Abstract: This study estimated the cost-effectiveness of infant rotavirus vaccination with Rotarix™ in the UK, taking into account community rotavirus infections that do not present to the healthcare system. A Markov model compared the costs and outcomes of vaccination versus no vaccination in a hypothetical birth cohort of children followed over a lifetime, from a societal perspective and the perspective of the National Health Service (NHS). The model estimated costs and quality-adjusted life-years (QALYs) lost due to death, hospitalisation, general practitioner (GP) consultation, emergency attendance and calls to NHS Direct for rotavirus infection in children aged <5 years. Time lost from work and parents’ travel costs were also included in the societal perspective. The base case cost-effectiveness ratio for vaccination compared with no vaccination was £23,298/QALY from the NHS perspective and £11,459 from the societal perspective. In sensitivity analysis, the most important parameters were hospitalisation cost and number of GP consultations. Addition of Rotarix™ to the paediatric vaccination schedule would be a cost-effective policy option in the UK at the threshold range (£20,000–30,000/QALY) currently adopted by the National Institute for Health and Clinical Excellence. [Copyright &y& Elsevier]