Pfizer slammed by UK regulator after 2000% increase in NHS epilepsy bill

Britain’s competition watchdog has accused Pfizer and Flynn Pharma of breaching UK and European law by ramping up the cost of an epilepsy drug, given to more than 50,000 British patients, by as much as 2,600 percent.

Ann Pope, CMA senior director, said that although “businesses are generally free to set prices as they see fit”, Pfizer and Flynn held a dominant position and therefore had a “special responsibility” to ensure their prices do not “impair genuine competition” and are not “excessive and unfair”. Pfizer sold the UK distribution rights for Epanutin to Flynn Pharma, which genericised the drug and started selling its version in September 2012.

Pfizer and Flynn said they had been supporting wholly in the CMA and mentioned one final choice coming from a violations of a given legislation hadn’t even so been released.

The CMA alleged that following this arrangement, Pfizer, which continued to manufacture the drug, sold the capsules to Flynn Pharma at eight to 17 times the price it had previously charged to wholesalers and pharmacies. Flynn then sold the drug to customers at prices which were between 25 and 27 times higher than those historically charged by Pfizer.

It meant that before 2012, the NHS spent around £2.3million on the drug a year.

The CMA’s allegations against Pfizer and Flynn Pharma come as the NHS faces an almost-unprecedented funding crisis. UK health service regulator Monitor wrote to every NHS trust in the country earlier this week, asking them to revise their budgets.

The Simply.S. people utilized current market the drugs itself, as Epanutin, but distributed the… It has called upon both firms to submit evidence forthwith.

Pfizer insisted it is “co-operating fully” with the CMA’s investigation.

If the companies are found to have breached the law, the CMA has the power to fine then up to 10pc of their global annual turnover – last year Pfizer had revenue of nearly $50bn.

“The Statement of Objections is the CMA’s provisional findings only and all parties will now have the opportunity to respond to the statement before the CMA decides if there has been any infringement”. Pfizer told Reuters that it had priced the drug to make it profitable and ensure there would be a sustainable supply, while Flynn said that it had priced it competitively against rivals.

A Flynn Pharma spokesman said: “We’ve been cooperating with the CMA and will continue to do so”.