House debates

Tuesday, 27 September 2022

Bills

National Health Amendment (General Co-payment) Bill 2022; Second Reading

7:20 pm

Photo of Ged KearneyGed Kearney (Cooper, Australian Labor Party, Assistant Minister for Health and Aged Care) Share this | Hansard source

I rise to support the National Health Amendment (General Co-payment) Bill 2022, and it is my great pleasure to stand in support of this legislation today. It's a bill that we know will have a real, tangible impact on people's health and their hip pocket. The bill will implement our election commitment to reduce the Pharmaceutical Benefits Scheme general patient co-payment by $12.50, by amending the National Health Act 1953.

From 1 January 2023 the current co-payment of $42.50 will be reduced to $30. This is the first time the PBS co-payment has been reduced by any government. We went to the election with a plan to create a better future for all Australians, and, with the rising cost of living that's hitting Australians at the moment, this bill will deliver on that commitment and give much needed cost-of-living relief. Delivering a stronger, fairer Medicare system will mean a better deal for all Australians and will mean better health care.

Coming out of the recent census, the ABS have reported some disturbing statistics about the social determinants of health. We know that a postcode can actually determine your life expectancy. This is shocking for a wealthy country like Australia. There can be up to, in some parts of this country, a 30-year difference on your life expectancy depending on where you live. This is unacceptable. It's policies like this, universal access to health care and decreasing the cost of medicines across the board, that could indeed go a long way to helping that gap close.

My partner has multiple health issues. He spends a lot of money on medications every month. I tell him it costs our family a fortune to keep him alive, but it's a good thing. That's because we can afford that. I have a good income; he has a good income. We know that he can afford those pills and will get that medication. But there's no question that many Australians are doing it tough and may not be able to afford it like I can, like he can. Their health loses out because of it. They sacrifice their health because they can't afford it.

It's issues like this that contribute to that shocking statistic about the social determinants of health care. I've heard from my constituents, in my electorate of Cooper, and people from right across Australia about how hard it is right now, how the cost of living is hitting their family budgets. I'm proud to be part of a government that is taking this incredibly seriously.

I'm proud to be part of a government that thinks health care should be universal, that where you live shouldn't determine whether or not you can afford to see a doctor or buy the medications you need, that where you live shouldn't determine what your life expectancy is. I'm proud to be part of a government that is taking this incredibly seriously. From our Jobs and Skills Summit and the actions that have come from it—a strong push to get people trained and into work to make sure that anybody who wants a job can get a job—to an increase in the minimum wage which will ensure our lowest paid workers get a pay rise, from our decision to back the Fair Work Commission in giving a pay rise to everybody on the minimum wage or in aged care, to making child care cheaper, to ensuring that people can get cleaner, cheaper energy, we know there's more to be done.

That's what Labor governments do, and I'm proud to speak in support of this bill today. It will make a substantial difference to household budgets and the long-term health of Australians. In 75 years, the Pharmaceutical Benefits Scheme has not seen a cut of this size in the cost of medicines. From establishing Medicare to introducing the NDIS, Labor governments have delivered on health for all Australians for decades. Nineteen million Australians will be eligible to benefit from the savings created from this bill. That's $190 million each year that will be saved by patients.

Under this legislation, the maximum cost of scripts will be brought down from $42.50 to $30. That's a reduction of almost 30 per cent. That is significant to a family on the minimum wage. There are 3.6 million Australians with current prescriptions over $30 who will immediately save on medical scripts. That's 14 per cent of the population—from our kids to our elderly Australians—who are looking at a real change to cost-of-living pressures as a result of this bill.

It's vital that they receive this support, because we know that right now there are individuals and families who are choosing between filling a script for a medicine they need or putting food on the table, and taking daily medications—medications that have been prescribed to be taken daily—only every other day thinking that they are saving costs by doing that, when actually they are making sure that the medication is not having the effect that it should.

Let's not forget that we are the country of Medicare. We are the country of universal health care, yet this is a reality facing so many Australians right now. Australians haven't just magically found themselves in a situation where it has become harder and more expensive to see a doctor or more expensive to pay for medicines or to stay healthy. This is the result of a decade of neglect and negligence by the former government. They failed abysmally when it came to dealing with the issues facing our economy and our health system, and Australians are paying the price for their inaction, quite literally.

When the costs of medicines and medical treatment are prohibitive, when everyday people can't afford the treatments they need to live full lives, there are really serious consequences. It's led us to a situation where we know that individuals are desperately trying to negotiate which medication they can go without that month, that week or that day. We have heard some compelling arguments from other members of this House today about how that is affecting their constituents, the people that they deal with on a daily basis that they see. I see the member for Kooyong is about to make a presentation. I'm sure she would know firsthand the impact that this could have on her patients.

The Australian Bureau of Statistics has told us that 900,000 Australians delayed or didn't get a script filled in 2019-20. That means that they are choosing to go without medicines that a doctor has prescribed for their health, that a doctor said is important and necessary for them to achieve or maintain good health. We have talked to people and industry leaders about this issue for a long time, and we have consulted with key pharmacy stakeholders, who have shared it's like on the ground with patients. From my time as a nurse, hearing these stories is heartbreaking. I've seen up close the risks of going without crucial preventative medicines and the impact on people's long-term health. This is serious; this is about risking people's lives No-one should put in that situation.

So, as we embark on the important task of reforming our health system, I'm proud to support this bill, which will help people avoid ever having to make that awful choice. It will mean that parents and carers will not have to skip out on essentials that month so that their kids with asthma have their puffer. It means that John, who takes the drug Apixaban to reduce his risk of stroke can afford to keep scripts filled. This is a life-saving medication. It is an anti-coagulant medication which lowers the risk of life-threatening blood clots that can lead to stroke. It is listed on the PBS and it currently $42.50 a script. John has been prescribed the recommended dose of five milligrams twice daily, which means he needs 26 prescriptions a year. That is a cost of $1,105 a year that John has to find in his budget or risk going without.

And John is not alone. Approximately one million Apixaban prescriptions are dispensed every year. With a reduction to the patient co-payment, John and thousands like him will now save $325 a year on this life-saving medication. That's a massive saving, and it's one that will make it much easier for people like John to be sure they can afford the medicines that they need. So it's not just support with the cost of living that this bill delivers; it also delivers greater access to healthcare and a healthier life, the ability to avoid serious illness and the ability to keep your family healthy. In cases like John's, it delivers the ability to avoid life-threatening illnesses. This is an incredibly powerful reform. As a nurse, I know how difficult it can be for people to manage the health needs of themselves or their loved ones. It's complex and often tiring and stressful to navigate managing your health—

Debate interrupted.

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