The United States government has reached a preliminary agreement with the United Kingdom on drug prices, under which Washington will exempt imports of these products of British origin from customs duties, while London pledges to increase spending. … The National Health Service (NHS) is already on medication 25% increase The net price you pay for new treatments.
The drug pricing agreement, announced on Monday by the Office of the United States Trade Representative, follows the Economic Prosperity Agreement (EPD) reached in May between the two countries, in which US President Donald Trump and British Prime Minister Keir Starmer agreed. Addressing imbalances in the pharmaceutical trade between the two Anglo-Saxon partners by improving the overall environment for pharmaceutical companies operating in the United Kingdom, as well as ensuring that British pharmaceutical companies invest in the United States.
Under the terms of the Medicines Pricing Agreement, the UK will reverse declining NHS spending on innovative medicines and increase the net price it pays for new medicines by 25%.
London will also ensure that price increases for new medicines are not significantly affected by demand for portfolio-level concessions under the Voluntary Pricing, Access and Growth of Branded Medicines (VPAG) program or other reimbursement programmes.
In fact, the UK has committed to the repayment rate owed by businesses under the existing VPAG scheme It will be reduced to 15% in 2026 It remains at or below this level for the duration of the program.
In exchange for these and other commitments, the United States agreed “Exempt pharmaceutical products”and pharmaceutical ingredients and medical technology of British origin from the Section 232 definitions and will refrain from addressing UK drug pricing practices in future investigations under President Trump.
“For too long, American patients have had to subsidize medical and biologic drugs in other developed countries and pay a significant premium for the same products,” said U.S. Trade Representative Jamison Greer. For him, this is an agreement It will enhance investment and innovation In the US and UK, warning that the Trump administration is reviewing the drug pricing practices of several other trading partners.
“Today’s agreement represents an important victory for American workers and our innovative economy. “We are working to strengthen supply chains, create high-quality jobs, and position the United States as the world’s leading center for life sciences investment,” Secretary Howard Lutnick said.
For his part, Secretary of Health and Human Services, Robert Kennedy Jr., stressed that American citizens should not pay “the highest costs in the world” for… Some medicines helped with funding.