GSK’s boss has joined other industry chiefs warning the UK and Europe need to ‘do more’ to support the industry or risk losing jobs and investment cash to the US.
The pharma giant’s chief executive Emma Walmsley said European nations faced ‘tough choices’ on investment’.
But she ‘absolutely agreed’ that backing the creation of new drugs and vaccines was ‘one of the best investments’ a country could make.
Walmsley added: ‘It is key that the business environment stays competitive. Europe and the UK could do more in that regard.’
The comments echoed those of AstraZeneca’s boss Pascal Soriot who said the continent was at risk of falling behind America as an attractive destination for businesses.
GSK yesterday reported better-than-expected results for the first three months of this year, with sales rising 2 per cent to £7.5billion while profits were up 4 per cent at £2.5billion. Shares rose 3.6 per cent, or 51.5p, to 1483.5p.
Challenges: GSK boss Emma Walmsley (pictured) said European nations faced ‘tough choices’ on investment’
Despite the growing threat of US tariffs, GSK said it was ‘well positioned’ to respond to any new import taxes.
America is the firm’s largest market for its medicines and vaccines. Last year, more than half of the company’s sales came from the US.
Walmsley said America remained the company’s ‘number one market’. AstraZeneca’s Soriot said on Tuesday that research and development of new drugs ‘has mostly been funded by the US’.
‘He warned that if Europe did not keep up, more jobs in the sector would ‘move to the US over time’.
Many drugmakers were already investing heavily in the US, where medicine prices are the highest in the world and as a result present a bigger potential profit.
But the trend has been accelerated by recent threats from President Donald Trump that he will slap tariffs on pharmaceutical imports, encouraging firms to move factories and laboratories across the Atlantic.
Pharma bosses on the continent have called for the European Union to allow them to charge higher prices for drugs to help boost investment in new medicines and better compete with American rivals.
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This article was originally published by a www.dailymail.co.uk . Read the Original article here. .