Voluntary scheme for branded medicines: payment percentage for 2021

AI Summary

This document outlines the financial parameters for the 2021 fiscal year under the 2019 Voluntary Scheme for Branded Medicines Pricing and Access. This regulatory framework is a collaborative agreement between the Department of Health and Social Care (DHSC) and the Association of the British Pharmaceutical Industry (ABPI). The primary objective of this agreement is to ensure value for money while accelerating the introduction of innovative medicines into the healthcare system. For the year 2021, the payment percentage has been officially calculated at 5.1%. This figure represents the share of sales revenues that participating companies must repay to the government to control growth in the medicines bill. While the document does not list specific company violations or site inspection dates—as it is a financial guidance rather than an enforcement notice—it details the methodology used to arrive at this percentage. The calculation process involves analyzing historical sales data and projected growth within the branded medicines market to ensure the sustainability of the pharmaceutical budget. The required action for pharmaceutical companies participating in the scheme is to apply this 5.1% rate to their eligible sales during the 2021 period. Adherence to these payment terms is essential for companies to remain in good standing within the voluntary framework. This mechanism balances the need for affordable healthcare with the necessity of supporting research and development within the life sciences sector.