Ali France (Dickson, Australian Labor Party) Share this | Link to this | Hansard source

Let me take you back. It's 2004. Aussie classic Shannon Noll's 'What about me?' is playing on the radio—although, personally, I prefer the original; sorry, Shannon—along with songs like Britney Spears's 'Toxic' and Usher's 'Yeah!'. A new social media platform has launched, a little-known website called Facebook. All the kids want to play Super Mario on the brand-new Nintendo DS gaming console. Shrek 2 is in cinemas. Australia's Ian Thorpe wins the race of the century, defeating Michael Phelps at the Athens Games. Crocodile hunter Steve Irwin feeds a crocodile at Australia Zoo with his baby son, Robert, in his arms—remember that one? And PBS medicines cost no more than $25.

Twenty-one years later and the Albanese Labor government is reducing the cost of medicines to 2004 prices. When we came to government in 2002, the cap on PBS medicines was $42. In 2023, we dropped that to $30. Now, as promised during the election campaign, we have dropped the capped price to $25—the biggest cut to the cost of medicine in PBS history. From 1 January, the maximum co-payment for patients under the Pharmaceutical Benefits Scheme, our PBS, will drop from $31.60 to just $25. That's more than a 20 per cent cut in the maximum cost of PBS medicines. For our pensioners and concession card holders, we're keeping the cost of PBS medicines frozen at $7.70 until 2030.

This matters. It matters to me. I have spent the equivalent of a flat deposit on medications over the last 15 years after I lost my leg and in trying to save my son during his battle with leukaemia—literally thousands. The last thing you want to think about when battling serious and chronic illness is. 'How am I going to afford the treatment?' This will make a difference to so many people across the country. My electorate of Dickson has already saved $9.3 million as at 31 July this year.

We know when family budgets are stretched it's everyday essentials that hit hardest—groceries, rent, bills and, yes, medicines. For many people managing a chronic illness, it's not optional; it's a daily reality. We don't want people pushed into impossible choices, skipping doses, delaying treatment, selling the family home or cutting back on the food bill. It means parents can focus on caring for their kids, not worrying about how to pay for the next prescription. It means older Australians can manage their health without dipping into their savings. It's about making sure that no-one in my electorate of Dickson or anywhere in Australia has to choose between their health and putting food on the table. It's not just a headline. It's practical. It's a meaningful step that will save Australians over $200 million every year.

This change is a key part of our cost-of-living plan. It's money that stays in your pocket. We made a promise to deliver cost-of-living measures prior to the election, and I'm incredibly proud that we are delivering on this. We made a promise. This builds on our work we've already done to make medicines more affordable. We reduced the number of scripts concessional patients need before the PBS safety net kicks in by 25 per cent. We introduced 60-day prescriptions, saving time and money for millions of Australians with ongoing health problems, health conditions and chronic health conditions. These are real changes. They're helping real people, and they're part of our broader commitment to strengthen Medicare and make health care more affordable. We've also made sure that pharmacies can continue to offer discounts so that you can still take advantage of discounts at your local pharmacy. This legislation includes protections to ensure that discounting remains available so that all Australians can benefit from competitive pricing and local support. Our cheaper medicines are good for your hip pocket and good for your health.

The Albanese Labor government is committed to strengthening Medicare because Medicare is Labor's heart. We are delivering more bulk-billing for all Australians and making the single largest investment in Medicare ever. We are investing in women's health, making contraceptives cheaper, funding more treatments for menopause and helping women who are suffering from endometriosis and complex gynaecological conditions. We're opening endometriosis and pelvic pain clinics to help Australian women access the care they need closer to home. This includes expanding the clinics' focus to also provide specialist support for menopause and perimenopause, something for which women over the age of 45 and 50 have been crying out for a long, long time. We're opening more Medicare urgent care clinics and Medicare mental health centres. You can just walk in, with no appointment or cash needed. This includes the new Medicare mental health centre at Strathpine, which I was lucky enough to visit on Friday with the Assistant Minister for Mental Health and Suicide Prevention. The new Medicare mental health centre at Strathpine will help thousands of locals in Dickson. It will allow access to much-needed psychological and psychiatrist appointments.

When we reduce the cost of medicines and provide more bulk-billed health care, we're also reducing the pressure on our health system. People stay healthier. They avoid hospital visits. They avoid the accident and emergency department and they get the care they need earlier. This is in stark contrast to the devastating record of those opposite. Who could forget their proposed mandatory $7 co-payment for GP visits, pathology and imaging services, which they tried and failed to implement when they were in government? Their record on Medicare and health care speaks for itself. The former coalition government abolished the Australian National Preventive Health Agency. In doing so, they slashed investment in preventive health care like targeting obesity and smoking, increasing physical activity and improving healthy eating. They also terminated payments to the states for preventive health. They reversed public hospital funding, putting pressure on our hospitals and hardworking frontline doctors, nurses and other healthcare professionals. They froze Medicare rebates to GPs for over five years and watched while the price of going to the GP soared. They left GPs with the tough decision about whether to absorb out-of-pocket costs or pass them on to patients, leading to fewer bulk-billing practices and higher out-of-pocket costs. Critics at the time described this as a copayment by stealth, disproportionately affecting low-income and vulnerable Australians who rely on regular doctors appointments and, in particular, those with chronic health conditions who need to go to the doctor on a regular basis.

Those opposite might say this was from a budget more than a decade ago, but they're still singing the same tune. The member for Lindsay said yesterday that a Medicare card is nothing more than a 'political prop', but I know firsthand that that is not true. That little green card is the difference between getting treatment or not getting treatment. It is the difference between getting bulk-billed mental health support or not getting immediate support. The Albanese government will never stop strengthening Medicare, and making medicines even cheaper is just one part of how we're delivering on this commitment.

We've also delivered, and we are delivering, for Australians who want cheaper energy. We are giving, over the next few months, $150 off electricity bills. We are also boosting the number of bulk-billed GP appointments. In terms of the cost of living, we're also spending an enormous amount on housing, ensuring that young people get the opportunity to own their own home. Yesterday, we announced five per cent deposits for all first-time home buyers, which we know will make a big difference to those struggling to get into the housing market.

