The impact of inflation on incremental costs in HTA

Sam Large, Joe Trim, Ella Barker, Louis Zanden, Phill O’Neill and Chris Sampson

Contract Research from Office of Health Economics

Abstract: Inflation reshapes the economic landscape in which new treatments are evaluated. Yet cost-effectiveness thresholds tend to remain fixed over time. This report examines how inflation in NHS healthcare costs associated with resource use affects the estimation of incremental costs in health technology assessment (HTA), and what this means for the cost‑effectiveness and commercial viability of new technologies when decision thresholds do not adjust accordingly. Throughout this paper, we distinguish between intervention costs (e.g. the price of treatments) and background NHS costs (i.e. healthcare resource use associated with delivering care related or unrelated to an intervention). Annual publications of NHS unit…

JEL-codes: I1 (search for similar items in EconPapers)
Date: 2026-06-04
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Persistent link: https://EconPapers.repec.org/RePEc:ohe:conres:002533

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