There’s an organisation in England known as NICE – The National Institute for Health and Clinical Excellence. Many countries have their equivalent organisations. Their job is to inform health service policy but in fact their advice tends to be taken as the definitive word……if NICE says “no” then that drug will NOT be available on the NHS.
Their decisions cause controversy. Most recently they’ve been in the news over treatments for a cause of blindness and anticancer drugs which are indicated for kidney cancer. In trying to defend their decisions I’ve seen NICE spokesmen struggling to insist that they don’t make a decision on the basis of cost, but on “clinical cost effectiveness”. What does this mean?
Across on the NICE website you can find a very clear explanation. It’s all about QALYs – Quality Adjusted Life Years. This is an international formula for calculating the cost of improving the length and quality of a person’s life. Here’s the detail – (the FULL detail) –
Although one treatment might help someone live longer, it might also have serious side effects. (For example, it might make them feel sick, put them at risk of other illnesses or leave them permanently disabled.) Another treatment might not help someone to live as long, but it may improve their quality of life while they are alive (for example, by reducing their pain or disability).
The QALY method helps us measure these factors so that we can compare different treatments for the same and different conditions. A QALY gives an idea of how many extra months or years of life of a reasonable quality a person might gain as a result of treatment (particularly important when considering treatments for chronic conditions)..
A number of factors are considered when measuring someone’s quality of life, in terms of their health. They include, for example, the level of pain the person is in, their mobility and their general mood. The quality of life rating ranges from 0 (worst possible health) to 1 (the best possible health). (See the box below for an example of how this works in practice.)
What about cost effectiveness?
Having used the QALY measurement to compare how much someone’s life can be extended and improved, we then consider cost effectiveness – that is, how much the drug or treatment costs per QALY. This is the cost of using the drugs to give someone an additional year of life..
Cost effectiveness is expressed as ‘£ per QALY’.
Each drug is considered on a case-by-case basis. Generally, however, if a treatment costs more than £20,000-30,000 per QALY, then it would not be considered cost effective.
How a QALY is calculated
Patient x has a serious, life-threatening condition.
- If he continues receiving standard treatment he will live for 1 year and his quality of life will be 0.4 (0 = worst possible health, 1= best possible health)
- If he receives the new drug he will live for 1 year 3 months (1.25 years), with a quality of life of 0.6.
The new treatment is compared with standard care in terms of the QALYs gained:
- Standard treatment: 1 (year’s extra life) x 0.4 = 0.4 QALY
- New treatment: 1.25 (1 year, 3 months extra life) x 0.6 = 0.75 QALY
Therefore, the new treatment leads to 0.35 additional QALYs (that is: 0.75 –0.4 QALY = 0.35 QALYs).
- The cost of the new drug is assumed to be £10,000, standard treatment costs £3000.
The difference in treatment costs (£7000) is divided by the QALYs gained (0.35) to calculate the cost per QALY. So the new treatment would cost £20,000 per QALY.
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What do you think about this?
I think it’s riddled with problems!
In reality, nobody can tell how many months of life any particular individual human being will live. In fact, the greater the length of the prediction, the less accurate it is. So, not only are we unable to predict accurately how long a person with a particular disease will live, we are also unable to predict how long a person with a particular disease will live if they take a particular treatment. We can work out the averages, work out the probabilities, but we cannot KNOW these figures for any single real person. The use of definite figures such as “8 months without treatments and 13 months with drug X” convey a false sense of certainty. They pretend to be “scientific” and therefore some kind of believable truth. But they are guesses. Informed guesses no doubt, but guesses none the less. If YOU are the patient, are you prepared to make your decisions on the basis of what happens to the statistical average person? Or do you still hope that you might be one of the people who do better than the average? After all, there are always people who will have a better than average experience and nobody can tell you whether or not you are going to be one of those people.
So, the QALY is based on an estimate of a life course. The length of life part of the calculation is a guess. It always is.
Secondly, what about the “quality” part? Who decides that on a scale of 0 to 1 (0=death and 1=perfect health) your quality of life can be assessed as 0.4 or 0.8 or whatever? The questionnaires used have been heavily criticised for picking life values which the authors of the questionnaires rate as important, not the life values which a particular patient might have. Who, in fact, can judge quality of life better than the person whose life it is?
These are not only my criticisms – here are few from the National Library of Health –
- Values assigned to the quality of life component of the QALY may not reflect the values of patients receiving the interventions.
- They may lack sensitivity in some disease areas. For example for chronic disease or mental illness, as quality of life measures largely focus on physical rather than psychological or social disability.
