US, UK agree to zero tariffs on medicines; UK commits to higher spending

Al JazeeraCenterEN 2 min read 100% complete by By ReutersDecember 1, 2025 at 05:55 PM

AI Summary

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In December 2025, the US and UK announced a trade deal eliminating tariffs on pharmaceuticals and medical products. The agreement requires the UK's National Health Service (NHS) to increase spending on medicines by 25% for at least three years, marking the first significant increase in over two decades. This commitment also involves overhauling the UK's drug valuation process at the National Institute for Health and Care Excellence (NICE). In exchange, UK-made medicines and medical technology will be exempt from certain US tariffs. The US aims to drive investment and innovation in both countries, while also aligning UK medicine costs with those of other wealthy nations.

Key Entities & Roles

Key Player Opposition Context

Donald Trump 50% National Health Service (NHS) ×280% Jamieson Greer 100% United States ×3100% UK ×2100%

Keywords

trade deal 90% pharmaceutical products 80% zero tariffs 80% spending increase 70% medical products 70% drug pricing 60% national health service 60% quality-adjusted life year 50% nice 50% drug valuation 40%