The plan includes raising the NICE threshold, which measures whether a treatment offers good value for money, by 25%.

A UK government spokesperson said: ‘We've secured a landmark economic partnership with the US that includes working together on pharmaceutical exports from the UK, whilst improving conditions for pharmaceutical companies here.

‘We're now in advanced discussions with the US administration to secure the best outcome for the UK, reflecting our strong relationship and the opportunities from close partnership with our pharmaceutical industry.'

The Liberal Democrats have criticised the move, questioning how much it will cost and whether it will lead to further cuts to the NHS.