Pharmac Seeks Advice on Funding Wegovy Weight Loss Drug

New Zealand grapples with the third-highest adult obesity rate in the OECD, affecting one in three people over 15 and one in eight children aged 2-14.

New Zealand's Obesity Challenge

Obesity drives over 200 related diseases, including a 12-fold increased risk of Type 2 diabetes, which costs taxpayers $2.1 billion annually according to the Ministry of Health.

Pharmac Reviews Wegovy Funding Applications

Pharmac, New Zealand's pharmaceutical funding agency, received two applications to fund Wegovy (semaglutide), a GLP-1 receptor agonist for weight management.

• First application (September): For patients with established cardiovascular disease (e.g., heart attack or stroke) and BMI of 27 or higher.
• Second application (October): For chronic weight management in those with BMI 30 or higher and at least one weight-related comorbidity.

Pharmac Director of Advice and Assessment David Hughes stated that expert advisors will assess Wegovy's effectiveness against current funded options and its broader health system impact. Guidance is expected later this month.

Additional Funding Considerations

Pharmac is also evaluating an application to fund Saxenda (liraglutide) for individuals with very high BMI.

Australia's Recent Move on Wegovy

Australia announced subsidies for Wegovy on its Pharmaceutical Benefits Scheme for patients with established cardiovascular disease and BMI 35 or higher. This reduces costs to AU$25 (NZ$29) per script or AU$7.70 (NZ$9) for concession holders. In contrast, Wegovy costs $459.99 per month in New Zealand without funding.

Expert Views on Cost Savings and Obesity Management

Associate Minister of Health David Seymour urged Pharmac to consider how funding innovative drugs like Wegovy could yield taxpayer savings elsewhere, potentially accelerating approvals.

Weight loss specialist Dr. Gerard McQuinlan emphasized long-term benefits: "Obesity is a chronic, relapsing, progressive disease with a 95% chance of weight regain without medication."

• Medication addresses hormonal issues regulating hunger and satiety, not willpower.
• Wegovy mimics the hormone controlling the "I've had enough" signal.
• Preventing weight regain avoids superseding initial weights, reducing disease burdens.

Dr. McQuinlan does not anticipate shortages, especially with oral forms forthcoming in New Zealand.