Question
To ask His Majesty's Government, further to the remarks by Lord Markham on 25 May (HL Deb col 1032), whether decisions about changes to the reference case discount rate applied to new technologies for costs and health effects are a matter solely for the National Institute for Health and Care Excellence.
Answer
The National Institute for Health and Care Excellence (NICE) is responsible for developing the methods and processes it uses in the development of its guidance, including the discount rate, taking into account its responsibilities under Managing Public Money.
NICE concluded a comprehensive review of its methods and processes in 2022, including consideration of the discount rate. Following public consultation, NICE concluded that it was appropriate to maintain the existing rate of 3.5% due to policy and fiscal implications and interdependencies beyond the scope of the review. The Department and HM Treasury were engaged throughout the review.
NICE is introducing a new modular approach for further methods updates, where it will work with its system partners on the methodological priorities for the healthcare system.