Innovation and Value-Based Procurement in EU Healthcare

By driving adoption of novel technologies and care models, innovation and value-based procurement can help healthcare systems respond to demographic pressures, rising costs, and the need for more personalised, integrated services. Innovation Procurement (IP) enables healthcare organisations to procure novel solutions that satisfy unmet needs while delivering better outcomes for patients, service users, and society. Value-Based Procurement (VBP) focuses on buying outcomes rather than products. It is a powerful instrument for "reshaping commercial relationships and models to move beyond price and allow holistic appraisal of medical products through real-world evidence" . VBP aims to maximize overall value for patients, health systems, and society. These complementary approaches drive product and process innovation, yet both remain underutilised in healthcare across the European Union. There are multiple root causes which limit uptake of IP and VBP, including risk aversion among public buyers, skill gaps in innovation management, regulatory and administrative complexities, insufficient funding, and significant fragmentation across the healthcare ecosystem. Overcoming these barriers requires fostering entrepreneurial behaviours: embracing calculated risk-taking, encouraging iterative experimentation, and promoting genuine collaboration through public-private partnerships. Equally important is multi-stakeholder engagement and education. Such programmes must target procurement professionals, healthcare providers, policymakers, and innovative enterprises, equipping them with the knowledge and skills to navigate IP and VBP complexities and cultivate a culture of innovation.