27 August 2025
I rise to make my contribution on the National Health Amendment (Cheaper Medicines) Bill 2025.
Well, we've done it again. The Albanese Labor government is making cheaper medicines even cheaper. This bill reduces the Pharmaceutical Benefits Scheme general patient co-payment from $31.60 to $25 on 1 January next year. This is delivering on the Albanese Labor government's 2025 election commitment. Twenty-five dollars is the lowest Pharmaceutical Benefits Scheme medicines have cost in over 20 years, and this is another key cost-of-living measure delivered by our government.
We've already delivered some major reductions to the cost of medicines. That was in 2023, when we made the largest cut to the cost of medicines in the history of the PBS. Now our government is going even further. This is more than a 20 per cent cut in the maximum cost of PBS medicines; this will save Australians over $200 million a year. In fact, Werriwa residents have already saved almost $8 million since the first changes in cost occurred. Making medicines cheaper in a tangible way is how we are helping families with cost-of-living relief. Four out of five Pharmaceutical Benefits Scheme medicines will become cheaper because of the $689 million investment by the Albanese government. Pensioners and concession card holders will continue to benefit from the freeze to the cost of their Pharmaceutical Benefits Scheme medicines.
What we need to remember is that if you need a diabetic medication, an asthma puffer and blood pressure medication, at the moment it can cost over $100 a month. This change—a reduction of $7 a script—will mean $20 more in your pocket each month. For some people who take multiple medicines, this will be even more.
The assistant minister just spoke about what it is like to be in a community pharmacy and to deal with mums and dads who need multiple prescriptions filled. There was a time when I was that mum. I had three children who had asthma. This time of year is the worst for them, because they get a cold or they get a secondary bacterial infection and you end up at the pharmacy with three prescriptions each to be filled. They're a little older now, but back then that could have been the best part of $150 or $200. That is a huge amount out of anybody's housekeeping that they're not expecting.
Putting money back in people's pockets is just what this legislation will do. The cost will be frozen for pensioners as well, to $7.70, until 2030. And for the first time in 25 years, co-payments are not rising with inflation. This builds on action we've already taken to deliver cost-of-living relief through cheaper medicines. This includes a 25 per cent reduction in the number of scripts that a concessional patient must fill before the Pharmaceutical Benefits Scheme safety net kicks in. We've introduced 60-day prescriptions, saving time and money for millions of Australians who have ongoing health conditions.
The Pharmaceutical Benefits Scheme began in 1948, and, surprising to no-one, it was under a Labor government, led by Ben Chifley. I fear that most modern history forgets Mr Chifley's achievements and the monumental work he did following World War II. I think it's quite fitting that when you type 'Ben Chifley' into a search engine he's stated as being a train driver and former prime minister of Australia. Mr Chifley, in the great Labor Tradition, put in the work to make systems fairer for those who needed it most. And the Albanese government made it clear to everyone that, for us, health is a priority, plain and simple. It's also a right—that everyone in this country should have good health care—and every effort needs to be made to remove any barriers to accessing medical help.
For everyone, health is an important issue. Even if you have good health you may care for loved ones, family, friends or others in the community who will be affected by these changes, so this is something we really should do. I've spoken to a number of local pharmacists and constituents who've told me time and time again that people have had trouble paying for medicines or that the pharmacists have to give advice about which medicine is the most important. The $12.50 reduction in the co-payment in 2023 and this reduction from 1 January mean that community pharmacists will not be as distressed when they have to give this advice, because the advice won't be as necessary. These changes will make so much of a difference to those who need medicines every week.
We've made the massive $6.1 billion investment in Medicare as well. We're rolling out $1.4 billion of investment in Medicare urgent care clinics so that four in five Australians will live within a 20-minute drive of a Medicare urgent care clinic. And we have announced that as of this week the tenders have been sent out for the Medicare urgent care clinic in Green Valley in my electorate, which was also an election commitment for my community from the Albanese government. I'm so excited that the tenders are out, and we are really hoping to see that clinic open in the very near future.
Also in my electorate and all around the country we're rolling out Medicare mental health centres. These will provide support for people who need walk-in help with their mental health at any time. We've invested $174 million to increase the Medicare rebate for common pathology tests for the first time in 24 years as well as adding PCR tests for COVID-19 and other respiratory illnesses to Medicare.
Medicare is one of Labor's greatest achievements. That's why we continue to strengthen it, and it's why Australians nationwide put their trust in us at the last election. They saw what we've done and what we've promised to do, and we have runs on the board to make sure people's health is forefront in what we provide. They agreed to join us on this journey, ensuring that we uphold the values that make this country the envy of the world.
Australians have entrusted us with protecting Medicare and the Pharmaceutical Benefits Scheme and with strengthening Medicare and that scheme. Today we take another step on that journey and today we make the system fairer for everyday Australians. Today we provide much-needed relief for our most vulnerable.
I commend the bill to the House.
Link to Hansard: Full Speech