RE: Price-point SNG00121 Nov 2020 11:32
The health economic test for any intervention is quite a complex thing to compute but you can work wonders with the back of an envelope. For starters, you can’t think about it in terms of a single patient’s experience but in terms of the outcome in a population of treated individuals. So, at £2200 a pop, treating say 100 people would cost £220k. What you get for that spend is firstly the savings in other healthcare spend, secondly the improved health and/or death prevented as a result of the treat ment, and thirdly the restored productive output (if any) of the individuals treated. This may be lower nil in the case of economically inactive people like those who are retired. At £200-300 per day hospital costs or 4+ times that for ITU, even taking a crude and conservatively estimated average of £800 per day hospital costs and a mean reduction of hospital stay of 2 days you get a gross saving of £160k . And that is before you count the benefit conferred in terms of health on 100 people. Taking (hopefully) deaths prevented and chances of developing long Covid reduced you easily justify the residual £60k. One quality-adjusted life year (QALY) is currently valued at around £30k by health economists and national drug regulators in testing whether a drug represents value for money. Just conferring 2 additional years of life on just one of the 100 patients would be enough to “break-even” using these figures. Even if all of these numbers end up being a bit wide of the mark, and they are all more likely to be conservative than ambitious, the economic analysis is bound to come out in justification of this price in my opinion. At $3000 or £2200 per treatment course SNG001 is a no- brainer in value for money terms.
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