In terms of the cost of health care, I remember back when I worked at a palliative healthcare charity after I lost my leg. I spoke many times to patients who were in palliative care—this is over 10 years ago—who were having to consider selling their homes, having to consider selling their cars, having to consider downsizing and into a cheaper rental because they couldn't afford to pay their medical bills; they couldn't afford to pay for their cancer treatments. I know that this measure is going to make a huge difference to those patients. I know this myself, having walked away from the hospital two years ago and looked at the bill for medications, which sometimes was over $500. This will make a difference to so many peoples' lives.

I am so pleased that we are able to deliver cheaper health care and cheaper medicines. We will continue to do so because Medicare is Labor's heart. We will always fight for Medicare.

Melissa McIntosh (Lindsay, Liberal Party, Shadow Minister for Women) Share this | Link to this | Hansard source

I rise today to speak on the National Health Amendment (Cheaper Medicines) Bill 2025. The Pharmaceutical Benefits Scheme is a critical component of Australia's health system. For decades it has ensured that Australians can access affordable medicines and treatments when they need them most. Under the PBS, patients make a copayment towards the cost of their medicine, and the Commonwealth covers the rest. For this year, that patient copayment sits at $31.60 for general patients. This bill seeks to reduce that copayment to $25. It is an important change and one that the coalition supports. In fact, this bill reflects the coalition's commitment at the last election to guarantee cheaper medicines and lower the PBS copayment to $25.

Right now, Australians are under extraordinary pressure. Labor's cost-of-living crisis has forced families into impossible choices. More and more Australians are delaying or avoiding refilling their scripts because they simply can't afford it. Last year alone, eight per cent of Australians delayed or went without their prescription medication due to cost. No Australian should ever have to make that choice. This bill is a step towards easing that burden that has grown increasingly heavy under the Albanese Labor government. It ensures Australians have more affordable access to the medicines and treatments they need at a time when health care has never been more expensive and it builds on the coalition's proud record of supporting a strong PBS.

When in government, the coalition made around 2,900 new or amended listings on the PBS—an investment of $16.5 billion. That investment ensured Australians had affordable access to potentially life-saving or life-changing medicines that would otherwise have cost them thousands, if not hundreds of thousands, of dollars. We also maintained our commitment to list every medicine recommended by the Pharmaceutical Benefits Advisory Committee. This stands in stark contrast to Labor.

When last in government, Labor stopped listing new medicines on the PBS because they ran out of money. That despicable decision meant Australians missed out on treatments for severe asthma, chronic pain, schizophrenia, blood clots, IVF, endometriosis and prostate conditions. Sadly, history is repeating itself. Late last year, almost 50 medicines were deferred from consideration because the PBAC imposed a cap on the number of medicines they could review. Why? Because the government has not provided adequate resources, and the health minister has turned a blind eye. Patients were again left waiting for access to new treatments at an affordable price.

We've already seen the consequences of Labor's delays with the PBS—for example, for women living with endometriosis. The government announced a listing of Ryeqo on the PBS before the election, but that medicine had been recommended for listing more than a year earlier—an entire year of avoidable delay for women suffering with chronic pain. That is simply not good enough.

The coalition also initiated the health technology assessment review, an important opportunity to look at how we can improve timely access to medicines for Australian patients. The findings of that critical review were released last September by the Albanese Labor government. It was already delayed, yet this government has done nothing. We say to the government: the time for reviews has passed. Patients are waiting and action is overdue.

While we support this bill, we call on the government to do more: to properly resource the PBS listing process, to end the delays, to deliver on the health technology assessment review and to ensure that Australians have timely, affordable access to the medicines they need. The coalition will always back Australians when it comes to affordable medicines. We led on cheaper medicines at the 2022 election. We committed to a $25 PBS copayment and we will continue to hold this government to account for its record of delays and failures.

I move:

That all words after "That" be omitted with a view to substituting the following words:

"whilst not declining to give the bill a second reading, the House:

(1) notes with concern the Government's continuing delays in implementing the recommendations of the Health Technology Assessment review; and

(2) condemns the Prime Minister's failure to secure a meeting with the President of the United States to advance Australia's interests in relation to possible pharmaceutical tariffs and other issues".

This amendment highlights the need for the government to progress the health technology assessment review. It is very disappointing that we have not seen any movement since the already delayed release of the health technology assessment review in September last year. Furthermore, the coalition believe in our PBS, and we note the Prime Minister's failure to secure a meeting with the President of the United States to advance Australia's interests in relation to possible pharmaceutical tariffs and other issues.

I commend the bill to the House.

Lisa Chesters (Bendigo, Australian Labor Party) Share this | Link to this | Hansard source

Is the amendment seconded?

Alison Penfold (Lyne, National Party) Share this | Link to this | Hansard source

I second the amendment and reserve my right to speak.

Madonna Jarrett (Brisbane, Australian Labor Party) Share this | Link to this | Hansard source

I rise to speak in support of the National Health Amendment (Cheaper Medicines) Bill 2025. Access to universal, free health care is one of Labor's greatest legacies to Australians. I don't know how my parents, with their eight children, could possibly have managed without free access to health care via Medicare and subsidised medicines under the Pharmaceutical Benefits Scheme. My pensioner grandparents, who lived next door to us in Paddington, certainly also relied on Medicare and PBS in their later years. Medicare and PBS are Labor legacies that have helped millions of Australians receive the quality health care they deserve. Health care is in Labor's DNA, and this bill is another example of how we continue to improve and expand on our commitment to this fundamental right.

It's important to recognise during this discussion that reducing the cost of prescriptions is one of the cost-of-living measures Labor took to the last election. These measures have been overwhelmingly supported in my electorate of Brisbane and across Australia.

The PBS benefits so many Australians. As of last year, 930 different medicines were listed on the PBS, across more than 5,000 brands. It is critical that all Australians can afford the medicines and the medicine related services that they need. This is particularly important for people with multiple health conditions, taking multiple medicines; people on low incomes; and individuals or families experiencing high out-of-pocket healthcare costs.

In the campaign and before it, as I doorknocked and held community events, the cost of living and health care were consistent themes raised in all parts of my electorate. I heard the real stories in my community of the difference that cheaper medicines make for people.

