Incentives reward me-too drugs and marginal gains
The system pays the same for a drug that adds two months as for a cure, so companies race to copy rather than to cure.
The economics of oncology reward being the fifth entrant to a validated target more reliably than being the first to attempt an unsolved one. Thousands of trials have tested PD-1/PD-L1 antibodies, more than a dozen of which are approved with near-identical activity, and TROP2 and HER2 ADCs, KRAS G12C inhibitors and BCMA-directed therapies each have crowded fields, while first-in-class attempts on the hardest problems (pancreatic cancer, glioblastoma, metastasis prevention, cachexia) are few. Prices are set with no relation to benefit, so a drug adding two months of median survival can be priced like a cure, and regulatory precedent makes the follow-on path cheaper and more predictable. Patents reward molecules rather than outcomes; nothing pays for the trial that shows a drug can be stopped, given for less time, or replaced by a generic. Aligning reward with magnitude of benefit, through value-based pricing, benefit-graded exclusivity, prizes and public development of unattractive assets, is the structural fix.
- Price is unrelated to benefit, so a marginal drug earns as much per patient as a transformative one.
- Validated targets carry lower scientific and regulatory risk, which capital markets prefer.
- Regulatory precedent and surrogate endpoints make follow-on approvals faster and cheaper.
- Patent exclusivity rewards new molecules, not new evidence about old ones or about how to use less.
- The hardest problems have long, uncertain, expensive development paths with no interim commercial return.
- ESMO-MCBS and the ASCO Value Framework grade benefit so that payers and guidelines can distinguish transformative from marginal drugs.
- The US Inflation Reduction Act (2022) introduces Medicare price negotiation, weakening the link between market entry and guaranteed price.
- The EU pharmaceutical legislation reform proposal (2023) modulates regulatory data protection according to unmet need and comparative trials.
- ARPA-H and the Cancer Moonshot fund high-risk programmes that private capital avoids.
- FDA Project FrontRunner encourages first-line development of genuinely novel agents rather than late-line me-too positioning.
- Cancer Grand Challenges and philanthropic funders (Stand Up To Cancer) support first-in-class attempts on neglected problems.
Offer a large cash prize to whoever proves, in a rigorous trial, that a cheap existing drug helps people with cancer live longer. Prizes pull effort towards neglected problems.
Governments and foundations would pledge a very large prize, paid only when a treatment is shown to keep most patients with a currently incurable metastatic cancer alive and disease-free for five years.
Investors will not back a single university drug because most fail. A fund that finances fifty of them at once in exchange for a small slice of each one's future royalties spreads the risk enough to attract capital.
Governments promised in advance to buy vaccines that did not yet exist, and they got made. The same promise could be made for a drug against a target everyone has given up on.
Companies could choose to sell a new cancer drug at cost worldwide and instead be paid from a pooled fund according to how much health it actually delivers.
Build a drug company that does not need profits, modelled on the ones that developed new tuberculosis and sleeping-sickness drugs, to take on rare, paediatric and undruggable cancers.
Rank hospitals and companies each year on how well their trial participants match the people with the disease in their area, and use the ranking when deciding who gets public research money and trial contracts.
Cheap old drugs such as aspirin, statins, metformin and beta-blockers show hints of cancer benefit but no company will pay for the trials. Create a public fund and a way to update their labels.
No company will pay to find out whether six months of its drug works as well as twelve. A dedicated public fund would pay for those trials, which save patients side effects and health systems money.
Create a way for a charity or university to get a cheap old drug officially approved for a new cancer use, with a few years of protection on that use so trial costs can be recovered without high prices.
Payers would promise in advance to buy a set number of doses at a set price for any drug that meets a defined bar in a rare or childhood cancer, so companies know the market exists before they invest.
Once a class of antibody such as PD-1 blockers is proven, later copies could be approved on smaller trials showing equivalence, forcing price competition and freeing patients and money for genuinely new drugs.
Rate every cancer breakthrough story and press release for spin, using set criteria, and publish the scores so journalists, institutions and readers can see who overstates.
Pay hospitals a single amount for a whole course of cancer treatment, with extra for following the evidence, rather than paying per visit and per drug, which rewards fragmentation.
Oncology societies already grade how much benefit each new drug gives. Payers should tie the maximum price they pay to that grade.
Drugs approved early on promising results should lose that approval automatically if the company fails to finish the follow-up trial by the agreed date.
Scientists are promoted for novel discoveries, not for checking others' work or sharing data. Changing what universities reward would change what scientists do.
Governments and philanthropists commit large payments for whoever achieves a verified jump in ten-year cure rates for a specific cancer, however they do it.
Children wait years for drugs because adult trials come first, even when the target belongs to a childhood cancer. Some drugs should start with children.
Taxpayers fund much of the science behind new cancer drugs but never learn what they cost to develop. Disclosure should be a condition of public payment.
Companies often delay the childhood cancer studies they are required to do. A slice of the adult drug's revenue would be held back until the paediatric trial is completed.
Screening finds cancers that would never have caused harm, but programmes only report cancers found. Publishing the estimated overdiagnosis rate alongside would make the trade-off visible.
Companies lose money when they prove a shorter course works, so they never test it. Give them a modest reward, such as extra months of exclusivity, when they do.
Investors avoid genuinely new cancer drugs because most fail in mid-stage trials. A public insurance scheme would repay part of the loss when a first-in-class drug fails honestly, making the bet worth taking.
