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Donepezil, rivastigmine, galantamine and memantine for ...

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136<br />

Economic analysis<br />

indicating that although intuitively attractive the<br />

model contains data that cast serious doubt on the<br />

validity of the results presented. Illustrative<br />

findings are presented below from the use of the<br />

industry model with some alternative parameter<br />

inputs (below) to determine alternative estimates<br />

of cost-effectiveness <strong>for</strong> <strong>memantine</strong> versus usual<br />

care (no drug therapy). It is suggested that similar<br />

issues are relevant to the consideration of the costeffectiveness<br />

of <strong>memantine</strong> where it is compared<br />

with usual care including donepezil treatment.<br />

Memantine – SHTAC adjustments to<br />

industry model<br />

Where SHTAC have used the industry model with<br />

alternative assumptions, <strong>for</strong> cost inputs, QALY<br />

TABLE 76 SHTAC adjustments to the industry model <strong>for</strong> cost-effectiveness of <strong>memantine</strong><br />

Costs<br />

Community<br />

dependent<br />

Community<br />

independent<br />

Institution<br />

dependent<br />

Institution<br />

independent<br />

QALYs<br />

Independent<br />

Dependent<br />

values <strong>and</strong> discount rates, as in Table 76, the<br />

model estimates a cost per QALY between £37,000<br />

<strong>and</strong> £53,000 (depending on assumption on<br />

percentage of institutional costs met by the NHS<br />

<strong>and</strong> PSS) <strong>for</strong> <strong>memantine</strong> versus no<br />

pharmacological therapy (all other functions in<br />

the model remain the same as in the<br />

manufacturer’s analysis; no re-wiring of the model<br />

has been undertaken). Where we have commented<br />

above on the optimistic or uncertain nature of<br />

transit probabilities used, <strong>and</strong> the weak evidence<br />

underlying these data, we have not been able to<br />

use alternative assumptions in the model,<br />

there<strong>for</strong>e the above SHTAC estimate is also based<br />

on these data, <strong>and</strong> any further adjustments to<br />

model effectiveness data (to offer a more<br />

Industry (per SHTAC alternative Rationale <strong>for</strong> SHTAC adjustment<br />

6-month cycle) (per 6-month cycle)<br />

£5,670<br />

£2,234<br />

£32,919<br />

£21,102<br />

0.65<br />

0.32<br />

£2,589<br />

£1,969<br />

£11,672<br />

£10,220<br />

(£8,901 <strong>and</strong> £7,450<br />

respectively, where<br />

70% of patients are<br />

publicly funded)<br />

0.455<br />

0.395<br />

SHTAC cost estimate <strong>for</strong> full-time-care (FTC) in the<br />

community (see Table 71)<br />

SHTAC cost estimate <strong>for</strong> pre-FTC costs [see the section<br />

‘SHTAC cost-effectiveness <strong>for</strong> mild to moderately severe<br />

AD’ (p. 133)]<br />

Industry estimates high <strong>and</strong> evidence base uncertain<br />

We see institutional costs as the main cost driver <strong>for</strong><br />

institutionalised patients regardless of level of dependency.<br />

There<strong>for</strong>e, we see little difference between the cost <strong>for</strong><br />

institutionalised patients by dependency. For both<br />

dependency levels we use an annual cost <strong>for</strong> institutional<br />

care of £18,471 from Netten et al. 130 For dependent<br />

patients we add to this the estimate of additional NHS<br />

resource use <strong>for</strong> severe AD patients, £4874 per year, from<br />

Kavanagh <strong>and</strong> Knapp 185 <strong>and</strong> Ward et al. 99 (see Table 71, <strong>and</strong><br />

related text). For independent patients we use annual<br />

institutional costs, plus 50% of the estimated cost <strong>for</strong><br />

community independent AD patients (£1969 per year/£985<br />

per cycle). We recognise that these cost estimates are<br />

crude, but see them as more realistic than the industry cost<br />

estimates<br />

The industry utility estimates are from a sample that<br />

comprises predominantly mild <strong>and</strong> independent AD patients,<br />

whereas the model is based on moderately severe to severe<br />

patients. We use data from Neumann et al., 187 who report<br />

values <strong>for</strong> moderate AD <strong>and</strong> severe AD by community <strong>and</strong><br />

institutional setting (see Table 66). We use an average (across<br />

moderate <strong>and</strong> severe AD) of community values as an<br />

estimate <strong>for</strong> ‘independent’, <strong>and</strong> an average of institutional<br />

values as an estimate <strong>for</strong> ‘dependent’, <strong>for</strong> use in the<br />

<strong>memantine</strong> patient group<br />

Discount rates<br />

Costs 3.5% 6% NICE guidance <strong>for</strong> current wave of appraisals<br />

Outcomes 3.5% 1.5%

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