Zhi Soon (Banks, Australian Labor Party) Share this | Link to this | Hansard source

I rise today to support the National Health Amendment (Cheaper Medicines) Bill 2025. This government has introduced and passed legislation to deliver on many of its election commitments already. The legislation to deliver our promised 20 per cent cut to student debt has passed this parliament, and our legislation to protect penalty rates for thousands of low-income earners is well on the way. The legislation before the House today delivers on another of our election commitments—that we would make cheaper medicines even cheaper for Australians.

My community values their health and that of their families, and that was abundantly clear during the election campaign. My constituents want a healthcare system that is there when they need it and that doesn't break the bank. It is why the government's agenda of cheaper medicines, expanded access to bulk-billing and more fully bulk-billed urgent care clinics was one I was proud to present to the voters in Banks. I gave my commitment to the people of Banks that I would deliver cheaper medicines, and I am so pleased to have the opportunity to speak on this important legislation that delivers just that.

The Pharmaceutical Benefits Scheme is one of many great Labor initiatives. While fiercely debated at the time of its introduction, it has become a foundational part of our healthcare system. It is our responsibility to ensure that the PBS remains a strong, reliable and accessible program for all Australians. This bill before the House will reduce the PBS general co-payment from $31.60 to just $25 from 1 January next year—delivering on the promise of accessible medications at the heart of the PBS.

In 2004, I had just finished high school and was an 18-year-old student studying at university. It feels like a long time ago now, but it was also the last time PBS medications were this cheap. Importantly, this legislation maintains the co-payment freeze for pensioners and concession card holders at $7.70. This is an incredibly important element of the PBS for the most vulnerable Australians, including seniors, and is something that I'm so pleased to see continuing into the future. It is so important that, when we look to programs like Medicare and the PBS, we ensure that those who have the greatest need for the life-changing, life-saving programs get access to the care they need—and this freeze does just that. Additionally, this legislation includes specific provisions to protect the availability of discounting by individual pharmacies. To be clear, all medications that can be discounted today will continue to be able to be discounted after the passage of this bill and when the co-payment is reduced to just $25.

Indeed, this is not the first time that the Labor government has invested in the PBS to deliver affordable medications for Australian patients. This legislation builds on the previous cut in prices delivered in 2023, where this Labor government delivered the largest reduction in the cost of prescriptions in the 80-year history of the scheme, and now goes even further to deliver even cheaper medicines for our communities. These massive cuts in the cost of the PBS medications are a tangible cost-of-living relief for some of the most in need in our Australian community. When combining the provisions of this legislation with the previous reduction in prescription prices, it amounts to a 20 per cent cut in the maximum cost of PBS scripts in the four years since Labor came into government in 2022. In fact, this government's $689 million investment in the PBS will result in 80 per cent of medications available under the scheme being cheaper than they were four years ago and save Australian consumers more than $200 million a year.

This is the sort of change that Labor governments deliver. During the debate on this legislation, we've heard stories from many colleagues about constituents reporting to them that they are skipping scripts and halving doses to try and make their medications go further. This isn't how it should have to be, and we owe it to our community to do all that we can to strengthen the healthcare system through legislation like this to make that a thing of the past. Already, the Labor government's cheaper medicines program has saved patients in my electorate of Banks $7.9 million. That is $7.9 million that my constituents have back in their pocket while still accessing the quality healthcare that they need.

I think, while considering this legislation, it is also important for the House to reflect on the impact that the PBS has on Australians. Siponimod is a medication for the treatment and management of relapsing multiple sclerosis. With the PBS, the cost of this medication is $31.50. Without it, it is $2,220. Everolimus, a medication used to prevent organ transplant rejection, costs $31.50 with the PBS. Without it, the cost is $1,469. Molnupiravir, a medication for the treatment of COVID, among other diseases, costs $31.50 with the PBS. Without it, it is $1,103. Aflibercept, a medication for the treatment of macular degeneration and other eye conditions, again costs $31.50 with the PBS. Without it, it is $934. Lastly, selpercatinib is a medication for the treatment of certain types of lung cancer. With a PBS script, it's $31.50. Without it, the total cost is in the hundreds of thousands of dollars.

During this debate, the House has heard stories from members, including the members for Dickson and Moore, about how important the PBS and Medicare system have been in their own lives. The PBS truly is the lifeblood, almost literally, for so many Australians across our communities.

