Insurer deficit in France threatens pharma

18 June 2006

The French pharmaceutical industry has issued a warning that the delay in balancing the books at France's social security system and the national health insurance funds pose a threat to the future of medical research in France at a time when drug consumption is stagnating.

In a statement issued by Les Entreprises du Medicament (LEEM), the French drug industry's trade association, drug consumption outside hospitals and clinics recorded 0% growth for the first four months of this year, compared with 5% for the comparable period in 2005. Considering that the continuing budgetary deficits at the health insurance funds are showing signs of being contained more slowly than the government had hoped, the LEEM has warned against the temptation to clamp down on prescribing even further.

The statement notes the "risk of stigmatizing drugs a little more, even though they are the instruments of recovery and investments in well-being." The LEEM therefore calls upon the government to "take care so that one does not oppose the logic of controlling budgets to the requirements for research and production into drugs."

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