While doorknocking one day, I met one young woman who told me she didn't know who she was going to vote for yet. She raised a number of community issues that she was concerned about, but there were two key ones on her mind. One was the cost of living and the other was the cost of medicines. We talked about the cost of medicines, and she described how those that she relied on, like antidepressants, continue to become more and more expensive for her and therefore out of reach. She also talked about how young people like her understood how important it was to manage their mental health and how our system needs to be responsive and tailored to help people with mental health needs.

When I mentioned Labor's commitment to cheaper medicines, she wanted to know more. She soon realised Labor's promise would help lower the costs of her scripts and give her a little bit more of a financial buffer to pay her rent, her electricity and grocery bills, and other costs. She, like many Australians, recognised the effective and immediate relief this would bring. She then said that she had made up her mind and would go to the polls and vote for Labor. She did what millions of other Australians did.

Across my electorate, there are many people like this young woman who, with cheaper medicines, will benefit immensely at the chemist check-out. This story shows how reducing the cost of PBS medicines matters to all Australians, including young Australians.

As I mentioned in my first speech, I've heard many stories from constituents about how affordable health care is the difference between living a decent life and not living at all. I just want to repeat one of these stories While doorknocking one day, one lady cried. She cried and she thanked me and she asked me to pass on her thanks to our prime minister because her best friend will now live because her cancer treatment is on the PBS and she can afford it. I also heard stories of other people in our Brisbane community not taking their prescribed medicines because they could not afford to buy them. They talked about cost-of-living pressures, including an increase in healthcare costs. Sadly, this financial pressure to delay or not get prescription medication disproportionately affects women and young people, not just the elderly, as many might assume.

I hear stories from young people in my electorate with diagnosed ADHD about putting off buying their mental health drugs. This is debilitating in some instances. For some, it just makes it a lot tougher to go about their daily lives. In 2023-24, delaying filling medication prescriptions was most prevalent among those aged 15 to 24, with around 12 per cent of this cohort not having their medication in time or at all. That's a lot of people. There is a significant flow-on to the person's health as well as healthcare costs if these barriers are not addressed quickly.

Not taking medicines clearly negatively impacts the health of the individual, but it also leads to higher government costs due to worsening health and, therefore, increased health care—things like the increased likelihood of acute unavoidable hospitalisations and a slow growth in the burden of chronic diseases. Ensuring people can access the medications they need also allows our children to continue to go to school, to learn and to grow up and be productive members of our society, and it allows adults to work, which is important again for our workforce participation and—the words at the top of everyone's mind at the moment—increased economic productivity. Medication adherence can be difficult and complex—I acknowledge that—but, given the significant and increasing impact of health costs on Australian budgets, reducing the cost of prescriptions has to help.

This bill also builds on Labor's previous measures to reduce the cost of medications. The Albanese government, in its first term, cut the general patient co-payment for the first time in 75 years. This reduction, from $42.50 to just $30, has since saved general patients around $770 million.

Thanks to this government, patients with a stable treatment plan for ongoing conditions can receive 60 days medication for the cost of 30 days and only pay a single co-payment. This also helps a lot in health savings as it reduces the number of times patients need to see their GP for simple medication prescriptions. In fact, a patient with a 60-day prescription for a PBS medicine may save up to almost $190 a year per medicine if they are a Medicare card holder who does not have a concession card. If they do have a concession card, they may save just over $46 a year per medicine. For some people that's a lot of money.

This bill before the House makes medicines even cheaper than that though. Once this bill takes effect, it will mean that a prescription on the PBS will cost Australians no more than $25. The last time PBS medicines cost no more than that was in 2004. As a number in this House will remember, 2004 was the year of Shrek 2, Shannon Noll and, unfortunately, the Brisbane Lions losing the grand final. Not only are these prices a classic throwback to 2004, they are also more than a 20 per cent cut in the maximum cost of PBS medicines, which will provide immediate cost-of-living relief to Australians doing it tough. This will save Australians over $200 million each year.

Of course, concession card holders will continue to pay just the $7.70 co-payment. Reducing the general co-payment provides the highest level of savings for the most patients, and it targets people within this group who are likely to have little access to government or other financial support, such as social welfare payments.

The central pillar of Australia's National Medicines Policy is equitable, timely, safe and reliable access to medicines and medicine related services at a cost that individuals and the community can afford. Affordability is exactly what this bill is aimed at.

This bill builds on our support for women's health and medicines. From 1 March, contraceptive devices became cheaper. Some of the most commonly used contraceptive pills were recently listed on the PBS, including Yaz and Yasmin. This is the first listing of new types of oral contraceptives in decades. From 1 July, a new Medicare rebate for menopause health assessments was introduced. After more than 20 years, three new menopausal hormonal therapies were listed on the PBS. Women with specific low levels of reproductive hormones will have earlier access to the combination of therapies through the PBS. The four pens of this therapy would cost more than $3½ thousand without PBS. There are a lot of women who will be much better off as a result.

From 1 July, two new Medicare Benefits Schedule items were introduced for gynaecological consultations of 45 minutes or longer, helping those facing complex conditions such as endometriosis and pelvic pain, and there will be more endometriosis and pelvic pain clinics treating more conditions thanks to the Albanese Labor government.

As I said, PBS and Medicare is in Labor's DNA, so I cannot fail to mention here today that my electorate will also benefit from the broader package of Labor health policies that we took to the election. Thanks to the Albanese government expanding the Medicare urgent care clinic and mental health clinic networks, I've already started to hear the wonderful and real stories of people across my electorate getting the immediate care they need. Once Brisbane locals start to access those $25 PBS medicines, we will hear even more similar stories, stories of people getting the care they may have delayed in the past.

The nearest Medicare urgent care clinic to my electorate is in Kedron, and it's one of the busiest in Australia, which is tangible evidence of how effective this policy is. One of my volunteers gave the urgent care service a trial run earlier this year when her son came off his e-scooter and broke his collarbone. He was seen by a doctor within 30 minutes entirely free of charge. He was patched up in no time thanks to the clinic and its hardworking frontline staff. I'm sure there are many stories just like this of people across Australia being helped every day. The Albanese government is continuing to deliver on its commitment to further expand the Medicare urgent care clinic network, and I'm excited to say there's a tender process underway to identify providers to operate a new Brisbane urgent care clinic.