I mentioned earlier that my community made it clear during the election campaign that they wanted to see government that's delivering a stronger healthcare system and one that is delivering it on an ongoing basis. This government has reduced the number of scripts a concession card holder or pensioner must fill before the PBS safety net kicks in by 25 per cent. We've rolled out 60-day prescriptions and dispensing, which is saving millions of patients across Australia both time and money, and we took decisive action to freeze the co-payment rate for the first time in 25 years.

Investment in the PBS and reducing the cost of medications is a big part of this government's agenda for protecting and strengthening Australia's healthcare system. But it is broader than that as well. On 1 July this year, the Labor government made a $1.8 billion investment in hospitals across the country in partnership with state governments, including $407 million for hospitals in my state of New South Wales, to cut waiting lists and reduce emergency department waiting times so Australian patients can get care on the days they need it most.

While this government is boosting hospital funding, we're also making sure there are more ways for Australians to interact with the healthcare system. I'm sure I don't need to remind anyone in this place that, at the election in 2022, Labor promised to open a network of 50 fully bulk-billed urgent care clinics and delivered 87. Banks, my community, is served by the clinics in Bankstown and Carlton, and they have been a tremendous success, keeping more than 10,000 patients out of our local emergency departments at Bankstown-Lidcombe and St George hospitals or, even worse, from not being able to access care at all. As the government further expands the network of urgent care clinics to more than 130 nationwide, more and more Australians will be able to access these fantastic services.

The government is also investing in women's health to deliver more choice, lower costs and better health care for women across Australia and demonstrate that women's healthcare needs are being taken seriously, including the first PBS listing for new oral contraceptives in more than 30 years, expanding the network of endometriosis clinics to 33, expanding their scope to include menopause care and adding more endometriosis medications to the PBS.

The government is investing in the mental health services available to all Australians, backed by Medicare, including the commitment to 31 new and upgraded Medicare mental health centres that offer free walk-in medical health care to anyone who needs it, and to boost the mental health workforce, with 20 new specialist care centres as well as 58 new, upgraded or expanded headspace services for young people aged between 12 and 25, including one that serves my community in the suburb of Hurstville.

The government understands the noble work of looking after others. This is why we are investing in our healthcare workforce so that those who care for our sick, our injured and our vulnerable are supported and recognised, not just in rhetoric but in their pay packet. We have also introduced programs such as fee-free TAFE and the paid prac payment that supports aspiring nurses and healthcare professionals to get skilled, to get qualified and to get into our healthcare workforce without being financially worse off.

While those opposite don't like to admit it, when we came to government bulk-billing rates were falling, as were the number of GPs able to bulk-bill all their patients as a result of nine years of cuts and neglect. This government did the hard work, made record investments in Medicare in the last term of parliament to restore bulk-billing rates for those in our communities who need it most, and got results. Bulk-billing rates began to climb in every state and territory as a result of millions of additional trips to the GP that wouldn't have been bulk-billed without our tripling of the incentive.

When I spoke to the constituents in my electorate about bulk-billing, they appreciated what the government had achieved in this space, but they also wanted to know what else the government could do to make it easier for them to see a doctor. I was so pleased to be able to present the government's commitment to the largest investment in the history of Medicare to ensure that nine out of 10 visits to the doctor would be bulk-billed by the end of the decade.

In conclusion, I'd like to reiterate my support for this legislation. It delivers on cost-of-living relief and greater access to health care in one package. This legislation is good for our nation's health and good for our country's hip pocket. I commend the legislation and thank this government for supporting the community of Banks by making sure that it isn't a trade-off between health care and the balance in their bank accounts.

Sarah Witty (Melbourne, Australian Labor Party) Share this | Link to this | Hansard source

I rise today to speak in support of the National Health Amendment (Cheaper Medicines) Bill 2025. This bill delivers one of the Albanese Labor government's election commitments, reducing the Pharmaceutical Benefits Scheme general patient co-payment from $31.60 to $25. From 1 January next year, Australians will pay no more than $25 for their PBS medicines. This is a saving of more than 20 per cent, and it is the first time in over two decades, since 2004, that the cost of PBS medicines will be this low. This matters. This matters to me, and it matters to the people of Melbourne. It matters because it will put more than $200 million back in the hands of Australians every single year. It matters because cheaper medicines help people manage their health, and staying well keeps people working, caring for their families, contributing to their communities and simply living their lives.

We all know that families are feeling cost-of-living pressures. Household budgets are pushed higher by housing costs, power bills and groceries. Medicines are not an optional extra; they are essential. By cutting the PBS co-payment to $25, this government is taking another practical step to relieve that pressure. We are making medicines even cheaper. In 2023, the government delivered the largest reduction in PBS history when it dropped the general co-payment from $42.50 to $30—and this wasn't a one-off.

