Spend on rare disorders medicines funded through the 2014 request for proposals (RFP)
Thank you for your request dated 10 December 2021 under the Official Information Act 1982 (OIA) for information relating to funding for rare disorders treatments. You asked:
Of the $5m of annual funding allocated to the Contestable Fund for Medicines for Rare Disorders announces in July 2014, how much of this allocation was spent, by year, over the duration of the pilot.
I have provided information to respond to your request below.
In 2014, Pharmac sought requests for funding proposals (RFP) for rare disorders medicines through a contestable commercial process. This was referred to as a ‘pilot process’ with the aim of improving people’s access to medicines for rare disorders. This was the first time Pharmac used an RFP process for rare disorders medicines. As a result, 10 new medicines were funded.
While we didn't continue with the RFP approach, the pilot informed our current policy principles and settings which have been in place since 2018. Details of the history of, and current approach for, funding rare disorders medicines can be found on our website: Funding for rare disorders
The gross funding spent on medicines funded each financial year through the 2014 RFP pilot process is listed below.
Table 1: Gross funding spent per financial year on medicines funded via the 2014 RFP process
|Financial year||Gross spend (NZD)||Patients||Medicines dispensed|
Please note, the funding spent on medicines from the 2014 RFP does not account for all funding spent on rare disorders medicines. Other rare disorders medicines have been funded outside of the 2014 RFP process (through the Pharmaceutical Schedule or through the Named Patient Pharmaceutical Application (NPPA) process).
The table below provides a full summary of the gross funding spent on rare disorders medicines through all Pharmac funding mechanisms.
Table 2: Gross funding spent per financial year on rare disorders medicines
|Financial year||Mechanism||Gross spend (NZD)||Patients||Medicines dispensed|
|2015/16||Schedule||2014 RFP medicines||295,265||23||4|
|2016/17||Schedule||2014 RFP medicines||835,357||30||5|
|2017/18||Schedule||2014 RFP medicines||1,040,833||36||4|
|2018/19||Schedule||2014 RFP medicines||1,395,515||41||4|
|2019/20||Schedule||2014 RFP medicines||1,686,873||42||5|
Please note that due to continued (and ongoing) refinement and standardisation of our methodologies for identifying and reporting this information, there have been some small adjustments to the figures reported here versus the corresponding information that has been previously published.
We trust that this information answers your queries. We are making our information more freely available, so we now publish selected OIA responses (excluding personal details) on our website. Please get in touch with us if you have any questions about this.
 Pharmac's financial year runs from 1 July to 30 June.