News

Greening HTA?

Do we need to rethink our approach to value in the Anthropocene?

On 14 May, Professor Andrew Briggs delivered a presentation at the at the 2025 ISPOR meeting in Montreal on greening Health Technology Assessment (HTA). The ISPOR conference theme, ‘Collaborating to Improve Healthcare Decision Making for All: Expanding HEOR Horizons’, intended to underscore the vital role of health economics and outcomes research (HEOR) in transforming healthcare systems. 

 

In his presentation, Andrew proposed things that may help or hinder the move to greener HTA methods. Helpful suggestions included better estimates of the Social Cost of Carbon; discount rates that don’t undervalue the next generation; and equity analyses that recognise the burden of climate change. Unhelpful approaches included Multi-Criteria Decision Analysis with health service decision makers and / or public; Life-Cycle Analysis layered onto HTA; and Incremental Carbon Footprint Effectiveness Ratios and Incremental Carbon Footprint Cost Ratios. 

 

The presentation concluded with a warning that attempts to green HTA may in fact “exacerbate the very issues we aim to resolve” and to avoid this we must approach this move with humility and not haste. Andrew's recent post on his blog 'of QALYs & Quandaries' provides more detail on his presentation.

29 May 2025

Value Attribution in Combination Therapies

Pricing combination products: not how but who?

As combination therapies - especially in oncology - become more commonplace, payers and HTA bodies are struggling to price them fairly. Despite technical progress in methods to attribute value between component treatments, the key question remains: who should implement these solutions?

This editorial calls for a shift in focus from the technical to the institutional and procedural challenge. The authors argue that payers and their agents can no longer remain passive. Instead, they must actively own the value attribution process if we are to incentivise innovation without undermining budgetary sustainability.

 

Key themes include:

  • Why “do nothing”, arbitrary pricing rules, or deferring to companies and competition law are all inadequate.
  • The risks of underdeveloping promising add-ons due to distorted incentives.
  • The case for HTA bodies to facilitate fair value-sharing in combination therapies.

This is a timely and essential read for anyone involved in health technology assessment, pharmaceutical pricing, or health system innovation.

18 Apr 2025

Cost-effectiveness analysis for Daridorexant in chronic Insomnia disorder

Let’s be honest - there’s comfort in orthodoxy.  Health technology assessment (HTA) is built on a foundation of tried-and-tested conventions: lifetime horizons, a 'reference case' untainted by productivity, and a good old-fashioned faith in 'intention to treat' (ITT) analysis corrected by placebo control. But occasionally, a study comes along that quietly taps HTA on the shoulder and says, “What if we did things a bit differently?” We’ve just published a piece that does exactly that. It doesn’t blow up the methodological playbook - but it does underline the fact that the rules we follow are sometimes more a matter of habit than of logic.

 

Here are four ways the analysis dares to diverge:

 

1. A 12-Month Time Horizon Isn’t Heresy

We’re all conditioned to think that a “proper” economic evaluation must stretch to full patient lifetimes - especially for chronic conditions/treatments.  But what if a lifetime perspective is not only unnecessary, but actively unhelpful?

In this case, we opted for a 12-month time horizon, and no, it wasn’t because we were trying to pull the wool over anyone's eyes, quite the opposite in fact.  It was because the relevant costs and effects really do materialise within a year. This is particularly true for interventions with a short-term mechanism of action like daridorexant, that has a half-life around 8-hours.  To get it's therapeutic effect you need to take it every day and that is clear from the clinical results.  The clinical studies are a three month phase III registration study and a 40 week extension study.  Hence we opted for a 12-month time horizon - sure we can model beyond that time period, but uncertainty explodes beyond the window of the observed data.  When the future is murky and the present is policy-relevant, the “short-run” can offer the most meaningful long-term insight.

 

2. Placebo Correction - Handle With Care

It’s a familiar refrain: “Subtract the placebo effect to find the real treatment impact.” But this assumes that placebo responses are neatly separable, predictable, and static - like they’ve been pre-measured in a Petri dish.

Our approach leans into the idea that placebo responses are part of the real-world effect. If patients improve because they believe they’re being treated, does that not matter? The temptation to surgically remove the placebo effect often leads to assumptions about uniformity and persistence that don’t hold in practice. Our approach argued that after three months, any remaining improvements were not due to increasing efficacy (via a mechanism for which there is no biological basis) but rather due to selective attrition.  Since placebo patients would receive no treatment in real-life we aregue that placebo correction beyond three months was not appropriate.  A controversial idea for a community indoctrinated into 'evidence based medicine' and ITT analyses.

 

3. Selective Attrition Isn’t Just Noise

Missing data is annoying. Selective attrition is more than that—it’s a structural bias hiding in plain sight. If certain types of patients are more likely to drop out, and if that dropout correlates with treatment or outcome, then your ITT estimates start to wobble.

We tackled selective attrition as a methodological challenge, not a nuisance. Accounting for attrition selectively, revealed a very different narrative about the intervention’s cost-effectiveness. It turns out, who sticks around in your study can tell you much about the outcomes those subjects experience.

