Justine Elliot (Richmond, Australian Labor Party) Share this | Hansard source

I, too, rise to speak in support of the National Health Amendment (Cheaper Medicines) Bill 2025. The bill amends the National Health Act 1953 to cut the maximum cost of PBS medicines by 20 per cent from $31.60 to $25. It was a Labor government that created the PBS so that every Australian could afford the medicine that they needed. Now, the Albanese Labor government is continuing that legacy, strengthening and protecting the PBS for future generations. Without the PBS, many medicines would cost hundreds, even thousands, per prescription, which would make access to vital medications difficult, if not impossible, for so many Australians.

We know that, for so many people, the cost of medicines is a major contributor to cost-of-living pressures, but delaying or foregoing medication due to cost can lead to worsening health conditions, more complex treatment and higher long-term healthcare costs. This bill is the latest in a series of cost-of-living measures delivered by our government to make medicines even more affordable. It fulfils our 2025 election commitment to reduce the PBS general patient co-payment. From 1 January 2026, all Australians with a Medicare card will pay no more than $25 for PBS medicines. This change will benefit around 5.1 million Australians, delivering immediate relief at the pharmacy counter. Our government's committed to cheaper medicines, a stronger Medicare, more bulk-billing, more doctors and nurses, and more urgent care clinics.

In 2022, we reduced the PBS safety net threshold, cutting the number of scripts concessional patients need before qualifying for free or discounted medicines by 25 per cent. This reform has saved patients over $535 million, with 73 million additional free scripts issued. In 2023, we made the largest cut to medicine costs in PBS history, reducing the general patient co-payment from $42.50 to $30, a 30 per cent reduction that saved patients over $755 million. We also introduced 60-day prescriptions for chronic conditions, which allowed patients to receive double the medication per script, saving time and money and easing the pressure on doctors and pharmacists. This reform saved Australians more than $245 million.

Earlier this year, we froze the cost of PBS medicines for pension and concession card holders so that medicine prices would stay at a maximum $7.70. For my electorate, and the older Australians there, this has made a huge difference in terms of addressing their health needs. For non-concession-card-holders, the cost was frozen at a maximum price of $31.60 until the end of 2025. Already, this reform has led to an estimated $11 million in savings for concessional patients and $15 million for non-concessional patients. Together, these reforms have saved Australians $1.5 billion in medicine costs—a huge amount. In my electorate, patients have saved more than $9.7 million. Now, we're going even further. Cheaper medicines mean immediate cost-of-living relief for everybody. They're good for your health, good for household budgets and good for our health system overall.

The measures in this bill are expected to save Australians over $200 million each year. From 1 January 2026, PBS medicines will become even cheaper. The last time that PBS medicines cost just $25 was more than 20 years ago. Of course, the PBS is a cornerstone of Medicare, ensuring timely and affordable access to high-quality, cost-effective medicines. When people get the medicines they need when they need them, we see much better health outcomes and reduced pressures on our hospitals and other health services. Affordable medicines are so important, too, for supporting school attendance, workforce participation, family care responsibilities and boosting productivity. They're a win-win for everyone.

There are over 900 medicines listed on the PBS, including more than 5,000 different brands. Without the PBS, Australians would be paying the full retail cost to access the medicines they need, and this cost would then be determined by drug makers and pharmacies. From 1 July 2023 to 30 June 2024, over 226 million subsidised prescriptions were dispensed under the PBS. The average cost per patient for prescriptions would be more than $85 without this important government subsidy. Indeed, one of the world's most expensive drugs, Zolgensma, treats spinal muscular atrophy, a rare genetic disorder that involves loss of motor neurons in the spinal cord and causes progressive muscle weakness. Prior to PBS listing, this drug could be purchased for $3 million; it can now be accessed for the standard co-payment amount. Another drug, encorafenib, used to treat melanomas and other cancers, has a retail price of $7,035.45 without the government subsidy. It's a huge difference. Another drug, nivolumab, is an immunotherapy treatment for various forms of cancer. Without the government subsidy, it would cost more than $9,560. It is astounding the difference it will make. Another drug, Doxorubicin hydrochloride, a common and highly effective chemotherapy drug, would have a price of $750.37 without the subsidy. Another one, infliximab, is a commonly accessed drug that treats autoimmune conditions such as rheumatoid arthritis, Crohn's disease and psoriasis. Without the government subsidy, this would cost between $578.68 and $760.24, depending upon the mode of injection. So, without the PBS, access to many life-saving and life-changing drugs would simply not be possible for the vast majority of Australians.

The PBS is such a significant component of the government's investment in our healthcare system. We're committed to ensuring that new medicines can be added and listed on the PBS so that Australians can continue to benefit from access to the highest-quality medicines and so that the pharmaceutical market stays sustainable and competitive. We're also committed to continued investment in other essential healthcare services, including bulk-billing. Access to health care and cheaper medicines is vitally important to every single Australian, and this bill builds on the work of the Albanese Labor government and what we are already doing to improve access to health care in my community on the far north coast of New South Wales.

