The outcomes of this year’s US, EU, and UK elections and their downstream effects will lead to drastic changes to international healthcare and life sciences sectors, said analysts gathered at a recent industry event
The US President-elect Trump’s approach to regulation, centralised life sciences funding in the EU, and the UK Labour government’s 10-year plan were at the top of the agenda for analysts looking at the life sciences sector with their outlook ranging from concern to cautious optimism. The discussion took place at the Jefferies London Healthcare Conference on 21 November.
Taxes and tariffs imposed by the incoming Trump administration were seen as major points of interest by Citseko Staples Miller, managing director at FTI Consulting. These decisions, she said, could affect healthcare companies based outside of the US, as an ‘America first’ stance on tariffs may restrict accessibility to pharmaceuticals imported to the US market.
These concerns were echoed by Richard Hughes, partner at Epstein, Becker & Green. According to Hughes, Trump may seek to revitalise attempts at repealing the Inflation Reduction Act, seen as President Biden’s signature achievement, or otherwise “put his imprint” on drug price negotiations.
Hughes emphasised worries around Robert F. Kennedy Jr.’s nomination as Health Secretary. He noted the “tremendous sway” Kennedy could hold over organisations such as the CDC (Centers for Disease Control) and FDA (Food and Drug Administration). In light of Kennedy’s outspoken anti-vaccine position, Hughes said he might seek to restructure or even dismantle these regulatory bodies.
Following the 2024 EU parliamentary election held in June, Anne-Sophie Deman, managing director at FTI, noted encouraging moves to make the EU a more competitive space for life sciences research. Deman said the European Competitiveness Fund (ECF), proposed by President of the Commission Ursula von der Leyen, will improve life sciences funding in the EU by centralising national research investment budgets. “For the first time ever, health and life sciences has been identified as a strategic sector for Europe – the ECF is going to bring major financing to a few areas that have been identified as strategic,” she said.
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Similar reforms are underway in the UK, explained Daisy Thomas, senior director at FTI. “We’re really seeing life sciences as a key economic driver in the UK,” Thomas said, noting the recently announced commitment of £520m in Labour’s budget for the Life Sciences Innovative Manufacturing Fund as indicative of the government’s attention on the sector.
Thomas pointed to the “three key shifts” of sickness to prevention, hospital to community, and analogue to digital promised by Health Secretary Wes Streeting, present at the conference, as influential in piloting the government’s healthcare policy. The government’s full 10-year plan, in which healthcare policy will be set out, is expected in May 2025.
