Pharma Industry Aims to Tackle U.S. Concerns Over ‘Foreign Free Riders’ on Drug Costs
Eli Lilly is increasing the UK price of its popular weight loss and diabetes drug, Mounjaro, by as much as 170% starting in September. The move is aimed at addressing U.S. complaints, particularly from Donald Trump’s administration, about “foreign freeloaders” — countries paying less for medicines while Americans pay more.
The highest monthly dose will jump from £122 to £330, while lower doses will rise by 45–138%.
The U.S. pharmaceutical industry is concerned about Trump’s proposed “most favoured nation” rule, which would tie U.S. drug prices to lower prices abroad. On average, U.S. medicines cost nearly three times more than in other developed countries, according to Rand Corporation research.
Drug price talks between the NHS and pharmaceutical companies remain tense, partly due to a UK “clawback tax” limiting NHS drug spending. Industry leaders say government plans to spend more on medicines lack clarity.
Trump has specifically criticised lower overseas prices for obesity drugs, once noting a friend in London paid far less for the “fat shot” than in the U.S.
Eli Lilly said it initially launched Mounjaro in the UK at a price far below the European average to speed up NHS access. Now, with more clinical evidence of its value, it is aligning the UK list price with global markets.
The NHS recommends Mounjaro for up to 3.4 million people in England, but due to cost, it will first be rolled out to about 250,000 high-need patients over three years. NHS England says the price rise won’t affect its supply to eligible patients.
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