Wegovy maker Novo Nordisk rebuked by watchdog over failure to disclose payments to UK health groups | Pharmaceuticals industry

The pharmaceutical watchdog has reprimanded Wegovy maker Novo Nordisk for failing to properly disclose dozens of payments to the UK health sector as it sought to boost sales of its slimming drugs.

Danish drug giant… The most valuable listed company in Europe – Funding provided over seven years to pharmacy companies, obesity charities, training providers, professional bodies and patient groups was systematically misreported or not disclosed.

Even after admitting errors and conducting an internal review, it failed to accurately report its spending. The company has now been formally reprimanded by the Pharmaceutical Practice Code Authority (PMCPA), which said it had brought the industry into disrepute.

After finding 48 breaches of the industry code, it said there were serious compliance failures – committed while Novo Nordisk was already under audit after Previous violations – “It raised questions about the company culture and demonstrated poor management and lack of care.”

It said that “by failing to publicly disclose payments, and inaccurately reporting and misreporting payments to healthcare organizations and patient organizations over an extended period of time”, it had “tarnished the reputation of the pharmaceutical industry and reduced confidence in it”.

The PMCPA panel said the company was not referred for further sanctions because it had already been sanctioned for similar violations and was subject to ongoing review.

The undisclosed payments were uncovered following an investigation by academics in the UK and Sweden who compared transparency disclosures made by Novo Nordisk with financial statements and other records from healthcare organizations in the UK.

The company had He previously admitted failing to properly disclose paymentsIt told the PMCPA in 2023 that it deleted more than 500 transactions worth £7.8 million for more than 150 organizations between 2020 and 2022.

It was later found to be in breach of industry law by the PMCPA, which said in July there were “fundamental failures of governance”.

But the investigation by researchers at the Universities of Bath and Lund, which overlapped with the PMCPA investigation, found that even after conducting an internal review and claiming to have rectified the problem, Novo Nordisk had failed to accurately record further payments totaling £635,000 to 30 organisations.

They filed a 130-page complaint with the PMCPA, which said in a ruling on Friday that Novo Nordisk repeatedly violated industry law regarding payments, from 2015 to 2022.

These included £183,000 of undisclosed funding to a weight-loss coaching company that partners with pharmacies and the NHS, sponsorship of webinars delivered by a medical training provider, and grants to charities and the Royal College. £338,435 was also incorrectly disclosed to a global obesity organisation.

Dr Emily Rickard, who led the research at Bath, said it was “deeply worrying” that so many errors were not discovered in the review by Novo Nordisk. This was “particularly worrying”, given that it coincided with the UK launch of “blockbuster weight loss drugs such as Wijovi”. “This happened while the company was under audit — when compliance should have been a priority,” Rickard said. “It raises serious questions about transparency and accountability.”

“When a large company like Novo Nordisk does not disclose payments, it not only damages its reputation – it undermines confidence in the entire healthcare system,” said Dr Piotr Ozeransky, Ricard’s colleague at Bath.

Novo Nordisk said it was “committed to operating transparently and ethically” and takes reports of “these historic transfers of value very seriously.” It said it had voluntarily reported most of the undisclosed disclosures itself, and others have now been accurately disclosed, adding that it was “committed to abiding” by industry rules and maintaining the highest ethical standards.

The ruling against Novo Nordisk follows a series of investigations into the tactics used by Wegovy to promote its drugs. observer Previously revealed how Novo Nordisk Paid experts who went on to promote its drugs In media appearances without always clarifying their financial interests. It was also financed Launching NHS weight loss services. She provided hundreds of thousands of pounds worth of care Pharmacies including Boots and Lloyds.

The researchers said the latest findings showed the need for a “comprehensive overhaul” of systems monitoring drug spending in Britain.

There is no legal requirement for companies to disclose payments to the healthcare sector, but many subscribe to an industry code that requires them to report through a voluntary scheme called Disclosure UK.

Alleged violations are evaluated by the PMCPA, which can impose sanctions, including a public reprimand or requiring the company to publish a corrective statement. It may also report the company to the ABPI Board of Directors, which may suspend or expel the company from the association.

Critics say this is not enough. They are calling for the creation of a central, government-run database for payment reporting, accessible to the public, with strict enforcement and penalties for non-compliance. “Transparency in the UK pharmaceutical industry is transparency in name only. Comprehensive reform is urgently needed,” Ozeransky said.

The British Pharmaceutical Industry Association, which represents pharmaceutical companies, declined to comment, but Dr Amit Agarwal, director of medical affairs, said the case was evidence that the self-regulation system was “holding companies to account”.

to divide health “We are examining options to increase transparency and will determine next steps soon,” he said.