Mon, 01 Dec 2025

Mon, 01 Dec 2025 US and UK agree zero tariffs deal on pharmaceuticals

The deal follows threats of tariffs as high as 100% on branded drug imports.

* The UK and US have agreed a deal to keep tariffs on UK pharmaceutical shipments into America at zero.
* In exchange, the NHS will pay more for medicines through increased prices and spending targets.
* The deal aims to protect jobs and boost investment in the UK's life sciences industry.
* The NHS will increase its spending on medicines from 0.3% of GDP to 0.6% over the next 10 years.
* The price threshold at which new treatments are deemed too expensive will rise by 25%.
* Drug companies will be capped at paying back 15% to the NHS, down from over 20% last year.
* UK medicine exports will remain tariff-free for the next three years.
* The deal has been hailed as a "historic step" towards ensuring other developed countries pay their fair share of medicines costs.
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