Claudia Byatt
Money & Banking

Millions of Aussies to be eligible for half-price medicines

Massive changes are underway for millions of Aussies as the federal government is moving to cut the cost of prescription medicine.

Health minister Mark Butler announced that patients will be able to double the number of scripts they can receive, from one month’s supply to two months.

From September 1, general patients will be able to save up to $180 a year if their medicine can be prescribed for 2 months, concession card holders will save up to $43.80 per year on medicine.

Under the reform, which is to be included in May’s budget, 320 different medicines treating chronic conditions such as cholesterol, heart disease and hypertension will be dispensed in 60-day doses rather than the current 30.

They will still be subject to the current price caps, so instead of paying a maximum of $30 for a 30-day medicine supply, those affected will pay $40 at most for a 60-day supply.

One of the ideas behind it is that Aussies won’t have to visit a doctor or pharmacist as often.

The federal government said the change will bring Australia into line with other countries, including New Zealand and the UK, where patients already have access to multiple month medicines on a single prescription.

"Every year, nearly a million Australians are forced to delay or go without a medicine that their doctor has told them is necessary for their health.

"This cheaper medicines policy is safe, good for Australians' hip pockets and most importantly good for their health.”

The overhaul of prescriptions has long been supported by the Australian Medical Association and was recommended by the indecent Pharmaceutical Benefits Advisory Committee in 2018.

However, pharmacists have opposed the reform, with Pharmacy Guild saying the change would cost community chemists $3.5billion.

Pharmacy Guild of Australia president Trent Twomey said the change does little to acknowledge a massive shortage in medications.

“I'm all for cost-of-living relief and a cost-of-living measure but this, unfortunately, is just smoke and mirrors,' he told ABC TV.

“If you don't have the medicine in stock, how do you give double nothing? Double nothing is still nothing.”

Instead, the federal government needed to boost local manufacturing of pharmaceuticals to fix the medicine shortage, Twomey said.

Dr Nick Coatsworth also agreed that the new policy could lead to major medication shortages for patients across Australia.

“The medication shortage issue is not made up.

“This policy could lead to Australians turning up to pharmacies and being turned away for medications they've been on for five-to-10 years,” he told Today.

“I'm actually worried about this, it looks good at face value but I knew a lot about supply chains in Covid and Australians probably aren't quite aware of how ropey those supply chains are.

“If we start giving people 60 days of medications instead of 30, people will miss out.”

Opposition leader Peter Dutton has supported the Pharmacy Guild’s stance in an online video.

"Many, particularly older Australians, but families as well, really rely on the relationship with their local pharmacist," he said.

"The government's proposal at the moment is going to make it harder for pharmacists to do that work and have that relationship with their patients.”

Nationals leader David Littleproud said regional, remote and rural Australians risked being impacted by the changes.

"Thousands of Australians who need medications could suffer as a consequence, because doubling scripts for some might mean others miss out," he said.

However, the reform has been supported by the Australian Medical Association, a doctor’s body, with vice president Danielle McMullen welcoming the change.

“At the time we're talking about so many cost-of-living pressures, this will really ease the burden on patients across Australia,” she told Sunrise.

“There are some situations of shortages in medicines at the moment but there will be a staged approach to this announcement to ease the burden on the shortages.”

Health Minister Mark Butler said the changes will be launched in three states, each introducing around 100 medications.

The first stage will commence on September 1 2023, with the second on March 1 2024, and the final on September 1 2024.

Butler said the new prescriptions will reduce how often those living in rural areas need to travel for treatment and shed light on the issue of Aussies delaying or going without medicines they need due to high costs.

“Every year, nearly a million Australians are forced to delay or go without a medicine that their doctor has told them is necessary for their health,” he said.

“This cheaper medicines policy is safe, good for Australians' hip pockets and most importantly good for their health.”

Butler rejected the idea that the scheme will cause widespread shortages, noting only seven medications on the list are currently scarce.

From September 1, 60-day scripts will be available for the six million people prescribed the eligible medications.

Image credit: Shutterstock

Tags:
Government, Pharmaceutical benefits, Medications, Cost of living