Prior to the recent election, I made a commitment that, if the Albanese Labor government were re-elected, we'd deliver a Medicare urgent care clinic in the Tweed region where all you will need is your Medicare card, not your credit card. At the new urgent care clinic, locals will be able to access free urgent care when they need fully bulk-billed treatments without waiting for hours in a busy hospital emergency department. This urgent care clinic will make a huge difference to the people of the far north coast.

Recent data has shown us that over 22 per cent of presentations to urgent care clinics in New South Wales have occurred outside normal business hours. That's when people do require that treatment. Over one in four visits take place on the weekend and one in four visits involve treating a young person under the age of 15. This is a very clear indication that the Medicare urgent care clinics are vitally and crucially filling a gap in providing services outside of standard hours and over the weekend. These clinics are giving families in New South Wales—and, indeed, right across the country—timely access to bulk-billed health care and to peace of mind, knowing that help is always there and available. And, of course, it will take pressure off our hospitals as well.

We're also delivering access to a free walk-in mental health care clinic for locals with the Medicare mental health centre in Tweed. This is, again, another election commitment of this government that I'm proud to be a part of that I'm proud to be delivering on. The Medicare mental health centre will be open for extended hours, with no appointment or referral needed. Just walk in—no appointment, no referral—to get the mental health care that you need. You can walk in and get that from this centre. I know other centres around the country are providing vital support for people. That mental health centre will be staffed by qualified mental health professionals, including social workers, nurses and peer support workers. The centre will provide immediate relief for people in distress, as well as ongoing care for those with more complex mental health needs.

Earlier this year, we expanded access to mental health support for young people in my region by opening a new headspace in Ballina. Headspaces are incredibly important for young people to feel comfortable about accessing the health care they need. We have one in Tweed, and I know they do a remarkable job of providing support. That one in Ballina was indeed very much needed, and I was very proud to open that earlier this year.

We're also making MRI scans more affordable and delivering health services to support those experiencing homelessness on the north coast.

Another very important measure that we the Albanese Labor government took was to reclassify the town of Murwillumbah from 'metropolitan' to 'regional' for healthcare services. We reversed the Liberals and Nationals' absurd decision to classify Murwillumbah as a city. I don't know if you've been to Murwillumbah, but it's not a city; it's a regional town. That, of course, had a huge impact upon their capacity to bulk-bill; it was less. Their capacity to attract doctors was unheard of. They couldn't do that because they were classified as a city. I really want to congratulate everyone, particularly in Murwillumbah. This is a community victory. They made their voices heard. We heard them. Labor listen and Labor act, and we changed that classification.

It's making a real difference for locals. There are GPs, like the ones at Wollumbin Medical Centre in Murwillumbah, that are now universally bulk-billing patients. I know that many other practices have started a lot more bulk-billing as well, particularly of pensioners and concession card holders who just could not get to the doctor because of the way the Liberals and Nationals had classified Murwillumbah. They can now, and that's great. I hear from many of the GP practices as well that they've had a lot of interest from doctors who want to move there now that they can access more incentives.

Recently, I was really pleased to visit the Wollumbin Medical Centre to celebrate this good news about them universally bulk-billing everyone. They've told me they can do that now because the Albanese Labor government reclassified Murwillumbah as regional and also because of our increases to bulk-billing incentives that come in from 1 November 2025. It is a perfect example of a government listening and acting, and how our really strong policies in terms of accessing health care are making a difference to regional Australians who quite often have had difficulty accessing health care. But we're making sure that, across the country, people have more services when they need them.

As I say, our government is committed to strengthening Medicare by making PBS medicines even cheaper, increasing bulk-billing incentives, opening up Medicare urgent care clinics—like the one we'll have in Tweed Heads—and growing our health workforce to deliver more doctors and nurses, which we very much need on the ground.

We're also investing in women's and men's health initiatives. We're opening more endometriosis and pelvic pain clinics. We're investing in a lot more free mental health support. We're also establishing 1800MEDICARE, a free 24/7 health advice line that people can access.

Of course, if we look at all of those actions by our government, the Albanese Labor government, the contrast with the Liberals' and Nationals' record on Medicare and the PBS is crystal clear. They cut $50 billion from our hospitals, which, quite frankly, was catastrophic in terms of the capacity to deliver health services. It had a huge impact. Disgracefully, they froze the Medicare rebate—and they made it more expensive to see a doctor by freezing that rebate. They planned to increase the cost of PBS medicines as well. They voted against making PBS medicines cheaper. They've described our urgent care clinics as 'wasteful spending'. This is absolutely absurd.

Our initiatives are game changers. People know that Labor is committed to delivering and strengthening Medicare. They know that when it comes to the Liberals and Nationals—when the former opposition leader was health minister, there were all the cuts he made, and he said that not everything can be free. The impact that his cuts had right across the board is absurd. They were very severe across the country but more so, again, in our regional and rural areas, where there often are impediments to getting health care. People in my region suffered for many years—the nine years the Liberals and Nationals were in government—from the consistent cuts, at every turn, to health care.

It is a big job, and our government has been working extremely hard. I want to acknowledge the incredible work of our health minister in his commitment to strengthening Medicare, and we are seeing the result on the ground now. We know there's a lot to do, but with all those changes we have made a massive difference to people across the country and particularly in my region. Locals in my community on the far north coast know you can only count on Labor to strengthen Medicare and improve the PBS. I commend the bill to the House.

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