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A single provision in the proposed Biotech Act risks delaying generic competition and inflating costs for public payers across the EU.
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A clause in the European Commission's proposed Biotech Act could cost public health payers up to €70 million per medicine by delaying the entry of cheaper generic drugs onto the market, EurActiv reported.
The estimate comes from the Commission's own internal analysis and centres on a provision that would extend data protection periods for certain biotechnology products, pushing back the point at which generics can compete.
Health economists and patient groups have long warned that extended exclusivity periods drive up costs for national health systems already under fiscal pressure. The Commission figure — €70 million per medicine — gives concrete weight to those concerns and is likely to sharpen debate in the European Parliament as the Biotech Act moves through the legislative process.
No timeline for a parliamentary vote has been confirmed, according to EurActiv.
The EU Commission estimates a single clause in its proposed Biotech Act could cost public health systems €70 million per medicine by delaying generic competition. Extended data protection periods would push back when cheaper alternatives can enter the market, intensifying cost pressures on already strained national health budgets.
If the Biotech Act passes with this provision, patients and health systems across the EU will face delayed access to affordable generic medicines, directly raising treatment costs at a time when healthcare budgets are under strain. The €70 million figure per drug suggests the financial impact could be substantial across multiple medicines, affecting medication availability and affordability in your country's health system.