 

4. Productivity Gains: the thorn in the side of the 'Reference Case'

Productivity gains in HTA are a bit like carbs in a trendy diet: everyone pretends they don’t matter, but most secretly think they do.

Yes, the reference case says productivity should be excluded (at least in the UK). But in many real-world scenarios - especially those affecting working-age populations - the ability to function at work is a major benefit. We included productivity impacts not as an act of rebellion, but as an act of realism. If the intervention helps people get back to work, that’s an economic benefit, not an nuisance and certainly should not be ignored when decision-making for populations.

 

The Bottom Line

Methodology is never neutral. Every assumption—about time, bias, comparators, or value - shapes the story we tell about a technology. This study doesn’t claim to overthrow the HTA establishment. But it does ask a few uncomfortable questions, and maybe that’s exactly what HTA needs.

So if you’re tired of evaluations that follow the rules but miss the point, come take a look. Sometimes, breaking the mould is the most methodologically sound thing you can do.

31 Mar 2025

Andrew Briggs awarded the 2024 OHE Policy Innovation Prize

From Delaware to California:
A Road Map For Incentivising Environmentally Sustainable Innovation

Andrew Briggs, Professor of Health Economics at the London School of Hygiene & Tropical Medicine (LSHTM) and Principal Health Economist at Occam Research, has won the 2024 Office of Health Economics (OHE) Innovation Policy Prize. He shares the prize with Thomas Pogge, Professor of Philosophy and International Affairs at Yale University. 

 

In 2024, the £40,000 Innovation Policy Prize focused on climate change and health and applicants were asked to address the following question: 

 

“How can economic policies incentivise environmentally sustainable innovation in the life sciences sector?”

 

Professor Briggs was awarded the prize for his submissionFrom Delaware to California: A Road Map For Incentivising Environmentally Sustainable Innovation’. The roadmap detailed a three-pronged approach to incentivising innovation in the life sciences sector:

  1. To move from an ex-post to ex-ante incorporation of environmental externalities.
  2. To use a more inclusive definition of the social cost of carbon in valuing externalities.
  3. Create a fund based on health improvements generated by new products in a given jurisdiction to support inward investment in the life science industry in that jurisdiction as well as outward investment to support essential health services in lower income countries.

28 Jan 2025

Value Attribution in Combination Therapies

Common Ground and the Next Frontier

10 Jan 2025

Introduction

The increasing use of combination therapies, particularly in oncology, has brought substantial benefits to patients but also significant complexities for health technology assessment (HTA). One of the most pressing challenges is the attribution of value—and consequently pricing—to individual components of combination treatments, especially when they originate from different manufacturers.

 

Two Proposed Solutions, One Common Objective

In the January 2025 issue of Value in Health, two frameworks were independently proposed to address the value attribution challenge:

  • Attribution of Value Framework for Combination Treatments
  • Outcome-Based Value Attribution Framework

While at first glance these frameworks may appear distinct, a deeper analysis reveals that their similarities significantly outweigh their differences. Both approaches share the fundamental objective of systematically attributing value between components based on clear and transparent principles, ensuring fair pricing and equitable access to effective therapies.

Common elements include:

  • Emphasis on clear and transparent criteria for value distribution.
  • Use of quantitative health outcomes (e.g., QALYs) as a neutral metric for attribution.
  • Recognition of the critical importance of cooperation between stakeholders.

These similarities suggest a convergence in thinking among HTA researchers, highlighting a robust consensus on foundational principles.

 

Editorial Insights and the Real-World Implementation Challenge

The accompanying editorial by Oriana Ciani and Claudio Jommi [link to editorial] further underscores that the core theoretical issue of value attribution may now be effectively resolved. They stress that the most significant remaining challenge lies not in conceptual disagreements, but rather in practical implementation.

HTA bodies must now lead efforts to address the implementation hurdles. These include:

  • Developing standardised guidelines for negotiations between manufacturers.
  • Ensuring consistent application of frameworks across different treatment contexts.
  • Facilitating collaborative data-sharing practices that underpin effective attribution.

A Call to Action for HTA Bodies

With the theoretical basis now solidified by two independently developed yet remarkably aligned frameworks, it is incumbent upon HTA bodies and policymakers to step forward. Solving practical issues around implementation is crucial to ensuring that the potential benefits of these frameworks translate into real-world outcomes, ultimately improving patient access to innovative combination therapies.

 

Conclusion

The convergence in approaches to value attribution for combination therapies marks significant progress. Now, addressing practical implementation challenges must become a priority. Collaborative efforts by HTA bodies, industry, and policymakers will be vital to overcoming these final hurdles and delivering equitable, effective treatments to patients.

Occam Research Ltd

PRIVACY POLICY

© Copyright. All rights reserved. 

We need your consent to load the translations

We use a third-party service to translate the website content that may collect data about your activity. Please review the details in the privacy policy and accept the service to view the translations.