This bill is the fifth wave of reform to deliver cheaper medicines. Over the last three years, Labor has reduced the PBS safety net threshold for concession card holders, giving them free and cheaper medicines sooner. That has saved pensioners half a billion dollars. In the last three years we have also cut the maximum cost of a general script from $42.50 to $30, saving patients $770 million. We froze PBS co-payments for all Australians for the first time in 25 years, stopping them from rising with inflation, and introduced 60-day prescriptions for common medicines, saving patients time and money and cutting out 35 million unnecessary trips to the chemist.

I just want to reflect on that for a moment. This measure has been transformational for so many, especially for women's health. By cutting out unnecessary GP visits for routine and ongoing conditions, women in particular now have more control over their health care—less time lost to appointments and more money left in their pockets. We know that women are more likely to manage chronic health conditions, more likely to be primary carers for children or elderly parents and more likely to have less flexibility at work. That means every extra doctor's appointment and every trip to the chemist falls harder on them. By cutting out unnecessary GP visits for routine and ongoing conditions, we have helped free up women's time, reduced pressure on family budgets and removed a barrier that too often leads to missed appointments or delayed treatments. This measure is not just about cheaper medicines; it's about fairness. It recognises that women carry a greater share of the health burden and it helps to close the gap.

Together, all these measures have already saved Australians $1.5 billion in the cost of their medicines.

I want to bring this down to what it means for the people I represent. According to the most recent data, as of 31 July 2025 the people of Melbourne have already saved $18,845,129. This is simply fantastic. That is almost $19 million that has stayed in the pockets of families, pensioners, students and workers in my community—money that would otherwise have gone on medicine costs. That is a tangible, direct benefit of Labor policy. For women in their 40s and 50s, it means better access to perimenopause and menopause treatments, helping them manage what can be life-altering symptoms with less financial stress. For students and young workers in my electorate, too, this reform makes a real difference. Many are living on tight budgets, trying to balance study and part-time work. Cheaper medicines mean they are far less likely to skip their prescriptions because of cost. When people in Melbourne tell me about the cost of living, this is what they mean: choosing between filling a prescription and paying for food or delaying treatments because the medicine feels too expensive. Every dollar counts and every cheaper script helps.

Cheaper medicines aren't just good for the hip pocket; they're good for people's health. When medicines are affordable, people fill their scripts. They take the medicine as prescribed, and they manage their conditions properly. That means fewer hospital admissions, more avoidable GP visits and better health outcomes for the whole community. It means a person with asthma no longer stretches their inhaler to last an extra month. It means a parent with diabetes is not skipping doses to make the prescription last longer. It means a pensioner with heart disease can stick to their treatment without anxiety about the bill at the pharmacy counter.

As someone who lived with asthma from childhood through to my early 20s, I know how terrifying it can be when you cannot access the medicine you need. I remember moments of real fear when I didn't have my puffer—my tightened chest, my burning lungs, the desperate gasps for air. It is an experience that strips away everything else in those minutes. School, work, even friendships don't matter. The only thing that matters is finding a way to breathe again. That's what the medicine gives you: not just relief but life itself.

That is why the reforms in the bill are so important. Cutting the PBS co-payment to $25 means fewer pensioners skipping the medicine they need. It means fewer anxious nights wondering whether the pills in the packet will last until payday. It means dignity, security and health for those who built this country and now deserve to be looked after.

It is not just the pensioners themselves who carry that burden; it's also their adult children, who worry every day about whether Mum is taking her heart tablets or whether Dad is stretching out his insulin. I have spoken with families who tell me they check their parents' pill organisers and are frightened to see doses missed because the medicine was too expensive to fill or because their parents have been rationing to make it last longer. When medicine is unaffordable, the stress does not stop with the patient. It ripples through entire families. It weighs on adult children trying to balance their own mortgage or rent, trying to raise kids and at the same time fearing that a parent's health could collapse because the medicine was just too expensive. No family should live with that fear.

This bill lifts that weight. By making medicines cheaper, we give older Australians peace of mind and we give their children and grandchildren relief from the constant stress of worrying whether their loved ones are quietly sacrificing their health. Cheaper medicines mean healthier parents, stronger families and communities that can focus on living rather than on the cost of staying alive.

I note that the opposition is expected to support this bill. That is welcome because Australians want certainty when it comes to their health care. They don't want political pointscoring. They want the cost of their medicines brought down. This is a chance for the parliament to speak with one voice on an issue that touches every household.

