Founded in 1983 and as one of the first university departments of its type, the Centre for Health Economics (CHE) at the University of York is a leading influence on worldwide health policy, helping shape the way societies think about health and health care. As healthcare systems grapple with financial pressures, research carried out in CHE looks set to remain central to decisions about where and how increasingly limited budgets are spent. Over the last three decades, CHE has examined the economic case for drugs and treatments; the effectiveness of public health campaigns targeting smoking and alcohol; hospital efficiency; and the costs and benefits of surgical techniques and interventions. CHE’s work has included the development of the formula used to allocate health resources equitably across England and the development of the Quality Adjusted Life Year (QALY) measurement. The work of CHE was recognised in 2007 when the Queen’s Anniversary Prize was awarded.