I'm incredibly proud that the Medicare mental health clinic network has expanded in my electorate as well. Just last week, we launched a new Medicare mental health clinic in Lutwyche. This inner-north Brisbane clinic is commissioned by the Brisbane North Primary Health Network and operated by Communify Queensland. I met many young people on the campaign trail, in addition to those I spoke about earlier, who said they were overcoming mental health challenges. My community will get to see a doctor or a mental health professional for free, closer to home, and they won't have to wait. This will mean residents of Brisbane will now have access to free, walk-in mental health care. No appointment or referral is needed to access the services. This will encourage more people, especially young people, to get the care they need when they need it. They will be able to walk in, and they'll need only their Medicare card, not their credit card.

Labor really is the party of accessible and affordable health care. Labor introduced Medicare. We're expanding Medicare urgent care clinics, and we're now reducing PBS medicines to just $25. The Lutwyche Medicare mental health clinic will provide immediate help for people in distress as well as ongoing care for those with more complex mental health needs. I met with the incredible service delivery team, which includes expert practitioners and people with lived experience. That lived experience is really important. When people go to that clinic they will get a warm welcome, much-needed conversation and clinical care, as needed. Sometimes people facing mental health distress just want to talk to someone and to know that they're not alone and help is there. They may not necessarily need to visit a psychologist or other clinician, but it's available to them if they need.

In closing, I began my working career in the health sector, so this is an area that I am very passionate about. I have a great deal of interest in always looking for ways to improve access to affordable health care for the community. In other countries where I've lived and worked, I've seen what the lack of access to affordable health care can do. Frankly, it is not pretty. For instance, the inhalers that my twin sister and I use daily cost well over $100 in the US, a place where I lived for a while. Here, they will be $25 when the PBS reforms kick in. As I said, this is one of the reasons that I stood for parliament. I want my community and all Australians to have access to universal health care but also the best health care and the best medicine system in the world, which is what I believe we have and are growing towards here in Australia. As successive Labor governments have demonstrated, we are the only party that continues to deliver the needed reforms to expand and improve our world-class healthcare and medicine systems that we are all proud of.

Kate Chaney (Curtin, Independent) Share this | Link to this | Hansard source

I'm speaking today in support of the National Health Amendment (Cheaper Medicines) Bill 2025. This is a bill that aims to ease the financial burden on Australians and improve access to essential medicines, which I commend. The bill also implements a key pre-election promise from the Labor Party, which was matched by the coalition, so we're unlikely to see much opposition to this bill from the coalition. This election promise matching is good for swift outcomes but could be bad, more broadly, for critical analysis of new laws. That said, reducing the PBS co-payment from $31.60 to $25 for patients with a concession card is a meaningful step.

For many Australians, particularly those managing chronic conditions or supporting families, this change will result in hundreds of dollars in annual savings. It's estimated to save patients nearly $800 million over four years, which is a big number with a huge impact on individuals. Lower-cost medicines means fewer skipped doses, fewer delayed treatments and fewer people forced to choose between their health and their household budget.

The bill also expands access to vital treatments, covering conditions like breast cancer, endometriosis, menopause and rare diseases. These are not fringe issues. They affect thousands of Australians. This legislation will make a real difference in their lives.

But, while I support this bill, I do so with a clear understanding of its limitations. This is a step in the right direction, but there are still plenty of people struggling with the cost of medicines. The general PBS safety net remains high, requiring nearly $1,700 in annual spending before additional subsidies or support apply. That's a threshold far above what we see in countries like New Zealand or the UK and it leaves many low-income patients still vulnerable to high out-of-pocket expenses.

The bill's impact assessment might have benefited from broader stakeholder consultation. The Office of Impact Analysis noted that, while the assessment was adequate, it lacked a detailed implementation and input from some key groups.

We must remember that affordability is only one part of the equation. Medication adherence is influenced by many factors—access to pharmacies, health literacy and continuity of care. If we truly want to improve health outcomes, we must continue to address those systemic challenges. But this is a step in the right direction. It reflects a commitment to equity, preventive care and easing the burden on everyday Australians.

On a related issue, I'm frequently contacted by constituents about vital medicines they require that are not listed on the PBS. This includes medications for heart disease, cancer treatment and menopause management. A 2020 House committee inquiry showed that Australia is starting to lag behind in access to new medicines. It takes an average of 466 days from when the Therapeutic Goods Administration says a new medicine is safe to when it's actually added to the PBS. The assessment process for new medications is outdated. It's 30 years old. It doesn't consider many broader benefits, like keeping people out of hospital or in school, or longer term benefits. It could involve patients earlier and more deeply to ensure that the full patient experience situation is considered.

I'm aware that Minister Butler has committed to reforms and to implementing the 50 recommendations that came out of the health technology assessment. I appreciate that commitment but note that it's coming up to three years since those recommendations were made and it's time to get on with it. Just before speaking, I saw that there was an amendment put by the member for Lindsay on this legislation. I will be supporting that amendment, the first half of which really draws attention to this delay on implementing the health technology assessment. I will be supporting that amendment even though I don't really agree with the second half of it, which says that the national interest would be progressed by a meeting between the Prime Minister and Donald Trump. I'm not convinced that a face-to-face meeting with the US President would actually further Australia's interests in relation to pharmaceuticals or other issues based on what we have seen from other meetings and it is the gratuitous attack line of the week. But I think the member makes a really good point in the first half of that amendment. We do need to get on with implementing the 50 recommendations that came out of the health technology assessment.

In conclusion, I support this bill and the amendment. I urge the government to treat it as part of broader ongoing reform of our healthcare system and to focus on timely access to new medicines as a high priority. We need to continue to build a health system when no-one's left behind and where access to medicine and health care is not a privilege but a right.

Tom French (Moore, Australian Labor Party) Share this | Link to this | Hansard source

I rise to speak in support of the National Health Amendment (Cheaper Medicines) Bill 2025. This bill is about fairness, dignity and ensuring that no Australian has to choose between paying the bills and filling a prescription. Labor built Medicare, Labor built the Pharmaceutical Benefits Scheme and Labor will always act to make health care affordable. This bill continues that legacy.

