Germany's Bundestag approved a package overhauling the statutory health insurance system that mandates higher drugmaker discounts to cut billions in costs; the bill now goes to the Bundesrat amid state-level criticism. From next year drugmakers must give 15.5% discounts on most reimbursed branded medicines, up from the current 7%. The government says the measures—discounts plus spending controls, higher system contributions and greater patient co‑pays—will save about €16 billion next year; witho

Germany's Bundestag approved a package overhauling the statutory health insurance system that mandates higher drugmaker discounts to cut billions in costs; the bill now goes to the Bundesrat amid state-level criticism. From next year drugmakers must give 15.5% discounts on most reimbursed branded medicines, up from the current 7%. The government says the measures—discounts plus spending controls, higher system contributions and greater patient co‑pays—will save about €16 billion next year; without reform public insurance faces a funding shortfall of more than €40 billion by 2030. The health minister warned contributions from workers and employers would otherwise need to rise from next year. Drugmakers including Eli Lilly and Boehringer Ingelheim have warned higher discounts could prompt them to relocate planned investment outside Germany and constrain new‑drug R&D.