- Some feel that QALYs can over-simplify complex healthcare issues and suggest ‘quick and easy’ resource allocation decision.
- In QALYs, all the emphasis is placed on the size of the health improvement, without taking into consideration the starting point.
- There is an issue with distribution – it is thought that the QALY approach maximises total welfare without regard to how such welfare is distributed between people.
- There is also criticism that conventional QALYs don’t account for attitudes towards risk.
- There are several technical assumptions that are implicit within the QALY model, and there is evidence that these do not accurately reflect real life
But my doubts don’t stop there. Did you read the part about considering the actual cost of the QALY? £20,000 – £30,000 is the limit. If a treatment costs more than that, then it will not be allowed. Who decided that? Why not £10,000 – £20,000? Or £30,000 – £50,000? Doesn’t this make you uncomfortable? That we decide whether or not a treatment should be available on the basis of this financial limit? It certainly makes me uncomfortable. Should we accept that there has to be a limit at all? We make plenty of other decisions as a society about how money is spent without considering these kinds of limits – fighting wars in Iraq, Afghanistan, building nuclear missiles which know will destroy us all if we use them, paying some footballers more than £30,000 a week, increasing economic inequality…….you can choose your own pet spending decision.
We do need a debate about all of this, but let me ask you to think about this. If the patient with the disease under consideration is someone you love, someone you really, really care about, will you still be happy to accept a decision on the basis of QALYs?
Thanks for that Bob. QALYs are a very scary way to evaluate availability of treatments. As you say the fundamental assumptions in the model are so flawed. And why is a specific cost range acceptable when outside that of that range it is not? However, in defence of NICE how does the public purse fund unlimited spending on health care services? Since spending has to be capped they seem to have developed this vehicle to make decisions look equitable. There is no easy answer but clinical decisions should not be decided by cost, it should be decided on what will help the patient.
Thanks for the article!
We live in different countries, but it’s reassuring that people around the globe are facing and talking about similar issues related to our health and well being.
It’s interesting to note that here in Canada as well as in the UK we seem to have decisions based on numbers and not so much on humans. An abacus vs the quality of human life (and death)
You are so spot on about the “averaging” and “predictions” about life expectancies and quality of life improvements.
It rankles me to know that while on the one hand Medical Establishments in Canada in particular debate these issues and limit potentially viable treatments because of the costs, our government continues to protect the entrenched patents of major drug companies by allowing increased protections of the drug patents.
A major portion of any treatment scenario in Canada is attributed to drugs. (we won’t talk about the HMO’s in the US whose major cost appears to be the drugs AND administration of the services)
If it’s NOT about money..what is all the fuss? why all the equations that include the cost of the treatment if it’s not about money?
Look at your graphs and if the quality of life and longevity of the patient increases then use the treatment..and if it decreases..look for an alternative.
Someone close to me smashed his knee in an accident. He was given two options. Fuse the knee..or MAYBE we can try to rebuild the bone. He’s 35, has a long life ahead, and I’m concerned. The operation can’t possibly repair the cartilage damage, and the bone grafts may not take..which then leaves them (after a considerable period of pain while healing from that operation) with the fused knee operation.
That would be a total disaster as I’ve seen what kind of mobility issues people with a fused knee face.
Why wasn’t the 3rd option considered? that of having the knee joint replaced? That option was ruled out! WHY??
The answer is because he’s considered TOO YOUNG for the operation!
So what they’re telling us is he will have to suffer pain and lack of mobility for a major portion of his life..and STILL likely have to undergo the joint replacement anyway simply because he’s too young?? It’s BS
It’s because of the cost of replacement..the length the joint is expected to last (I believe 15 years?) and the fact that they will likely have to redo the operation at least once more in his lifetime.
There are major problems with our systems when we give more consideration to the costs of treatment over the effects on pain and suffering on a person’s health. It’s so shortsighted to worry about the money now when we consider the overall costs of not doing what we can NOW for the patient.
I can easily predict that leaving him in a “de-mobilized” state will put him at risk to additional health issues such as reduced heart health from inaction. If it’s too painful to resume an active lifestyle he will undoubtedly gain weight and experience other health issues for which the system will again be tasked to ignore because of health concerns. Will he then be too young for a heart replacement at 45??
It it’s left up to the “bean counters” you already know the answer is YES.
In this case maybe they should just be humane about the whole thing and treat him like they treat horses and just shoot him!
It’s cheap and the result is ENTIRELY predictable!