Evidaxia
Health economic modelling

Cost-effectiveness and budget impact model adaptation.

We adapt global models to the reference case, costs and comparators of each market, and validate them so the local version is as robust as the original.

Reviewed by Hasan Bari, Founder and Managing Director · Updated October 2026

What changes between markets

A global model is a starting point, not a submission. Each market changes the perspective, discount rate, comparators, costs, resource use and sometimes the utility value set. The treatment pathway may differ, and so may the population that is eligible in practice. Budget impact models need local epidemiology and uptake.

Read our insight: Adapting a global cost-effectiveness model for NICE and NCPE.

What we deliver

  • Local reference case: perspective, discounting, time horizon and outcomes
  • Local comparators and treatment pathways, agreed with clinical input
  • Local unit costs and resource use, with sources documented
  • Budget impact models with local epidemiology and market share
  • Scenario and probabilistic sensitivity analyses
  • Technical validation and quality control
  • Technical reports and user guides
  • Conversion from Excel to R, with optional Shiny interfaces

Validation is part of the job

Adaptation introduces errors as easily as it fixes them. We check every changed input and formula, test the model against the original, and use recognised validation frameworks such as TECH-VER and AdViSHE. You receive a validation log alongside the model.

Why Evidaxia

We build and adapt cost-effectiveness, cost-utility, cost-comparison and budget impact models for NICE and NCPE submissions, in Excel/VBA, R and Python. Because we have reviewed models from the assessor's side, we know where adapted models usually break. See also UK HTA submissions and NCPE submissions.

Reference cases compared

The reference case sets the rules every adapted model has to follow. For the three reference cases we adapt models to most often, the core elements are:

NICE (England)SMC (Scotland)HIQA guidelines (Ireland)
Perspective on costsNHS and personal social servicesNHSScotland and social work (personal social services)The publicly funded health and social care system (the HSE)
Perspective on outcomesAll relevant health effects, for patients and, when relevant, carersPatient perspective as the base case, with a patient and carer perspective as additional analysis where relevantAll health benefits accruing to individuals
Discounting3.5% a year for costs and health effects; 1.5% may be considered when specific criteria are met3.5% a year on costs and benefits4.0% a year on costs and outcomes occurring after the first year
Health-related quality of lifeEQ-5D preferred in adults; the UK EQ-5D-5L value set for appraisals with an invitation to participate issued after 27 August 2026 (PMG51)EQ-5D preferred in adultsGeneric preference-based measures such as EQ-5D or SF-6D recommended

Sources: NICE technology appraisal and highly specialised technologies manual (PMG36) and interim methods statement PMG51; SMC guidance to submitting companies for completion of the New Product Assessment Form (October 2026); HIQA National Guidelines for the Economic Evaluation of Health Technologies in Ireland (March 2025). Our insight on the NICE EQ-5D-5L value set explains what the value set change means for adapted models.

Beyond the reference case

The reference case is the visible part of adaptation. Much of the value lies in the details that make a model feel native to the committee reading it:

  • Model structure: NICE's manual asks that the type of model and its structure are justified for each new decision problem. An adapted model therefore benefits from a short, explicit rationale for why the global structure suits the local pathway.
  • Comparators and pathway: The comparators in a local scope can differ from those in the global model, and so can treatment sequences and the setting of care.
  • Confidential prices: SMC asks that, where a key comparator is available through a patient access scheme discount or a national contract price, the model allows the confidential discount to be entered.
  • Local costs and resource use: Unit costs, administration and monitoring follow national sources and local practice.
  • Budget impact: Each agency has its own budget impact conventions; see budget impact models.

What a strong adapted model looks like

  • A change log that links every adapted input and formula to its local source
  • Results that reconcile with the original model, so the effect of each local change can be traced
  • Settings that run each market's reference case without editing the underlying logic
  • Scenario analyses chosen around the questions the local committee is likely to ask
  • Documentation that a local assessor can follow without access to the global team

Read more in our insight on adapting a global model for NICE and NCPE, and see SMC submissions for the Scottish context.

Model adaptation
“We handed over a global model and got back a Canadian adaptation for CDA-AMC that was easy to audit and easy to explain to payers. Assumptions were documented, every change was traceable, and questions got direct answers.”
Account Director, pharmaceutical company

Client names are withheld at their request for confidentiality.

FAQ

Common questions

Anything else? Email info@evidaxia.com.

Can you adapt a model built by another agency?

Yes. We start with a structured review of the original model, then document every change we make for the local version.

Which markets do you adapt models for?

Most often England, Scotland, Wales and Ireland, as well as Canada and other European markets.

Can you convert our Excel model to R?

Yes. We rebuild models in R, test the results against the Excel version, and can add a Shiny interface for your team.

How do you quality-check an adapted model?

Input and formula checks, extreme-value and logic tests, comparison with the original model, and recognised checklists such as TECH-VER and AdViSHE. You receive the validation log.

Which discount rates do NICE, SMC and HIQA use?

NICE and SMC use 3.5% a year for costs and health effects in the reference case. HIQA's guidelines for Ireland use 4.0% a year on costs and outcomes occurring after the first year. NICE may also consider 1.5% where specific criteria on long-term, sustained benefit are met.

Does an adapted model need a new rationale for its structure?

It helps. NICE asks that the model type and structure are justified for each new decision problem, so a short explanation of why the global structure fits the local pathway and comparators supports the adapted submission.

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