Living with and beyond Bowel Cancer

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Value Based Pricing

The pricing of new treatments in England, including cancer treatments, is currently covered by the Pharmaceutical Price Regulation Scheme (PPRS).

This is a long standing pricing agreement between the pharmaceutical industry and the Department of Health (DH), which is negotiated rather than statutory. The current PPRS agreement ends in December 2013.

The Government plans to introduce a new Value Based Pricing system to replace the PPRS from January 2014, i.e. after the current PPRS ends. The new system will seek to determine the cost of new treatments in line with their value. The Cancer Drugs Fund, which was introduced in October 2010 and ends in March 2014, is seen as a step towards Value Based Pricing.