Potential approaches for the pricing of cancer medicines across Europe to enhance the sustainability of healthcare systems and the implications

Godman, Brian and Hill, Andrew and Simoens, Steven and Selke, Gisbert and Selke Krulichová, Iva and Dias, Carolina Zampirolli and Martin, Antony P and Oortwijn, Wija and Timoney, Angela and Gustafsson, Lars and Voncina, Luka and Kwon, Hye-Young and Gulbinovic, Jolanta and Gotham, Dzintars and Wale, Janet and da Silva, Wânia Cristina and Bochenek, Tomasz and Allocati, Eleonora and Kurdi, Amanj and Ogunleye, Olayinka O. and Meyer, Johanna C and Hoxha, Iris and Malaj, Admir and Hierländer, Christian and Sauermann, Robert and Hamelinck, Wouter and Petrova, Guenka and Laius, Ott and Langner, Irene and Yfantopoulos, John and Joppi, Roberta and Jakupi, Arianit and Greiciute-Kuprijanov, Ieva and Vella Bonanno, Patricia and Piepenbrink, JF(Hans) and de Valk, Vincent and Wladysiuk, Magdalene and Marković-Peković, Vanda and Mardare, Ileana and Fürst, Jurij and Tomek, Dominik and Cortadellas, Mercè Obach and Zara, Corinne and Pontes, Caridad and McTaggart, Stuart and Laba, Tracey-Lea and Melien, Øyvind and Wong-Rieger, Durhane and Bae, SeungJin and Hill, Ruaraidh (2021) Potential approaches for the pricing of cancer medicines across Europe to enhance the sustainability of healthcare systems and the implications. Expert Review of Pharmacoeconomics and Outcomes Research, 21 (4). pp. 527-540. ISSN 1473-7167 (https://doi.org/10.1080/14737167.2021.1884546)

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Abstract

Introduction: There are growing concerns among European health authorities regarding increasing prices for new cancer medicines, prices not necessarily linked to health gain and the implications for the sustainability of their healthcare systems. Areas covered: Narrative discussion principally among payers and their advisers regarding potential approaches to the pricing of new cancer medicines. Expert opinion: A number of potential pricing approaches are discussed including minimum effectiveness levels for new cancer medicines, managed entry agreements, multicriteria decision analyses (MCDAs), differential/tiered pricing, fair pricing models, amortization models as well as de-linkage models. We are likely to see a growth in alternative pricing deliberations in view of ongoing challenges. These include the considerable number of new oncology medicines in development including new gene therapies, new oncology medicines being launched with uncertainty regarding their value, and continued high prices coupled with the extent of confidential discounts for reimbursement. However, balanced against the need for new cancer medicines. This will lead to greater scrutiny over the prices of patent oncology medicines as more standard medicines lose their patent, calls for greater transparency as well as new models including amortization models. We will be monitoring these developments.