The four UK nations and GlaxoSmithKline (GSK) today announced that they have reached an agreement on the UK's outstanding orders of swine flu vaccine.
The final settlement means savings of around a third of the original value of the total orders placed with GSK.
Under the agreement announced today, the UK order with GSK has been capped at 34.8 million doses, including those already received. This represents stock that the manufacturer had produced for the UK, and could not reasonably retract. There will be no cancellation fee.
As part of measures taken to protect the population from H1N1, the Scottish Government, along with the UK Government and the other devolved administrations, ordered sufficient vaccine to protect the entire population if needed. As evidence about the H1N1 virus developed, experts advised that vaccinating the entire population would no longer be necessary.
In light of this advice, the UK Department of Health entered negotiations to reduce the UK orders for the Pandemrix vaccine produced by GSK.
Vaccine that has not been used will be kept as a strategic reserve in case the virus causes a third wave of illness. In addition, patients in the initial priority groups who remain at risk from the virus, such as pregnant women, will continue to be offered vaccination over the spring and summer.
Cabinet Secretary for Health and Wellbeing Nicola Sturgeon said:
"This deal means that the UK will save approximately one third of the original value of the orders with GSK.
"I am pleased that the four nations have reached an agreement that is good value for Scotland and means that we have been able to retain a strategic stockpile to protect the population without incurring a cancellation fee.
"Swine flu has reached its lowest level in the UK since the pandemic began but it is essential to remain vigilant and prepared in case it re-emerges in the UK"
The Department of Health negotiate with GSK on behalf of the devolved administrations.
Details of the agreement are commercially confidential. This is in line with GSK's settlements with other countries.
In addition to limiting the H1N1 vaccine to be delivered, the four nations will each receive doses of H5N1 or avian flu vaccine and courses of the antiviral Relenza to replace the amount used during the swine flu outbreak. The H5NI vaccine and Relenza will be purchased as part of the agreement and are both licensed for use in the UK.
An avian flu pandemic remains just as likely as before the current pandemic and it is prudent that the UK maintains a stockpile of vaccine that is licensed and ready to use.
The four UK nations intend to donate 3.8 million doses of vaccine to the World Health Organization to boost immunity in Africa before the rainy season.
The UK's contract with Baxter for H1N1 vaccine was also cancelled on 28 February 2010.
H5N1 remains a threat and WHO has retained a pandemic alert phase 3 for this virus. The cumulative number of confirmed human cases of Avian Influenza A/(H5N1) reported to WHO were 489 as of March 10, 2010 resulting in 289 deaths. The majority of the cases in 2009 and 2010 have been in Egypt.