Taylor Harvey (202) 224-4515
Wyden Hails New CBO Report on High Drug Prices
New Analysis from Nonpartisan Agency Reveals Dramatically Increasing Prices for Brand-Name Drugs
Washington, D.C. – Senate Finance Committee Chair Ron Wyden, D-Ore., today issued a statement after the Congressional Budget Office (CBO) released a report examining spending and prices for prescription drugs in the United States.
“This report drives home the urgent need to pass robust drug pricing reforms,” Wyden said. “The average net price for brand-name prescription drugs in Medicare Part D doubled in the last decade – far faster than inflation. It’s time to give Medicare the tools to fight back against high prices.”
The report reveals that the average price of a brand-name drug in Medicare Part D has more than doubled from 2009 to 2018, from $149 to $353. From 2010 to 2017, net prices for brand-name drugs increased by an average of 6.3 percent faster than inflation per year. These increases have cannibalized the savings from increased use and reduced price for generic drugs over the same period.
The report comes as Congress continues to consider comprehensive drug pricing legislation that would allow Medicare to negotiate lower prices for the most expensive drugs, force drug companies to pay back Medicare if they raise prices faster than inflation, create an out-of-pocket cap on drug spending for seniors, and cap the cost of insulin for all.
The full report can be found here.
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