Peyrane Frederic
Managing Director, BEAM Alliance
The UK has launched the first-ever market incentive to support the development of new antimicrobials. Without further commitments by other countries, there will be no impact on the AMR innovation ecosystem.
Even though political declarations in support of AMR innovation are accumulating (UN General Assembly, G7 Communiqué), it is still as difficult as ever to find enough money to develop new antimicrobials.
Subscription model boosts innovation
The subscription-based payment model for antimicrobials launched in the UK is however generating optimism among innovation stakeholders. Started in 2022 as a pilot and now turned permanent, the UK model guarantees pharmaceutical companies a fixed annual payment for new antibiotics, regardless of usage, breaking the traditional reliance on sales volume for revenue. The UK can pride itself on being the first to act, with this instrument covering most innovators’ needs. However, will that be enough?
The UK model guarantees pharmaceutical companies
a fixed annual payment for new antibiotics.
Global adoption needed for impact
While this initiative is a step forward, it won’t solve the broader market failure issue unless other countries adopt similar incentives. Make no mistake; any mechanism that would not offer sufficient or sufficiently predictable financial incentives will have no impact.
With the current lack of sustainable business models, many small biotech firms struggle to survive the lengthy, costly process of bringing new antimicrobials to market. The recent difficulties encountered by companies such as Destiny Pharma (UK) and Nosopharm (France) illustrate the problem perfectly and underscore the fragile state of the antimicrobial innovation sector.
Don’t set the wrong targets
Many countries want to do something. However, as many of them are affected by problems of access to antimicrobials, or even shortages, they tend to focus on these issues and develop dedicated incentives. Even if solving these availability problems is critical, looking at the problem solely from this angle is dangerous and short-sighted. The fight against AMR is a long-term race, and we need the means to go the distance. That’s something that only innovation can provide.
Indeed, our intimate relationship with the microbial environment means that we must constantly develop new solutions to keep ourselves safe. We cannot only settle for what already exists. Without sufficient resources, these new solutions will never see the light of day. That’s why every country needs to do its bit and commit to supporting innovation — just like the UK did.
