GlaxoSmithKline sees UK govt order for pandemic vaccine slashed; enters malaria vaccine deal with Crucell

The UK Department of Health says it has reached an accord with drugs giant GlaxoSmithKline on outstanding orders of swine flu vaccine resulting in significant savings for the government, claiming it represented fair value for both parties and means savings of around a third of the original value of the total orders with GSK, although actual financial amounts were not revealed.

As part of measures taken to protect the UK population from swine flu, the government ordered sufficient vaccine to protect the entire population if needed. As evidence about the swine flu virus developed, experts advised that vaccinating the entire population would no longer be necessary. Indeed, the whole issue of the World Health Organization's declaration of a full-scale flu 'pandemic' is currently the subject of close examination in the European Union (The Pharma Letters passim).

In light of this advice, the Department entered negotiations to reduce the orders for the Pandemrix vaccine produced by GSK. The UK government also cancelled the contract with Baxter for swine flu vaccine on February 28, 2010.