The NDIA’s Independent Pricing Review has been released. The report by McKinsey & Company details 25 recommendations – all of which the NDIA has endorsed in principle.
When implemented the report’s recommendations will certainly provide some relief for providers and reduce the risk of market failure. However, disappointingly, the report does not accept that the standard one-to-one support price is based on flawed assumptions. It recommends adjusting a range of prices and introducing a modest broad-based temporary supplement; but it does not recommend a permanent increase to the base price.