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Media release

Consistency recognised in challenging year – PHARMAC CE

28 November 2006

Consistency and fairness continue to be the cornerstones of PHARMAC’s decision-making, says Acting Chief Executive Matthew Brougham. In the drug funding agency’s 2006 Annual Review, Matthew Brougham says this year PHARMAC has come under considerable pressure from a number of quarters. PHARMAC’s response to this pressure – continuing to apply its processes robustly and consistently – have drawn support from some surprising quarters, he says. “I have been surprised by the number of parties, from all sides of the debate (including pharmaceutical companies), who have quietly congratulated us for focusing closely on the evidence, not the public relations hype,” Matthew Brougham writes in the Review. “There has been growing recognition New Zealand’s best long term interests are served by PHARMAC making these decisions on the basis of the evidence; not on the grounds of who can generate the most media and political attention.” “It would not be right, or fair, for PHARMAC to apply oil to the squeakiest wheel. The message has been clear. People are keen to see that PHARMAC continues to make its decisions consistently and fairly – in short, to see each proposal assessed through the same process.” The Annual Review outlines that 28.4 million subsidised prescriptions were written in 2006 – a 4.5% increase on the previous year. This represents an increase of 1.3 million prescriptions over the 2005 year. Part of the reason for this increase is PHARMAC’s continued programme of investing in medicine. In 2005-06, PHARMAC introduced 14 new medicines and, together with providing wider or better access, made 41 new investments. These decisions will see nearly a quarter of a million more New Zealanders receiving subsidised medicines. Decisions include new or wider access to treatments for Parkinson’s disease, multiple sclerosis, brain tumours, schizophrenia, asthma and rheumatoid arthritis. The Annual Review shows that one of the biggest pharmaceutical investments of the year was extending access to gabapentin, an epilepsy drug that can now also be used for neuropathic pain (an indication that currently is not funded in Australia). The decision cost some $2.4 million last year. The largest number of new patients was for the low-dose aspirin now subsidised to help people wanting to reduce the chance of a heart attack or stroke. It is estimated up to 200,000 New Zealanders would get it under prescription, at an estimated cost of $17 million over five years. [ends] For more information contact Simon England 021 863 342

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