Health care reforms and the role of the pharmaceutical industry; Health care workshop shows need for real partnership between government, academia and industry.

LONDON--(BUSINESS WIRE)--Feb. 24, 1995--For the first time, 45 policymakers from the EU and Member States, academia and the pharmaceutical industry met to discuss, in a neutral forum, the future of health care in Europe.

The September 16-17 Workshop was held under the patronage of the European Parliament with funding from DG XII of the European Commission, the London School of Economics (LSE) and the Pharmaceutical Partners for Better Healthcare (PPBH).

Key Issues Addressed

"The Workshop identified problems, which are at the core of our health system, and began to suggest some solutions," noted Prof. P.M. Fasella, Director General of DG XII of the EU Commission. "Key issues addressed were: Equity and efficiency and how to balance them, the role of industry in the health system, and the impact of reforms on industrial performance and viability."

It also underscored the need for a European-wide look at health care reform. As LSE Prof. Brian Abel-Smith pointed out, "countries follow other country's actions (in health care) without knowing the consequences. It's not just a question of containing costs, other aspects of health care need to be reformed, making services more user-friendly, and encouraging quality and efficiency in every sense."

Agreement, Common Goals

Participants felt that the level of debate had been raised and that unlike 10 years ago, general agreement is growing in several areas including: the value of autonomy for health providers, possibility of contracting for some services, and, in principle, competition. Agreement was also reached that patients' interest should be put first in health care reforms, which also must reflect the different cultural, economic and social environments in the various countries.

"We started out with the basic objectives of health care reform, rooted in equity and efficiency, and driven by cost-containment, efficiency and user-friendliness," said Prof. Abel-Smith. "But we came back to the fundamental question, can we combine these objectives with an emphasis on health improvement?"

The group also emphasized that pharmaceuticals played an important role in healthcare, not just in partnership with government, but also with research and academia. LSE Prof. Le Grand explained it was "quite clear that a strong pharmaceutical industry is important to Europe, not least due to jobs and balance of trade, but also because of its contribution to the area of health care."

Workshop participants welcomed the recent European Commission's Industrial Policy Communication as a starting point for ongoing dialogue. The industry representatives recognized the importance of the first steps initiated at the European level: improved patent protection for pharmaceuticals, single marketing approval for medicines in the whole of Europe, and recent attempts to improve the environment for new technologies in Europe.

Next Steps

"It's no surprise, we have more questions than answers," said Henry Wendt, chairman of PPBH, "This Workshop was a unique triumph of co-operation among a very diverse group and it was a chance to learn about new perspectives, options and consequences."

"The workshop was an extremely useful forum with academia, industry, and legislators," said Anita Pollack (Member of the European Parliament). "There was a dynamic feeling for things and very constructive."

Dr. Robert Ramsay, Director-General for Research, European Parliament, added that "how best to make sure that patients get the benefit of innovations by one of Europe's leading knowledge-based industries - the pharmaceutical industry - that is what European policymakers are asking now. This Workshop is a significant development in the flow of information and analysis on this important subject."

Prof. Fasella emphasized that "the answers, data and analyses produced at the meeting represent a very significant contribution to the health system of Europe, in general, and will be given due consideration by the services of the European Commission in preparation of its future work plans."

Remarks from Strachan Heppell, U.K. Department of Health, summed up the spirit of the Workshop's proceedings: "The key building blocks to progress are three C's: consultation, co-operation, and common interests between Government and industry. They have a common goal of encouraging and securing the maximum effective contribution of pharmaceuticals to better health care. That is not to say there is an identity of interest. That tension -- on the whole a creative tension -- will remain. But it must be managed so that it does not submerge the common interest." -0-

   "Health Care Reforms and the Role of the Pharmaceutical Industry"
                Sept. 16-17, 1994, Hertfordshire, England

                              PARTICIPANTS

European Union
    o  Prof. P. Fasella, Director General, DG XII, EU Commission
    o  P. Deboyser, Deputy Head, Pharmaceutical Division, DG III, EU
       Commission
    o  G. Gouvras, Director, Public Health Unit, DG V, EU Commission
    o  A. Pollack, MEP (UK)
    o  Robert Ramsay, Director General, Directorate General for
       Research, EU Parliament
    o  G. Chambers, Directorate General for Research, EU Parliament
    o  R. Holdsworth, Head of STOA, EU Parliament
    o  A. Machmer, Office of D. Roth-Behrendt, MEP (D)

EU Member-State Health Administrators
    o  J. Furniss, Department of Health, UK
    o  S. Heppell, Department of Health, UK
    o  S. Layani, Ministere de la Sante, France
    o  M. Minford, HM Treasury, UK
    o  Dr. A. Rietveld, Ministry of Health, The Netherlands
    o  Dr. C. De Vos, Ministry of Health, The Netherlands

Academia and Health Policy Research Organizations
    o  Dr. B. Abel-Smith, Emeritus Prof. of Social Administration,
       LSE
    o  Prof. G. Fattore, Universita Commerciale Luigi Bocconi, Italy
    o  Prof. L. Garattini, Institute for Pharmacological Research
       Mario Negri, Italy
    o  Dr. U. Hoffmeyer, National Economic Research Associates
    o  Prof. W. Holland, University of London
    o  Prof. R. Leidl, University of Limburg
    o  Prof. C. Le Pen, Universite Paris Dauphine
    o  Dr. H. Machin, Director of the European Institute, LSE
    o  Dr. E. Mossialos, Director of Research, LSE
    o  Prof. J-P Poullier, Organization for Economic Cooperation and
       Development
    o  Prof. J. Rovira, Soikos, Spain
    o  Prof. P. Zweifel, Univeristat Zurich

Pharmaceutical Industry
    o  Sir Richard Sykes, Deputy Chairman and Chief Executive, Glaxo
       Holdings, UK
    o  Dr. A. Aleotti, chairman and CEO, A. Menarini, Italy
    o  K. Briner, President, EFPIA
    o  M-C Pickaert, Deputy Director General, EFPIA
    o  H. Wendt, Chairman, Pharmaceutical Partners for Better Healthcare
    o  F. Costanini, President, Farmindustria, Italy
    o  T. Cueni, Executive Director, Pharmaceutical Partners for
       Better Healthcare
    o  P. Douaze, Head, Pharma Division, Ciba-Geigy, Switzerland
    o  Dr. J. Gallardo, President, Farmaindustria, Spain
    o  Dr. T. Jones, Director General, ABPI, UK
    o  R. Neimeth, President, International Pharmaceuticals Group, Pfizer,
       Inc., US
    o  Dr. W.B. Healy, Vice President, Merck & Co., US
    o  R. Jones, Director, Corporate Strategy, Glaxo Holdings, UK
    o  Dr. N. Mattison, Director, Pharmaceutical Partners for Better
       Healthcare
    o  M. Owen, Director, Economic Affairs, Glaxo Holdings, UK
    o  C. Barr, Pfizer International, US

Observers from Japan
    o  J. Hamada, Institute for Health Economics and Policy
    o  M. Nakajima, Ministry of Health and Welfare
    o  T. Tanaka, Institute for Health Economics and Policy
    o  H. Yamamoto, Eisai Co. Ltd.
-0-

CONTACT: Pharmaceutical Partners for Better Healthcare

Doug Standring, (011 44 71) 955 7060

Monica Cseri, (011 41 61) 261-4993