Last week's announcement from Astra Zeneca of 6000 job cuts globally, including 300 at UK Alderley Edge site is another signal of deep changes affecting the Pharma sector. But it isn't the end of Big Pharma as some have prematurely announced. It is another step in the decline of Old Pharma and the old 'Big Pharma' model of Drug Discovery.

 

The pharmaceutical sector is going through major structural change as a result of the explosive pace of discoveries across the board from genomics to ehealth with molecular diagnostics and digital devices and healthcare services; rising pressure on western healthcare budgets; the over-reliance on computer and animal models of disease which have not proven to be good predictors of safety and efficacy in patients; and the imminent loss of billions in revenue from the expiry of patent protection on many current drugs.

 

Whilst the UK has a world class science base, it has been much less good latterly at successfully commercialising innovation. There is growing recognition that unless the NHS is more open to adopting innovation, companies will increasingly struggle to justify investment in the UK.

 

The growing global appetite for re-integrating medicines discovery more closely with the clinical environment (“translational medicine”) instead of in the traditional Discovery and Development facilities of yesteryear (as illustrated in the recent closure announcements at Sandwich (Pfizer) and Charnwood (AstraZeneca)) creates a huge opportunity for the UK. We are one of the few places in the world with the combination of world class University and clinical science, a centrally organised public healthcare system, a highly respected ethical framework for clinical trials, historic reservoirs of data on disease and drug response, and a well established industry and financing sector.

 

Click here: http://www.bbc.co.uk/news/business-16849634, to hear an excellent analysis by Professor David Phillips, from the Royal Society of Chemistry, on the BBC News, and here: http://www.bbc.co.uk/iplayer/console/b01bb9c7, to listen to a piece on the BBC Radio 4 Today Programme (play from 1 hour 17 minutes)