This bill also protects the Pharmaceutical Benefits Scheme itself. The PBS is one of the cornerstones of Medicare, providing over $18 billion worth of subsidised medicines in 2023 and 2024. By asking patients for a fair contribution and having the government meet the rest, the PBS remains sustainable while ensuring that no Australian is denied access to the medicines they need. Importantly, the bill also preserves pharmacy discounting. Pharmacies will still be able to offer medicines below the co-payment level, giving patients the full benefit of competition and choice. From 2027, indexation of the co-payment will begin from the new, lower $25 base, ensuring savings continue to flow well into the future.

Cheaper medicines sit alongside bulk-billing, more doctors and nurses and more urgent-care clinics as pillars of a stronger Medicare. Each of these reforms is designed to make health care more affordable, more accessible and more sustainable. It is this government that is firmly committed to upholding Medicare's founding principle that health care should never depend on wealth. That's why we have invested billions to reinforce bulk-billing, ensuring we can all see a doctor with our Medicare card, not out-of-pocket costs.

This government has also rolled out Medicare urgent care clinics, bulk-billed walk-in clinics with extended operating hours, open seven days a week and able to treat urgent but not life-threatening conditions. You do not need an appointment, you do not pay a cent and you will not wait hours in the emergency department. For my constituents in Melbourne, the Inner Melbourne Medicare Urgent Care Clinic opens its doors at 221 Drummond Street, Carlton. It offers fully bulk-billed urgent care with extended hours, alleviating pressure on the nearby Royal Melbourne Hospital and delivering immediate access to care for local families.

I cannot overstate how transformative urgent care clinics have been for families. During the election campaign I spoke with a family whose son, a sports-mad but accident-prone boy, had taken them to the emergency department far more often than they would have wished. With the introduction of urgent care clinics, their experience changed. Instead of being stuck in emergency for hours, they could get the care they needed quickly, be back home earlier and avoid the stress of trying to juggle three restless kids in a waiting room. By keeping people out of emergency—especially on weekends, when sport injuries surge—urgent care clinics are easing pressure on our hospitals. They are delivering real relief for families and making an enormous difference for our dedicated health workers.

The truth is that, when Labor is in government, Medicare is stronger. The National Health Amendment (Cheaper Medicines) Bill 2025 proves that once again.

This bill delivers immediate relief on medicine costs for more than 5.1 million Australians from 1 January next year, over $200 million in savings every year for patients—more than $8.8 million in savings already for the people of Melbourne—and a stronger, fairer PBS that will keep medicines affordable for decades to come. It delivers on the promise we made to the Australian people in the 2025 election. It shows a government doing what it said it would do, and it demonstrates the values of fairness, health and opportunity that Labor stands for. Cheaper medicines are good for households, good for the economy and good for the health of the nation.

It is this government that is firmly committed to upholding Medicare's founding principle that health care should never depend on wealth. That's why we have invested billions to reinforce bulk-billing, ensuring we can see a doctor with only our Medicare card and no out-of-pocket costs. I commend the bill to the House.

Anthony Albanese (Grayndler, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

I'm very proud to speak to this legislation that goes to the heart of one of the defining distinctions in Australian politics—that we, on this side of the House, understand that Medicare and the provision of health services should be on the basis of need, not on the basis of how wealthy you are. It also goes to one of the big distinctions, which is that, post the pressures that were on Australian families arising from COVID and then from global inflation, we, on this side of the House, continued to prioritise cost-of-living help for Australians—all of the measures opposed by those opposite.

In our first term, of course, we decreased the cost of medicines on the PBS by $12. In addition to that, we introduced a tripling of the Medicare bulk-billing incentive for people who were concession card holders, and, in addition to that, we introduced 60-day prescriptions, rather than just every month, saving people visits to the doctor and saving Australians money. All of these measures were opposed by those opposite. And the Australian people gave their verdict on 3 May. On 3 May they said: 'Yes, we do want a government that cares about cost of living. Yes, we do want a government that prioritises health care. Yes, we do want to see an expansion of the urgent care clinics that have been so successful, with more than 1½ million Australians benefiting from getting the care they need, when they need it, close to where they live, and all they have needed is their Medicare card.' And we know that, of those, about one-third have been under the age of 15, so that, when little Steve or Mary falls off their bike or has an accident while playing sport on the weekend, they can go and get that immediate care. They're not clogging up the emergency departments of hospitals, not waiting hours while more life-threatening conditions jump the queue—quite rightly, because they're the priority in an emergency department. But they're getting the treatment they need, when they need it, and doing it with just their Medicare card.

