Patients may miss out on new drugs

Many new cancer drugs are in the pipeline

NHS patients could lose out on new life-saving drugs unless the government puts money aside to pay for them, it has been claimed.

Mike Hall, chief executive of Standard Life Healthcare, said ministers had so far failed to plan for the arrival of the next generation of drugs.

He told a conference in London the NHS will need £2.5bn each year just to fund new treatments for cancer.

However, the Treasury has dismissed the claims saying plans were in place.

Major spending

The government is committed to significantly increasing the amount of money it spends on the NHS.

This year it has allocated £72.1bn to fund the health service. That is set to rise to £105.6bn by 2007.

We can no longer ignore these costs if we want to continue to gain from their benefits Simon Williams, Patients Association

A report into the long-term funding of the NHS, by former Natwest chief executive Derek Wanless, suggested that spending would need to rise to £184bn a year by 2022.

The report, which was commissioned by the Treasury, earmarked much of this extra money for extra staff and new hospitals.

Mr Wanless is expected to complete a further report in time for next year's Budget. It is looking at ways of improving the nation's health, including ways people can take more responsibility for their own health.

However, in his speech Mr Hall said the review and the proposed increase in funding fails to take into account the cost of new treatments.

"The impact of new and emerging therapies was barely considered during the Treasury's recent review on healthcare funding.

"Derek Wanless now has another opportunity to consider this impact as he looks at ways to improve public health," he said.

According to Standard Life Healthcare, the cost of providing new drugs will cost the NHS billions of pounds a year.

The private health insurance provider estimates that new cancer drugs will cost around £10,000 per patient each year.

With around half the current 500,000 cancer sufferers able to take these drugs, the total bill could amount to some £2.5bn.

But Mr Hall added: "It is not just the cost of new cancer drugs that has to be taken into account.

"Their use will also mean more people living longer and using more healthcare services."

'Lose out'

Simon Williams, director of policy at the Patients Association, said the government must address the issue.

"The benefits of an ageing nation, improvements in technologies and therapeutic advancements comes at a cost.

"We can no longer ignore these costs if we want to continue to gain from their benefits.

"The government must face the challenge of how we can pay for them, otherwise patients will lose out."

However, a spokesman for the Treasury said the proposed increases in NHS funding take into account "all aspects of NHS activity".

He added: "The chancellor of the exchequer asked Derek Wanless to provide an estimate of the costs of a publicly funded, universal and free at the point of use health service over next 20 years.

"The chancellor warmly welcomed Derek's report and the unprecedented investment secured in the 2002 Department of Health's spending assessment reflected its conclusions."