High drug prices do not support innovation, report says

As the furore over US drug pricing rumbles on, an examination of top drug companies which compared revenues and research expenditure has found that the USA pays much more for drugs than other countries, and that the difference far exceeds R&D investment.

The pharmaceutical industry in the USA, which sought to head off at the pass any possible price increase with a January  charm offensive, typically claims that pricing levels are required to fund innovation.

The report from US based Health Affairs found that the list price for medicines sold by top companies in the USA exceeded that quoted to other countries by an average of 41%.