UK's NICE again refuses to back Bristol's Orencia

LONDON, April 23 (Reuters) - Britain's healthcare cost-effectiveness watchdog has continued to recommend against prescribing Bristol-Myers Squibb Co's (BMY.N) rheumatoid arthritis drug Orencia on the state health service.

Despite an appeal hearing last month, where the U.S. company put its case against an initial rejection in August, the National Institute for Health and Clinical Excellence (NICE) said on Wednesday it did not support using the drug, which is known generically as abatacept.

NICE's decisions are often watched by governments around the world who increasingly have to weigh the benefits of modern medicines against their price.

About 400,000 people in Britain suffer from rheumatoid arthritis, which is marked by stiffness and inflammation of the joints, weakness and loss of mobility.

The European Commission approved Orencia for use last May, and New York-based Bristol Myers launched the drug in the United States last year.

NICE also recommended again using Johnson & Johnson (JNJ.N) and Schering-Plough Corp's SGP.N Remicade, or infliximab, for subacute, moderately to severely active ulcerative colitis. (Reporting by Ben Hirschler; Editing by Quentin Bryar)