£1m won by drug company after NHS rationing mistake over Alzheimer medication

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A drug company was awarded £1million costs from the NHS "rationing" body yesterday, after successfully appealing against a ban on its Alzheimer's medication.

A court yesterday ordered the National Institute for Health and Clinical Excellence (NICE) to pay substantial costs to Eisai Ltd, licence holder of the drug Aricept.

Last week the Court of Appeal ruled that NICE had been procedurally unfair in how it decided that three Alzheimer's drugs were not cost-effective for patients with mild symptoms.

The combination of Aricept, Exelon and Reminyl would have cost just £2.50 a day for each patient.

Yesterday the court ruled that NICE must pay 60 per cent of Eisai's costs from an initial judicial review last August, plus all the costs of Eisai's appeal - an estimated bill of £1million.

NICE must also release its cost-effectiveness model to all the bodies involved.