Minister says cost of Herceptin must fall

The breast-cancer drug Herceptin cost too much and New Zealand would not pay $30 million a year to use it, Health Minister Pete Hodgson said today.

The Government's medicines regulator, Medsafe, yesterday provisionally approved the use of Herceptin for some early stage breast cancers.

Until now, the drug has only been used for women with late-stage breast cancers.

Drug funding agency Pharmac has said it cannot guarantee funding for the new use which could cost district health boards (DHBs) an extra $30 million a year.

Mr Hodgson told National Radio today the drug cost too much but he was sure the price would "come down". He added: "It will have to."

The question was by how much, he said.

Mr Hodgson said Pharmac would negotiate with the drug's makers Roche but New Zealand would not pay $30m a year for it.

Herceptin was a "very exciting drug" and he was delighted with Medsafe's approval.

But New Zealand still had to consider whether to fund it. "The decision will be taken nationally. It will be yes or no for all DHBs."

Mr Hodgson said a decision could be made around June or July although a time limit could not be put on the negotiations between Pharmac and Roche.

- NZPA