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HDA UK Media And Political Bulletin – 2 March 2017

Media Summary 

Private firms warn Stevens over end of purchaser-provider split
HSJ, Ben Clover, 1 March 2017

David Hare, chief executive of the NHS Partners Network, has warned Simon Stevens that STPs must act within competition laws. He was responding to the NHS England chief executive’s comments to MPs that some sustainability and transformation plans will “effectively end the purchaser-provider split for first time since 1990”. Competition has become a less critical force in NHS policy circles; however, there have been recent competition challenges by providers in London, Kent and Yorkshire. NHS England is understood to be in discussion with several STP areas regarding the Five Year Forward View “delivery plan” published next month.

Deal paves the way for outcomes-based drug pricing
Science Business, 2 March 2017

An agreement between the pharmaceutical industry and healthcare providers in Manchester will collect real-world data on the value of drugs. The aim is to consider fixing drug prices based on how effective they prove to be in everyday use. The deal, supported by 14 pharmaceutical countries, is also seen as a route to making the region a hub for health research and clinical studies, and a means of creating cost-effective medicines for patients in Greater Manchester and throughout the UK.

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Private firms warn Stevens over end of purchaser-provider split
HSJ, Ben Clover, 1 March 2017

The head of the body representing private providers of NHS work has warned Simon Stevens that STPs must act within competition laws.

David Hare, chief executive of the NHS Partners Network, was responding to the NHS England chief executive’s comments to MPs that some sustainability and transformation plans will “effectively end the purchaser-provider split for first time since 1990”.

Mr Stevens told the Commons public accounts committee that six to 10 STPs were set to become “accountable care organisations or systems… bringing about integrated funding and delivery for a given geographical population”. The Health and Social Care Act 2012 made several earlier regulations on choice and competition in an area into law.

In response to Mr Stevens’ comments, Mr Hare told HSJ: “It is important that with the implementation of STPs and the development of new care models there is not a move towards inflexible monopoly provision of health services and that the legal principles of patient choice, fair treatment of provider and a diversity of healthcare provision are upheld.

“Any changes to the way in which services are planned and secured must act within existing legal frameworks, be in line with the principles of patient choice and plurality of provision, applied consistently across the NHS and based upon strong evidence of improved patient care.”

Competition has become a less powerful force in NHS policy circles since Jeremy Hunt replaced Andrew Lansley as health secretary in September 2012. However, there have been recent competition challenges by providers in London, Kent and Yorkshire.

HSJ reported earlier this week that NHS England is understood to be in discussion with several STP areas with a view to them being listed in the Five Year Forward View “delivery plan” to be published next month. These are thought to include Frimley, Lancashire and South Yorkshire.

Deal paves the way for outcomes-based drug pricing
Science Business, 2 March 2017

An agreement between the pharma industry and health care providers in Manchester will collect real-world data on the value of drugs. The aim is to open the door to fixing drug prices based on how effective they are in everyday use.

A newly established partnership between healthcare providers and the pharma industry in Manchester will use patient data to monitor the safety and effectiveness of medicines, helping to extract more value from the region’s £1 billion drug budget.

The deal, which has the support of 14 pharma countries, is also seen as a route to making the region a hub for health research and clinical studies.

“We want to be able to improve people’s health, get the very best value for money from our medicines budget and continue to raise Greater Manchester’s profile as a global hub for investment in research and development,” said Jon Rouse, Chief Officer of Greater Manchester Health and Social Care Partnership.

The agreement has benefits for companies, which are promised access to patient data and faster uptake of drugs that are shown to be effective in real world use. Signatories to the Memorandum of Understanding have committed to explore, “the potential of multi-year, multi-agency budgets to enable outcome-based models.”

This will open the door to developing “outcome-based pricing methods and test other incentive models,” with successful pilots becoming standard care within two years.

New risk-sharing models of care delivery will be tested as part of the new arrangement. A group including members from the health service and pharma companies is now developing a plan to scale up successful proof-of-concept projects that demonstrate the value of drugs, reduce inequalities and variation in outcomes.

Several ‘quick win’ projects are already in the pipeline for the first year of the partnership. Those that work well will be adopted within three years.

Real-world value

Health chiefs and industry leaders have highlighted the need to rethink healthcare funding models to improve the value for taxpayers and outcome for patients.

“The industry recognises the challenges faced by the NHS and we are committed to supporting improvements in the use of medicines that can enhance the care and wellbeing of people in the area,” said Mike Thomson, CEO of the Association of the British Pharmaceutical Industry.

He cited the Salford Lung Study as an example of how the NHS can embrace innovation to help improve health outcomes.

That project, funded by GlaxoSmithKline (GSK) and conducted in Salford and South Manchester, was the world’s first randomised controlled trial to test a drug in a real world setting, using a single electronic medical record linking primary care, secondary care and pharmacy data. It found that patients taking a new GSK drugs to treat chronic obstructive pulmonary disease (COPD) were less likely to suffer exacerbations than those taking standard therapies.

On the back of its linked electronic health records and the experience of the Salford Lung Study, greater Manchester has the infrastructure to create one of the world’s pre-eminent hubs for life sciences research and investment from global companies, according to Thomson.“We can see from initiatives like the Salford Lung Study how the NHS can embrace innovation to help improve health outcomes,” he said.

“By working together with the NHS to improve how to use and learn from real time health data in hospitals and communities we have the best chance of creating the most appropriate and cost-effective medicines for patients in Greater Manchester and throughout the UK,” Thomson said.

Rowena Burns, chair of Health Innovation Manchester said the agreement is a first step towards increasing the number of real-world clinical trials in Greater Manchester. “Our goal is to improve the health of greater Manchester citizens by working more effectively with industry,” she said.

HDA UK Media And Political Bulletin – 2 March 2017

From Factory to Pharmacy

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