Eli Lilly Boss Calls UK the Worst European Country for Drug Prices

Eli Lilly Chief Executive Dave Ricks said Britain was "probably the worst country in Europe" for drug prices in an interview with the Financial Times, intensifying pressure on the government to improve market conditions for drugmakers, Reuters reported.

Ricks warned that Britain would miss out on new medicines unless it raised prices and scrapped a rebate scheme requiring companies to contribute a share of their UK drug revenue to the NHS. (Photo: Dave Ricks) 

The remarks add to a growing backlash from pharmaceutical giants, including Merck and AstraZeneca, which have paused or scaled back investments in Britain over the challenging environment.

Ricks warned that Britain would miss out on new medicines unless it raised prices and scrapped a rebate scheme requiring companies to contribute a share of their UK drug revenue to the state-run National Health Service (NHS).

The VPAG rebate scheme — an agreement between the government, the NHS, and the pharmaceutical industry — is intended to improve patient outcomes, manage the NHS’s medicine bill, and support the life sciences industry.

But media reports suggest talks over the scheme remain deadlocked.

Britain pays less for drugs than most developed countries, Ricks said, telling the FT: “Unless that changes, I don’t think they will see many new medicines, and I don’t think they will see much investment.”