Press release

NICE to assess value of medicines from 2014

NICE will take responsibility for assessing the full value of medicines when new pricing arrangements are introduced in 2014.

This was published under the 2010 to 2015 Conservative and Liberal Democrat coalition government


NICE will take responsibility for assessing the full value of medicines when new pricing arrangements are introduced in 2014 the Government announced today.

The Government confirmed the plans in its official response to the Health Select Committee’s report on the future role of NICE which has been published today. The move will give NICE a crucial role in the future value-based pricing arrangements for branded medicines. It will allow the body to build on its current drug evaluation processes by giving it broader scope to assess a medicine’s benefits and costs. The aim is to make sure that the price the NHS pays for new medicines is more closely linked to their value to NHS patients and society.

The announcement comes as NICE is also preparing to take on other new responsibilities. From April, its remit will be extended to cover social care, as well as the NHS and public health. This will assist in the development of better integration of services between different health and care organisations. .

Lord Howe, Health Minister said:

We are delighted to announce the central role NICE will take in assessing the value of new medicines. This will allow us to draw on NICE’s world-leading expertise as we develop the Value-Based Pricing scheme.

The role of NICE is developing and growing as it takes on new responsibilities in social care. We are grateful to the Health Select Committee for their detailed report and helpful recommendations covering various aspects of NICE’s work.

We know NICE is facing new challenges and have every confidence that its Chair-designate, Professor David Haslam, will lead it successfully into the future.

NICE will now work with the Department and other stakeholders to plan how it will undertake its role in assessing the value of new medicines.

The Health Select Committee’s report was published in January and was the result of a number of fact finding sessions held by the Committee as NICE looked to appoint Professor David Haslam as its new Chairman. It contained a number of observations and recommendations for the future of NICE which the Department of Health has now responded to in full.

The Government’s response also welcomes the Health Select Committee’s support for NICE developing healthcare quality standards for people with long-term conditions, co-morbidities and complex needs. It has also echoed the Committee’s calls for the development of better-integrated care and the need for more integrated commissioning.

The Government’s response also welcomes the committee’s call for better information about drug trials and a new code of practice.


To contact the Department of Health Media Centre please call 020 7210 5197.

Published 21 March 2013