US NIH fuels innovation while industry drives clinical trials, says study
The US Government continues to make a substantial contribution to innovation in pharmaceutical development while industry investment fuels the majority of clinical development according to a new study.
The research – published here – showed that the National Institutes of Health (NIH) contributed $8.1 billion in project funding for phased clinical trials involving drugs approved by the FDA from 2010-2019, which is equivalent to 10% of reported industry spending over the same period.
In addition, the researcher showed that around 90% of NIH funding came through mechanisms designed to advance the practice of translational science or support programs that provide clinical research capabilities, patient networks or consortia or training in clinical, translational, or regulatory science.
The findings show that Government policy is working as planned according to lead author, Fred Ledley, Director of the Center for Integration of Science and Industry.
“This analysis confirms previous studies showing that the NIH makes substantive investments in the basic and applied science underlying new drugs, but also demonstrates that the NIH makes only limited contributions to development.
“This is consistent with policies that position the public sector as an early investor in pharmaceutical innovations that are subsequently developed and commercialized by the pharmaceutical industry.”
Policy making
The results should also help guide policy making and resource allocation according to the authors, who said future research should look at publicly and privately funded clinical research can be optimized.
“These results may inform the efficient allocation of government funding in policies designed to accelerate pharmaceutical innovation. Such policies must recognize the role of government as a lead investor in the basic and applied research that enables innovation, as well as the government’s relatively circumscribed contributions to clinical development.”
“Further research is required to understand how the complementary roles of public and private sector investments are associated with the efficiency, costs, and timelines of development as well as with the returns on these investments.”
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