Across Australia, households are under real financial strain. The cost of living is high. Families, pensioners and workers are searching for certainty in their household budgets. Medicines are a quiet but constant part of that pressure. Unlike electricity or groceries, the cost of prescriptions is often hidden from debate, but it is an unavoidable reality for millions of Australians. Pensioners may stretch their tablets to make them last longer. Parents may delay filling a child's script until after payday. Apprentices may skip doses so they can cover the rent. These choices are not trivial. They mean chronic conditions go untreated, recovery times are extended and minor illnesses can become major problems. When Australians skip medicines, they get sicker. They end up in emergency departments. They require hospital admissions that could have been avoided. They miss shifts at work, and their families carry the burden.

This creates a ripple effect. A skipped blood pressure tablet can lead to a stroke. A missed antibiotic dose can lead to sepsis. A delayed insulin refill can result in a hospital admission. Each of these outcomes is preventable and each is more expensive than the script that was skipped. That is why this bill is before the House. It is about prevention rather than crisis. It is about certainty rather than anxiety. It is about ensuring that essential health care is a right and not a privilege tied to the size of the household budget.

Let me turn to the Pharmaceutical Benefits Scheme, or the PBS, because that is the mechanism at the heart of this bill. The PBS was first established in 1948 and expanded under successive Labor governments. Its purpose is simple but profound: to ensure all Australians have affordable access to essential medicines. Under the PBS, the government subsidises the cost of medicines. Patients pay only a capped contribution, called the co-payment, and the government covers the rest. For many medicines, this subsidy is the difference between a script costing $20 to $30 at the counter and costing hundreds and sometimes even thousands of dollars if left to the open market.

The PBS is one of the great pillars of our health system. Alongside Medicare, it ensures universal access. It means a child with asthma in Joondalup can access the same inhaler as a pensioner in Kalgoorlie or a young worker in Sydney, regardless of income. But the co-payment matters. When it rises too quickly, people feel it directly. For families with multiple scripts each month, even small increases compound into a significant burden. That is why co-payment freezes and reductions are so important. To illustrate the point, consider insulin. Without the PBS, insulin can cost several hundred a month. On the PBS, the patient contribution is capped at $31.60 this year, and under this bill it will fall to $25 from 2026. For concession card holders, the cost is $7.70. That is the power of the PBS. In countries without a scheme like this, families can be forced to ration medicines or even turn to online crowdfunding to afford essential drugs. That is not the Australian way.

This bill takes several practical steps to reduce costs and expand access. First, it freezes PBS co-payments for five years. Concession card holders will pay no more than $7.70 until 2030. General patients will pay no more than $31.60 throughout 2025. This matters because, without that freeze, annual indexation would push costs up automatically year after year, regardless of wage growth. The freeze delivers certainty in an uncertain time.

Second, from 1 January, 2026, the PBS general patient co-payment will fall to $25. That is the lowest level in more than 20 years, rolling back two decades of price creep. This represents a 20 per cent cut in the maximum cost of PBS medicines, saving Australians more than $200 million every year. Four out of five PBS medicines will become cheaper under these reforms. Importantly, pharmacies will continue to have the ability to discount below the co-payment, ensuring patients benefit from competition as well as government policy.

Third, this bill strengthens price negotiations with pharmaceutical companies, ensuring taxpayers receive value for money, while patients gain timely access.

Fourth, it expands access to higher cost medicines, particularly for rare conditions where breakthrough drugs have been out of reach for too many Australians.

Finally, it removes unnecessary regulatory delays that add costs without adding value, streamlining access so patients can start treatment earlier.

Each of these measures has a single purpose: to ensure cost is not a barrier to access. Why are we doing this? It is because every dollar saved at the counter makes the difference between a prescription filled today and one on the shelf. Medicines that remain unaffordable are, in effect, medicines that remain inaccessible.

For me, this is not an abstract policy; it is personal. In 2009 I was diagnosed with chronic kidney disease. From that moment, my life was defined by declining kidney function, regular medical testing and the knowledge that one day I would need life sustaining treatment. Chronic kidney disease is relentless. It brings fatigue, dietary restrictions and the constant knowledge that dialysis or a transplant will one day be necessary. It is not a condition that can be ignored. For over a decade I lived with that uncertainty. Every blood test brought new anxiety. Every medical appointment was a reminder of the limitations imposed by the illness. Dialysis loomed in the background. For many Australians, that means hours every second day in a dialysis chair, tethered to a machine, exhausted before and after treatment. It means the inability to travel freely, to work full time or to live independently.

In 2020 I received a kidney transplant. That gift came from my brother, who gave me one of his kidneys and, with it, a second chance at life. But a transplant is not the end of the story. It is the beginning of lifelong management. Patients must take immunosuppressants every day to prevent rejection. They must take antibiotics to reduce infection risk. They must attend constant monitoring, with every missed dose carrying a risk. The medicines that sustain me—tacrolimus, prednisolone, mycophenolate, pantoprazole—are all on the PBS. Without the PBS, those medicines would cost thousands of dollars a year for most families, and that is simply unaffordable. Because of the PBS, their cost is capped and manageable month after month, year after year. Without them, the transplant could have failed. Without them, my brother's extraordinary gift could have been lost. That is why I know firsthand that affordable medicine is not a matter of convenience; they are a matter of survival. That is why I am proud to support this bill—because it will ensure Australians who need medicines, whether for kidney disease or any other condition, can afford them.

Let me turn to the impact in my electorate of Moore. As at 31 July this year, the savings from the cheaper-medicines policy in Moore is already over $12 million. That is not just a number; it is direct relief in household budgets across Perth's northern suburbs. It means seniors on fixed incomes are paying less for their regular prescriptions. It means families managing chronic conditions are no longer as heavily burdened. It means workers balancing rent, mortgages and medical expenses have greater certainty. Predictable co-payments also assist pharmacists. They are both frontline health professionals and small-business operators. Predictability allows them to plan stock, invest in staff and provide better services. When communities have strong local pharmacies, health care becomes more accessible. For many people, the chemist is the first doorway into the health system. This bill strengthens that doorway by making it more affordable.

