The deal, which guaranteeing zero tariffs on the imports of UK pharmaceuticals, is also expected to see a lowering of the rebate payments drug companies are required to make to the NHS in the event of higher than expected sales of new medicines.

Science and technology secretary, Liz Kendall said: 'This vital deal will ensure UK patients get the cutting-edge medicines they need sooner, and our world-leading UK firms keep developing the treatments that can change lives.

‘It will also enable and incentivise life sciences companies to continue to invest and innovate right here in the UK. 

‘This will support thousands of skilled jobs, boost our economy and ensure that the breakthroughs that happen in our labs turn into treatments that benefit families across the country.'

Speaking to Healthcare Management last month, chief policy analyst at the Nuffield Trust, Sally Gainsbury, predicted a deal would see ‘some fairly significant increases' in the NHS pharmaceutical bill', meaning ‘the NHS having to pay more for the same in terms of what drugs we're getting'.

Gainsbury predicted the extra cost would be financed by the Treasury in the short term but added there was a danger it could get lost in the NHS budget in the long term.

Liberal Democrat Health Spokesperson Helen Morgan descried the deal as a ‘Trump shakedown of the NHS'.

‘Trump demanded these pay rises to put Americans first, and our Government rolled over,' Morgan said.

NHS Providers, Daniel Elkeles, said it was not yet clear how the deal will be paid for, adding: ‘There is absolutely no slack in current published NHS spending plans for this major commitment and that is a real worry for trust leaders.'

Dr Layla McCay, director of policy at the NHS Confederation, said: ‘An increase in medicines spending that is funded within existing declining NHS budgets, presents risks to the quality of services to patients and could result in difficult decisions about what the health service needs to cut back on.'