Academic hospitals can already make CAR-T cells for a fraction of the commercial price. A public network would scale that so more patients can be treated for less.
The people who run funding programmes are judged on money moved and papers produced. Judge them instead on whether their portfolios match the burden of disease and whether the trials they fund finish.
Pay more for drugs that clearly help people live longer or better, and less for those that barely move the needle, using a public benefit scale doctors already use.
When a public company announces a trial failure, it should be required to give the actual numbers, as it must for a success.
Trials show older women with the lowest-risk breast cancers gain almost nothing from radiotherapy after lumpectomy. Yet most still get it. Track and reward omission.
Pay a fixed prize, of tens of millions, to the first team to show that a completely new way of attacking cancer works in patients, so that the riskiest early bets are rewarded even before a product exists.
Several drugs are approved for the same cancer, but nobody tests which order works best because no company benefits from the answer. Public multi-arm trials could settle these questions efficiently.
Regulators should refuse to approve a two-drug combination unless there is evidence that both drugs are doing something, so patients are not exposed to useless extra toxicity and cost.
Instead of paying hundreds of thousands up front for a CAR-T or gene therapy, the health system would pay in yearly instalments that stop if the cancer comes back, so companies are paid for cures, not attempts.
A drug that adds years of life would earn extra years of market protection; one that adds a few weeks would earn none. Extensions would be lost if the promised benefit is not confirmed.
Fund trials of old, cheap drugs with anti-cancer signals without seeking patents, and have generic makers produce them, so cost, not profit, decides whether patients get them.
No company can profit from a drug for a cancer that affects a few hundred people. A guaranteed payment for success would change that calculation.
Health systems would pay for AI tools that have shown in trials that they help patients, and pay nothing for tools that have not, giving makers a reason to run the trials.
Leftover-cancer blood tests are being sold faster than evidence that acting on them helps. Paying for them only when the result is recorded would generate the missing evidence.
A large trial showed a structured exercise programme improved survival after bowel cancer. Almost no health system pays for it, so almost no patient gets it.
Health systems earn from treating cancer, not preventing it. Paying them for lower cancer incidence and earlier stage in their population would flip the incentive.
Trial sites are paid per patient recruited, so nobody is paid to finish the study or report the answer. Shift part of the payment to completion and publication within a year.
Discussing and enrolling a patient in a trial takes an oncologist far longer than prescribing the usual treatment, and they are not paid for it. Paying for that time would remove a quiet disincentive.
Hospitals are paid for each radiotherapy session, so a proven five-session course earns less than an unproven twenty-five-session one. Paying per course removes the reason to give more treatment than needed.
For very expensive one-time treatments such as CAR-T, pay in instalments over years and stop paying if the cancer comes back, so price tracks the cure actually delivered.
Health insurers and national health systems have every reason to find out whether half the dose or half the duration of a costly drug works as well. They would fund those trials directly and keep the savings.
Even when a trial proves a cheap old drug helps, insurers may refuse to pay because it is not licensed for cancer. A standing promise to pay would remove that fear.
Nobody can patent a better way of operating or a shorter radiotherapy schedule, so nobody is rewarded for proving one. Prizes for technique improvements shown to work in trials would fill that gap.
Universities and cancer centres would change how they promote scientists, giving credit for finishing trials, sharing data, replicating others' work and publishing failures, not just for papers in famous journals.
A public investment fund would match private money in the riskiest early trials of truly new cancer drugs, taking a small share of future royalties so that taxpayers gain when the bets pay off.
Cheap, essential chemotherapy drugs such as cisplatin keep running short because there is little profit in making them. A publicly-backed non-profit manufacturer would guarantee supply at a fair price.
Many approved cancer drugs probably work just as well at half the dose, which would halve their side effects and cost. Companies will not test this, so payers and public funders should.
Set the price of a new cancer drug provisionally, then adjust it up or down after three years depending on how well patients actually did.
Once two drugs of a kind exist, a third should have to prove itself against the best of them, not against an outdated comparison, so patients and payers learn which is actually better.
The fifth PD-1 antibody that is no better than the first should not get the same market protection as the first. Exclusivity would shrink for copies that add nothing.
Investors would fund vaccination and screening campaigns up front and be repaid by health systems only if the campaigns hit verified targets, turning future savings into money for prevention now.
To get an early approval, a company would set aside the money for the follow-up trial up front, so the trial cannot be quietly abandoned.
Nobody funds trials of old drugs because competitors can sell the result for free. A short exclusive period for the new use, like the one given for children's studies, would change that.
Reward companies that deliver a genuinely new kind of cancer drug with a sellable voucher for faster review of another product, but only if they agree to fair pricing and global access.
When universities license cancer discoveries to companies, the contract would reward companies that price fairly and sell in poor countries, and penalise those that do not, using the royalty rate as the lever.
There is no safe level of alcohol for cancer risk, and the risk is highest for cancers of the mouth, throat, oesophagus, liver, bowel and breast. Public awareness is low; most people do not know alcohol causes breast cancer. Warning labels and minimum pricing are the policy levers being debated.
Smoking is the single largest preventable cause of cancer death, and quitting at any age helps, with the greatest gain from quitting young. Cessation support belongs in every cancer service, including lung screening programmes.
Doll and Hill's 1950 study is where the evidence that smoking causes cancer begins. Everything from cigarette warnings and tax to smoke-free laws and lung screening eligibility descends from this study and the cohort that followed it.
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