £ 1.07 per pack to £ 102.74 over the same period. Prices gradually fell after competitors entered the market, but Actavis UK continued to charge higher and higher prices than its rivals. The impact on the NHS and, ultimately, UK taxpayers was significant. Prior to April 2008, the NHS spent about £ 500,000 annually on hydrocortisone tablets. This has risen to over £ 80m by 2016.
The CMA’s decision not only imposes heavy fines, but also means that if the NHS chooses, it can claim damages for the actions of the company.
Corporate research is part of the ongoing work of the CMA. Pharmaceutical The sector, and it’s currently doing a lot of live research.
Recent actions include securing a £ 8m repayment to the NHS after a company participates in an illegal arrangement related to the supply of fludrocortisone, and violating competition law on the antidepressant nortriptyline to four companies. Includes a fine of £ 3 million.
The drug company fined £ 260m after overcharging the NHS for important drugs
Source link The drug company fined £ 260m after overcharging the NHS for important drugs