Closing the last mile: the key to fully unlocking healthcare value in Europe

Europe’s position in global healthcare innovation is often framed in terms of competition, with comparisons to the US and China dominating the discussion. Yet this framing risks missing a more fundamental point: Europe is not struggling to create innovation; it is grappling with realising its full value, hindered by a persistent last-mile gap between scientific discovery and market impact that limits the ability of companies to grow, scale and sustain long-term value creation.

In healthcare, across scientific research, clinical expertise and infrastructure, Europe remains one of the most advanced ecosystems globally. It continues to generate high-quality discoveries, supported by leading academic centres, integrated hospital networks and a highly skilled workforce. Yet despite these real and durable strengths, the return on that foundation is not being fully realised.

Clinical trials offer one of the clearest illustrations of this dynamic. Often viewed as a critical component of the R&D process, but procedural in nature, they are one of the most powerful value-creation mechanisms in the entire healthcare system.

Often viewed as a critical component of the R&D process, but procedural in nature, [clinical trials] are one of the most powerful value-creation mechanisms in the entire healthcare system” 

In Europe today, that value is already substantial. Industry-sponsored clinical trials contribute €35.7 billion annually to the economy, support more than 165,000 jobs and generate €3.6 billion in additional value through R&D spillovers.¹

Beyond their economic impact, clinical trials create measurable productivity gains by accelerating access to innovative treatments, helping millions of people return to their daily lives and work sooner. Critically, they deliver early patient benefit, often providing access to new therapies five to ten years before formal availability, while offering vital alternatives for patients whose existing standard of care is no longer effective.

Still, Europe falls short in maximising its innovation ecosystem. Over the past decade, while the global number of clinical trials increased by 38 percent, Europe’s share fell from 22 percent to 12 percent.¹ This is not a failure of science; it is a question of value capture. The gap is not at the beginning of the innovation pathway, but in how effectively Europe converts and retains the value it creates, with several analyses^2,3,4,5 demonstrating that value becomes diluted in areas such as interpretation, implementation and coordination across Member States.

European Federation of Pharmaceutical Industries and Associations (EFPIA) modelling shows that increasing clinical trial activity by 25 percent – essentially returning to previous levels – could generate nearly €9 billion in additional annual economic value.¹ The opportunity, therefore, is not to rebuild Europe’s innovation model, but to extract more value from it.

At BeOne, this focus on value capture is central to how we approach research and development. Our in-house model is built on integrating global clinical development with strong regional execution, which allows us to reduce trial timelines by up to ~30 percent. Europe accounts for one quarter of BeOne’s clinical trials globally, with over 5,000 patients enrolled in 50+ trials across 30 countries.

The EU Biotech Act, the reform of EU General Pharmaceutical Legislation and efforts to harmonise the clinical trials framework all recognise the importance of making Europe a more efficient and attractive environment for life sciences innovation. Beyond clinical trials, Europe’s competitiveness will also depend on creating more agile regulatory pathways, maintaining strong intellectual property protections, and ensuring that innovative medicines reach patients more quickly and equitably across countries. Together, these elements will be essential to maintaining Europe’s position as a global leader in healthcare innovation.

Europe has already proven it can generate world-class innovation – the real opportunity now is not to catch up and keep comparing, but to stop leaving its full value unrealised.

This requires a shared understanding and commitment across policymakers, regulators, healthcare systems and industry: to reduce fragmentation, accelerate timelines and treat execution as a strategic priority – not as an operational afterthought. This will benefit patients and society as a whole. 

References

1. Assessing the Clinical Trial Ecosystem in Europe: Final Report [online]. [Internet] European Federation of Pharmaceutical Industries and Associations (EFPIA). Brussels. 2024. Available from: https://www.efpia.eu/media/o2gjnmfu/efpia_ve_iqvia_assessing-the-clinical-trial-ct-ecosystem.pdf

2. Draghi M. The Future Of European Competitiveness: A Competitiveness Strategy for Europe [online]. Brussels. [Internet] European Commission; 2024. Available from: https://commission.europa.eu/document/download/97e481fd-2dc3-412d-be4c-f152a8232961_en?

3. Accelerating Clinical Trials in the EU (ACT EU) [online]. Amsterdam: European Medicines Agency (EMA). Available from: https://www.ema.europa.eu/en/human-regulatory-overview/research-development/clinical-trials-human-medicines/accelerating-clinical-trials-eu-act-eu
4. Faure JE, Dyląg T, Norstedt I, et al. The European Innovative Medicines Initiative: progress to date. Pharm Med. 2018;32:347–354.

5. Health at a glance: Europe 2024: State of health in the EU cycle [online]. Paris: OECD Publishing. [Internet] European Commission. 2024. Available from: https://www.oecd.org/content/dam/oecd/en/publications/reports/2024/11/health-at-a-glance-europe-2024_bb301b77/b3704e14-en.pdf