Cheaper generic drugs save NHS £400 m

In 2007, the National Audit Office reported that primary care Trusts (PCTs) could save more than £200 million a year without compromising patient care if cheaper, generic medicines were prescribed.

Keele University has now confirmed the NAO’s finding by calculating that almost £400 m has been saved by the Department of Health, the NHS and PCTs in England, through more cost effective prescribing. The Department of Medicines Management at Keele University has confirmed that, in 2008, PCTs in England achieved a total saving of £394 m through a more consistent use of lower cost, generic medicines for some common conditions such as high blood pressure, high cholesterol and gastric problems. The largest savings were made on statins, with £278 m saved in 2008. The SHA which made the largest saving over the year was the North West, which made savings of over £70 m.     

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