Is Europe still heading to a common price level for on-patent medicines? An exploratory study among 15 Western European countries.

View Abstract

BACKGROUND

Previous studies have suggested that medicines prices in Europe converge over time as a result of policy measures such as external price referencing.

OBJECTIVE

To explore whether ex-factory prices of on-patented medicines in Western European countries have converged over a recent period of time.

METHODS

Prices of ten on-patent medicines in five years (2007, 2008, 2010, 2011, 2012) of 15 European countries were analyzed. The unit of analysis was the ex-factory price in Euro per defined daily dose (exchange rate indexed to 2007). A score (deviation from the average price) per country as well as the ranges were calculated for all medicines.

RESULTS

The prices between countries and selected products varied to a great extent from as low as an average price of € 1.3/DDD for sitagliptin in 2010-2012 to an average of € 221.5/DDD for alemtuzumab in 2011. Between 2008 and 2012, a price divergence was seen which was fully driven by two countries, Germany (up to 27% more expensive than the average) and Greece (up to 32% cheaper than the average). All other countries had stable prices and centered around the country average. Prices of less expensive as well as expensive medicines remained relatively stable or decreased over time, while only the price of sirolimus relatively increased.

CONCLUSIONS

Our study period included the time of the recession and several pricing policy measures may have affected the prices of medicines. Instead of the expected price convergence we observed a price divergence driven by price changes in only two of the 15 countries. All other European countries remained stable around the country average. Further research is needed to expand the study to a bigger sample size, and include prescribing data and Eastern European countries.

Abbreviation
Health Policy
Publication Date
2013-09-08
Volume
112
Issue
3
Page Numbers
209-16
Pubmed ID
24060335
Medium
Print-Electronic
Full Title
Is Europe still heading to a common price level for on-patent medicines? An exploratory study among 15 Western European countries.
Authors
Leopold C, Mantel-Teeuwisse AK, Vogler S, de Joncheere K, Laing RO, Leufkens HG