Nationally, more than 17 million Australian will benefit. The freeze on co-payments will save hundreds, if not thousands, of dollars a year for families managing multiple scripts, with substantial cumulative savings. With that combined with 60-day prescriptions, Australians will save time with fewer trips to the pharmacy, fewer days off work and fewer hours spent waiting for appointments. The government has allocated $3.2 billion in the budget to fund the reforms. That is not simply expenditure; it is investment in health, in productivity and in the dignity of households.

The alternative is always more costly. When people cannot afford medicines, they delay treatment. They present in emergency wards with advanced conditions, they take longer to recover and they leave the workforce earlier. Prevention is cheaper than a crisis. That is the economic logic behind this bill. Every script filled on time is a hospital admission avoided. Every affordable dose taken is a step towards a healthier community and a stronger economy. Let me make this concrete by turning to some of the major health challenges Australia faces. For diabetes, affordable access to medicines prevents complications such as kidney failure, amputations, blindness and heart disease. Each complication avoided saves lives and reduces the cost to the health system. For cardiovascular disease, affordable blood pressure and cholesterol medicines reduce the incidence of heart attacks and strokes, which are among the leading causes of death and disability. For cancer patients, timely access to chemotherapy, pain management and adjunct medicines means better survival rates and reduced suffering. For people with mental health conditions, access to antidepressants and antipsychotics allows them to remain connected to work, study and community. For those with respiratory diseases like asthma, affordable inhalers prevent hospital admissions and reduce emergency call-outs. For people with arthritis and other chronic pain conditions, access to affordable anti-inflammatories and biologics makes the difference between mobility and immobility, between working life and disability. And for people with dementia or Parkinson's, access to the latest medicines helps maintain function and independence for longer, reducing the pressures for carers and aged care. In each of these cases, cheaper medicines do more than treat illness; they protect productivity, reduce avoidable admissions and strengthen the fabric of society.

Cheaper medicines are not just good health policy; they are good economic policy. They keep apprentices on the tools by ensuring injuries and infections are treated properly. They keep seniors active and independent, contributing to community organisations, volunteering and caring for grandchildren. They keep small-business owners at work, managing chronic conditions while continuing to employ staff and serve customers. Affordable medicines reduce avoidable hospital admissions, ease the pressure on ambulances and keep people engaged in study, work and volunteering. They also reduce reliance on disability support pensions and carer payments by keeping people healthy enough to remain in the workforce. They support parents by reducing the number of days taken off work to care for sick children. In short, healthier Australians mean a stronger economy. That is why this bill matters, not only to health policy but to national productivity.

This bill is part of a consistent Labor story. Whitlam had the vision to create Medicare. Hawke and Keating strengthened the PBS. The Howard government attempted to increase co-payments, and it was Labor that resisted and restored affordability. Today the Albanese Labor government is cutting the cost of medicines for millions of Australians. Every time Labor governs, health care becomes more affordable. Every step is about opening the door wider, not narrowing it. Every step is about fairness, dignity and security.

This bill is about fairness. It is about dignity and it is about giving Australians one less thing to worry about when they are sick.

I am here today because medicine was affordable, because my brother made a gift and because public policy helped protect that gift. I want every Australian to have the same chance.

That is what we are doing with this bill. It backs the people of Moore. It backs families across Australia. It invests in prevention, protects health and strengthens the economy. Let us pass this bill. Let's make medicines cheaper. Let us give Australians certainty and peace of mind. I commend this bill to the House.

Michael McCormack (Riverina, National Party) Share this | Link to this | Hansard source

The member for Moore has just outlined the critical nature of the National Health Amendment (Cheaper Medicines) Bill 2025 and given us a deeply personal insight into why it is important. I commend him for that revelation. I also know of a former colleague, Nola Marino, the former member for Forrest, and her deeply personal crusade about endometriosis. These are important, and I recognise and acknowledge the effort that the member for Moore is going to, in his brief career so far in this place, and I wish him well—and certainly on his health crusade.

This bill is being supported by the coalition—although I note that it has been enhanced by an amendment put forward by the member for Lindsay, and I hope that that is very much carefully considered by the parliament. This bill is consistent with the election commitment of the government. Importantly, though, I need to note that that was matched by the coalition. The bill amends the National Health Act 1953 to reduce the Pharmaceutical Benefits Scheme general co-payment, that general patient charge, by $6.60 from the current amount of $31.60 to the new amount of $25. If passed, that will begin on New Year's Day next year.

I know that, during the election campaign and since—and I appreciate that the government has a mandate—there was and has been a lot said about how Labor is the party for good health outcomes and the Liberal and National parties are not. This is simply not true. I also know that what is not true is what Labor talks about—health care being free and that the coalition would have pulled apart Medicare. Health care is not free, and the coalition was in no way ever going to tear down Medicare and what it stands for. It's all well and good for the Prime Minister to produce his Medicare card, that green card which many people use, and it's a great health system we have. If you don't think my words are genuine, then go overseas and get sick. See what other people, who aren't lucky enough to be born Australian, have to contend with when they get ill. We've got a great health system. We've got great health professionals. Is it perfect? No, by no means. But, let me tell you, it's better than anywhere else in the world, and we're very lucky. We've got people who genuinely care about health services and health provisions.

The member for Moore was not here when the health minister was forced, kicking and dragging his feet, to the table to sign the Eighth Community Pharmacy Agreement. I did note that the member for Moore quite correctly pointed out that a chemist is, as he said, the first doorway into the health system for many Australians—and indeed it is. For many of those regional centres, the friendly pharmacist is the only point of call they have into the health system, and we should be very mindful of the role that our chemists play in the first-class health system Australia boasts. We should never forget that, not just when the accord needs to be signed but at all times.

