The Congressional Budget Office (CBO) says the Lower Drug Costs Now Act of 2019 (H.R. 3) recently unveiled by House Speaker Nancy Pelosi could cut Medicare costs by $345 billion between 2023 and 2029.
The CBO also found that the proposed legislation would reduce drugmakers’ revenues by between $500 billion and $1 trillion over a 10-year period, resulting in approximately eight to 15 fewer new therapies. In addition, the bill could lead to increased drug prices in countries outside the US., the budget office said.
Despite the bill’s possible limitations, House Democrats are using the new CBO finding to support their push to bring H.R. 3 to a vote in the House.