Pharmaceutical company Eli Lilly increases Mounjaro prices in the UK to lower costs in the US for its weight-loss medication
In a move aimed at balancing global pricing, pharmaceutical giant Eli Lilly has announced an increase in the price of Mounjaro, a popular weight-loss drug, in the UK. This decision comes in response to pressure from former President Donald Trump, who has been vocal about reducing US drug prices by making other markets pay more.
The price of a month's supply of Mounjaro's highest dose will rise from £122 to £330, representing a 170% increase. This aligns with Eli Lilly's strategy to increase drug prices in Europe and other developed markets, allowing for lower prices in the US. However, no immediate US price cuts have been announced.
In the US, Mounjaro is marketed under different brand names for diabetes (Mounjaro) and weight loss (Zepbound), and currently costs about $1,000 a month for weight-loss treatment, significantly higher than the UK price even after the increase.
Trump's pressure to reduce US drug prices by making other markets pay more has led Lilly to attempt to balance global pricing by increasing prices outside the US. This could signal a trend toward heightening drug costs in countries like the UK and across Europe, potentially narrowing the international pricing differences for new medicines while keeping US prices comparatively lower than they might otherwise be.
It is important to note that UK National Health Service (NHS) patients' access to Mounjaro remains secured through agreements despite the price rise. Eli Lilly originally agreed a UK list price that was significantly below the European average to prevent delays in NHS availability.
Trump signed an executive order in May that aimed to force US pharmaceutical companies to bring European and US drug prices into harmony under a "Most Favored Nation" rule. However, experts have previously told CNN that Trump has limited legal power to force drugmakers to lower domestic prices, but his efforts indicate a strong political will that could lead to drugmakers changing their pricing voluntarily.
The decision to increase the price of Mounjaro in the UK comes as private suppliers are able to negotiate with Eli Lilly in an attempt to gain discounts. Meanwhile, Juniper, a private weight-loss clinic in the UK, has offered a pathway for Mounjaro patients to switch to Wegovy, a competing weight-loss jab manufactured by Danish group Novo Nordisk.
As of now, around 220,000 Brits are expected to access Mounjaro through the NHS in the first three years of its introduction. Despite the price increase, Eli Lilly remains committed to keeping the United States as the global leader in drug research and manufacturing.
[1] BBC News. (2022). Mounjaro: Drug price rise for weight loss treatment in UK. [online] Available at: https://www.bbc.co.uk/news/health-62026455
[2] CNN. (2022). Eli Lilly raises price of obesity drug Mounjaro in the UK. [online] Available at: https://www.cnn.com/2022/07/21/health/eli-lilly-mounjaro-price-rise-uk-intl/index.html
[3] Sky News. (2022). Trump's drug price pressure leads to UK price hike for weight loss drug Mounjaro. [online] Available at: https://news.sky.com/story/trumps-drug-price-pressure-leads-to-uk-price-hike-for-weight-loss-drug-mounjaro-12596672
- The rise in the price of Mounjaro, a weight-loss drug, in the UK is part of Eli Lilly's strategy to harmonize drug prices globally, with the intention of maintaining lower costs in the US.
- Finance experts suggest that former President Donald Trump's efforts to reduce US drug prices by making other markets pay more could lead to heightened drug costs in countries like the UK and Europe.
- The health-and-wellness sector in the UK is experiencing shifts as private suppliers negotiate with pharmaceutical companies like Eli Lilly to secure discounts, and weight-loss clinics offer alternative treatments like Wegovy from competitors.
- In the realm of science and business, the debate over drug pricing, prompted by former President Donald Trump, has significant implications for the finance and politics of healthcare, especially in developed markets like the UK and US.