Under this government, the cost of health has increased 15 per cent. In the last term of the Labor government, bulk-billing rates dropped 11 per cent. They are not insignificant numbers. They are not. I know that the health minister, from the leafy suburbs of Adelaide, came out and said: 'If you can't find a doctor to bulk-bill you, just make another appointment. Pick up the phone, see if you can find another appointment and go with that doctor.' It might all be well and good in Glenelg, West Torrens and anywhere else in Adelaide. It might all be well and good in Brisbane, in Sydney, in Melbourne and in any other capital city you care to mention. But I tell you what: when you live in remote Australia and the only doctor in town, if you're lucky enough to have a doctor, is not bulk-billing, you can't pick up the phone and get another doctor, because that other doctor might be five hours away—and that's by plane. We're not blessed with that many doctors in regional, rural and remote Australia—particularly remote Australia.

Everybody would like cheaper medicines—and I acknowledge the government's push to have cheaper medicines—but let me also tell the House of a few of the things that we did, as a government, which are often scorned by those opposite, who maintain that, when they came to office, there was a trillion dollars worth of Liberal Party debt. That's not true either. It was nowhere near that.

I'm sorry, it was not anywhere near that. It probably is now, but it was nowhere near that back then. We did have a global pandemic to deal with and over 93 per cent of Australians got protection from vaccines under the former coalition government. I know there are a lot of people out there who are scaremongering about vaccinations at the moment. I will tell you what people who decry the value of vaccines would do well to do: go and visit a cemetery and look at the number of headstones from prior to the fifties and sixties—before vaccinations were made mandatory—with infants' names and ages on them. Go see the number of bubs who weren't able to make it into adolescence, let alone adulthood, because they passed away too soon because there weren't vaccines available. The other thing that the former coalition government was praised for, by the John Hopkins index, no less, was the fact we were ranked second in the world for pandemic preparedness, and that's something I think we should be very proud of.

There were 502,413 people on the National Disability Insurance Scheme and we now see the problems with the NDIS. My office deals more with NDIS issues than with any other single matter or concern which comes before us via email or any other means. There are issues with the NDIS, not least of which is the cutback to pricing and payments. This means that those NDIS providers who travelling are now cutting back their services to people who need them and are outside the major regional hubs. This is because the travel cost is being absorbed into the overall cost allowed for by this government. This change came into place on 1 July, and, when you talk about health outcomes, that is of critical importance because it means that the most vulnerable of our society, people who have disabilities, are now not going to receive the allied health that they need, whether it's podiatry, physiotherapy, speech therapy or the like. That's cruel. That's sad. It's truly unnecessary. As a regional member, I will continue to fight for those people who aren't being given those services.

Under the former coalition government, there were more than 94 million telehealth consultations through Medicare to 16 million patients. Telehealth will never replace, or should never replace, face-to-face consultations. But, when you are in a remote or regional part of Australia and you don't have that face-to-face professional care, then telehealth is the next best thing and the number of consultations increased under our watch.

There have been 857 new medicines listed on the Pharmaceutical Benefits Scheme since 2019. That's a significant number. I praise and I welcome any listing on that scheme. I realise that new listings have got to go through PBAC. I realise there's a process that is required for a listing, and I do appreciate that the pharmaceutical companies want to get their pound of flesh too. Earlier, I heard the member for Moore talking about kidneys and kidney medicines, drugs and treatments. But, particularly when it comes to medicines that ease the suffering from cystic fibrosis, I also support such listings. I appreciate the government has done something in that regard, as we did for heart health and for any sort of health. I say thank you to the government for any work they do on health. I truly acknowledge that.

There are more than 128,000 Australians supported by headspace, and I welcomed the Assistant Minister for Rural and Regional Health, Ms McBride, to Wagga Wagga just recently. We visited the walk-in clinic in Baylis Street. When I was in government, we were able to bring headspace to town, just like I was also able to bring it to Griffith and fund it for Cowra. Anything that can be done in the headspace space has got to be valued and praised. To that end, I thank former member for Sturt Christopher Pyne for the pioneering work he did for headspace in its early years, when the genesis of headspace was being brought to this parliament. There were 1,400 additional nurse placements for the regions that also came about under the former coalition government; that's a good thing. We should be acknowledging that work that we did.

In the time remaining, I also want to thank the government—here you go—for the work that it's done to fund the Maddie Riewoldt's Vision service that is being provided. Maddie Riewoldt passed away in 2015, all too young, from bone marrow failure syndrome. Her very famous AFL relatives, Nick and Jack, and her wider family are very much supporting that vision that she had—and that they have—and continue the work in this regard. My niece, Elizabeth Shaw—she's married now and has a little baby, Max—has a future because Maddie Riewoldt's Vision is going to be so beneficial for her. Now, with her doctor husband, Dr Byrnes from Wagga Wagga, I know they are going to have a bright future, and I thank the government for that.

But I am very disappointed that the government didn't see fit to continue to fund the colorectal centre in Melbourne that we funded. I wonder why that wasn't funded for the few million dollars that it would have cost to carry on the vital work they were doing to help babies, particularly, who were born with that condition. That colorectal centre was providing great hope and opportunity for those children, and it's now just been taken away for the few million dollars that it would have cost. I will continue to work cooperatively with government to see it funded in the future, because it is all too vital not to be funded.

At the end of the day, if people can get cheaper medicines, if people can acknowledge the role and responsibility that our pharmacies play, particularly in regional Australia, then that has got to be seen as a good thing. If we have a healthy nation, we have a happy nation and we have a productive nation. I know we had a productivity roundtable last week. I'm not too sure how much health was a part of that, but health is vital. If we get our health system right, if we get the distribution of medicines right, we will increase productivity and we'll have a better nation, besides. Certainly, we need to ensure that those rollouts of vital medicines and vital health services are done in rural and remote regional Australia, where so much of the heavy lifting for this nation is done.

Claire Clutterham (Sturt, Australian Labor Party) Share this | Link to this | Hansard source

I am proud to rise today to speak on this legislation, the National Health Amendment (Cheaper Medicines) Bill 2025, which is part of the Albanese Labor government's dedication to more affordable and accessible health care for all Australians. It is also part of the extensive raft of cost-of-living measures that this government has initiated. The cost-of-living relief initiated by the Albanese Labor government is extensive. Tax cuts, more tax cuts combined with energy bill relief, reduced higher education and VET debt, a record and welcome investment in women's health and more bulk-billing are all part of the suite of measures designed to help Australians and their families. Nothing, however, is more important than affordable and accessible health care. A good job, cheaper prices at the supermarket, lower energy bills and reduced education debt are welcome but cannot be leveraged by the average Australian if they are unwell. In a country such as Australia, everyone should be able to take advantage of the opportunity that this great land provides, the opportunity to live a productive and meaningful life.

