PAGB, the consumer healthcare association, welcomes today’s announcements in the Spending Review affirming the Government’s focus on healthcare and the life sciences sector, and calls for self-care policy to be prioritised in the delivery of these commitments.

Highlighting the commitment of the Government to renew an NHS fit for the future, in the review the Chancellor announced a £29bn boost in spending every year for the next three years, equating to a 3% annual real terms increase to the NHS budget. In addition, the Chancellor announced plans to increase the NHS technology budget by almost 50%, with £10bn of investment in technology and digital transformation by 2028-29.

The review also included an announcement from the Government of a £22.6bn annual boost to research and development in science and technology, including investment in life sciences. This represents an important opportunity for growth in the over-the-counter (OTC) sector, which has a substantial economic contribution to the life sciences sector with just under 1bn OTC units sold per year[1] .

Michelle Riddalls OBE, CEO of PAGB, the consumer healthcare association, comments:

At PAGB, we’re pleased to see that healthcare and the life sciences sector are front and centre of this Spending Review. We welcome the Government’s commitment to boost NHS funding and improve use of digital tools and technology, as well as investing in research and development to ensure the UK continues to be seen as a leader in the life sciences sector.

The boost in annual spending across healthcare will support the move to create a truly modern health service, but it’s important that it is invested into solutions and policies that will deliver in priority areas — encompassing the whole healthcare eco-system, including promoting self-care practices.

Given the growing strain on health services, the role of OTC medicines and self-care has never been more vital. Not only does the OTC sector save the NHS billions of pounds each year in prescription and appointment costs[1] , it also supports the wider economy — contributing billions in wages and exports and helping avoid an estimated 164 million missed workdays annually[1] .

Despite these obvious benefits, the full potential of the OTC sector remains untapped, and this is where ensuring the boost in spending goes to the right areas in healthcare is essential. Greater support for self-care, including increasing use of OTC products and reclassifying more medicines to make them available OTC, could save the NHS at least £1.7 billion per year in avoidable appointments. Reclassifying just 5% more prescription medicines could deliver an additional £1.4 billion in savings [1].

Looking ahead to the upcoming 10-Year Health Plan, the Government must ensure that self-care is clearly recognised and supported through concrete policies to reflect the vital role self-care will play in achieving the Plan’s ambitions.

References:

¹ Frontier economics. The economic impact of over-the-counter products in the UK. 12 July 2023.