Having lived around the world, I can say that our healthcare system is the envy of the world, and this government is determined to protect it. Good health is everything, and a critical enabler of achieving good health is being able to access health care. That is why the Albanese Labor government is making cheaper medicines even cheaper by delivering on the government's 2025 election commitment in relation to the cost of medicines. From 1 January 2026 the cost of the Pharmaceutical Benefits Scheme general patient co-payment will reduce from $31.60 to $25. The last time PBS medicines cost no more than $25 was more than 20 years ago, in 2004.

Under this government, we know that downward trends are becoming increasingly common. Inflation is going down. It had a six in front of it when we came to government; now it has a two. Interest rates are going down, the unemployment rate is going down and the cost of medicines is going down. We know that under this government some things go up, like wages for low-income workers, like paid parental leave and like superannuation on paid parental leave. But we know that the cost of medicines is going down.

This reduction of the co-payment to $25 is a critical cost-of-living measure delivered by the Albanese government. The largest cut to the cost of medicines in the history of the Pharmaceutical Benefits Scheme was in 2023—again, on this government's watch—when the cost of medicines on the PBS was lowered to $30, from $42.50. As a result, as of 31 July 2025 the savings in my electorate of Sturt, in Adelaide's east, from the government's action on cheaper medicines has been just over $13 million. Sturt will also be a beneficiary of the Albanese Labor government's health initiatives in that a Medicare mental health centre and urgent care clinic will be delivered to the electorate.

But now we go even further. Importantly, the reduced costs of medicine will include medication newly listed on the Pharmaceutical Benefits Scheme to help address women's unique health needs. Take, for example, the contraceptive pill Slinda, which was first listed on the Pharmaceutical Benefits Scheme on 1 May 2025—one of the first listings of contraceptives on that scheme for, incredibly, more than 30 years. That announcement was made by the federal health minister the Hon. Mark Butler in my electorate of Sturt in May 2025, when we heard from women that, for them, sometimes Slinda is the only option. Because of specific and unique medical circumstances, they cannot take other, more cost-effective forms of contraception. So this listing meant that the annual cost was reduced from more than $300, which is, frankly, prohibitive for some women. If you are a young woman or a low-income earner—perhaps a retail worker, a disability support worker or an aged-care worker—$300 is prohibitive. But now, from 1 January 2026, the cheaper medicines legislation means the cost will be further reduced to $25 for non-concession-cardholders, making it more accessible and affordable to all women, who should not be financially disadvantaged just because of their unique health needs—or, in other words, just because they are women.

At the same time as the announcement about Slinda was made, the announcement about Pergoveris was made. This is a fertility drug. We know that women, with their unique complex health needs, require medication from the early family planning stages of life until they desire to start a family. On this occasion, we met with women who had fallen pregnant because of this drug, now listed on the PBS and affordable. What really struck me about this was that an announcement about contraceptives and fertility drugs at the same time underscored the complex and unique health needs that women have and that the Albanese Labor government is listening to and will continue to listen to.

The National Health Amendment (Cheaper Medicines) Bill 2025 equates to a more than 20 per cent cut in the maximum cost of PBS medicines, which will save Australians over $200 million each year. Four out of five medicines on the Pharmaceutical Benefits Scheme will become cheaper, resulting in more affordable and accessible health care. And we know that healthy economies only occur when there are healthy populations. A healthy population drives productivity. It drives a healthy economy. So health is an economic proposition. Slashing the costs of medicine is a move to promote better health for all Australians, but it is also an economic imperative. Cheaper medicines are good for the hip pocket, good for your health and good for the economy. If medication is skipped, a condition worsens. If a visit to a GP is skipped, a condition worsens. Skip another course of medication, take a few sick days and, all of a sudden, you cannot work, your condition has worsened and maybe you require hospital treatment. This is all about preventive health care, allowing Australians access to affordable health care when a condition arises, not when it has escalated. In Australia, the statement, 'I couldn't afford to fill my script,' should never be uttered. In Australia, the statement, 'I couldn't afford to see my doctor,' should never be uttered.

In addition to the $25 regime, pensioners and concession card holders will continue to benefit from the freeze to the cost of their PBS medicines, with the cost frozen at its current level of $7.70 until 2030. And, as a child of now elderly parents on a raft of different medications, this is very welcome to me. Australia has an ageing population, and we need to ensure that our elderly Australians have access to the affordable health care that they deserve.

All of these initiatives further grow and develop action the Albanese Labor government has already taken to deliver cost-of-living relief through cheaper medicines, including 60-day prescriptions, which save time and money for millions of Australians with an ongoing health condition. Cost-of-living relief is the bread and butter of the Albanese Labor government, and cheaper medicines for all Australians is a critical part of this. Cheaper medicines are good for the hip pockets of all Australians, good for the health of all Australians and good for the Australian economy.

Australians are passionate about health care. During my campaign for the seat of Sturt, my team and I knocked on over 10,000 doors. We talked education; we talked trade; we talked housing. We had great conversations with the engaged voters of Sturt. But a number of weekends jumped out to me as being particularly significant. The first was in November 2024, when the Albanese Labor government announced its policy to wipe 20 per cent off HECS, VET and apprenticeship student debt, which has had an impact on over 25,000 residents of Sturt. The second-biggest weekend was when the Albanese Labor government announced a $587 million investment into women's health. This was welcomed by men and women, because both men and women know that women's health is good for the family and an economic proposition.

As part of this health announcement, the government indicated that it would be funding more treatments for menopause and helping more women suffering from endometriosis, which is a complex condition. There are many women out there who, because of the condition, have been unable to work, unable to get out of bed or unable even to get a diagnosis. The Albanese Labor government has heard you and will be making further investments to ensure the women of Australia get the treatment that they deserve.

Another big weekend of doorknocking was the announcement that Sturt would be the beneficiary—

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

The debate is interrupted in accordance with standing order 43. The debate may be resumed at a later hour. The member will be granted leave to continue speaking when the debate is resumed.