This legislation builds on our legacy in providing cheaper medicines, not just from the level that we reduced them to first, but by reducing them to just $25. We know that there's an old saying that my mum used to say and others have too: 'Nothing goes down in price.' Guess what. Under this government the price of medicines goes down not once but twice and by big amounts. They will be the same price as they were in 2004, more than 20 years ago. In addition to that, we have frozen the cost of medicines at $7.70 until the end of the decade.

For all Australians, January marked the first time for more than 25 years that the price of medicines didn't rise with inflation. As each phase of medicines becomes eligible, millions of Australians with an ongoing health condition are getting a bit more help with their cost of living. One of them is Cara, who I had the privilege of meeting a few weeks ago. Cara has endometriosis, and she's had it since she was 11. When Cara moved out of home, she had to stop her treatments because she couldn't afford them, and her health got worse—an all-too-common story. Thanks to Labor's cheaper medicines policy, Cara can now get the medication she needs. In her words: 'I wouldn't have been able to afford this medicine last year, but now I can, making an enormous difference.' Of course, that goes on top of not just the urgent care clinics that we're opening—an additional 50 more. The health minister and I were in Victoria just a couple of weeks ago, announcing the opening of the first three on top of the 87. Now we're up to 90 and rising when it comes to urgent care clinics right across Australia.

The women's health package that we've put in place—which the assistant minister at the table was so central to delivering—together with the member for Dobell and the minister, they have had a comprehensive plan for healthcare, whether it's cheaper medicines, urgent care clinics providing that mid-point between emergency departments and the local GP, providing for more bulk-billing by having the largest-ever increase in Medicare funding since Medicare was created, proudly, by the Hawke government. We did all of this in consultation with the sector. Earlier this year, I was the first Prime Minister—which I found remarkable—to ever address the national conference of the Pharmacy Guild of Australia. It was in Queensland that we made this announcement that was so important.

So, from 1 January, under this legislation, every Australian with a Medicare card who isn't on a concession card will pay a maximum of $25 for a PBS prescription. This is a cut of more than 20 per cent. That will save Australians more than $200 million each and every year. PBS scripts will be the cheapest they've been since 2004. It adds to the more than $1.3 billion that Australians have already saved from cheaper medicines.

It was a clear commitment that we made at the election. I've made it clear that our priority is a year of delivery on the commitments that we were elected on, on 3 May. We've made a commitment to Australia and with this legislation we are delivering.

Jess Teesdale (Bass, Australian Labor Party) Share this | Link to this | Hansard source

I rise today to speak in support of the National Health Amendment (Cheaper Medicines) Bill 2025. This is a bill that delivers practical, meaningful cost-of-living relief to Australians, including thousands of families across my electorate of Bass. This bill goes to the heart of what good government is about. It's about fairness. It's about making sure that every Australian, regardless of the size of their bank balance or where they live, can access the medicines they need to stay healthy and care for their families.

I want to share a story about a family from northern Tasmania. This story took place a few years ago. It's about two children, both neurodiverse, both with multiple diagnoses, who thrived on consistency, who needed the stability of daily medication to feel comfortable in their own skin, complete daily tasks and find success and enjoyment at school. But their parents faced impossible choices, with rising rents and grocery bills, climbing electricity bills piling up and then the cost of prescriptions on top of that. There were months when they had to choose between buying ADHD medication and putting food on the table. When these children missed that medication, they felt sick, restless and unable to focus. They became frustrated and upset when they couldn't keep up in class. Their parents struggled deeply, weighing up these choices when times were particularly tough.

I remember speaking to a pharmacist in Kings Meadows and another in Ravenswood, right in the heart of Bass, who told me similar stories of parents standing at the counter and weighing up which prescription they could afford to take home and which one they would have to leave behind. No parent in Australia should ever have to make that choice and, with this bill, fewer families will.

Why does this matter? From 1 January next year, the maximum cost of a PBS prescription for general patients will fall to just $25. That is the lowest price in more than 20 years. The last time medicines were this affordable was 2004—again, under a Labor government. This reform builds on Labor's record of delivering cheaper medicines, and what an impressive record that is. In January 2023, the Labor government made the largest cut in the history of the PBS, dropping the maximum cost for scripts from $42.50 to $31.60. We introduced 60-day prescriptions and we made filling scripts much easier. This bill is the next step—a more than 20 per cent cut to the maximum cost of PBS medicines, saving Australians over $200 million each year. That is immediate, practical and fair cost-of-living relief delivered by a Labor government.

I represent Bass in northern Tasmania. We are a region of proud and hardworking people. But, like in many parts of Australia, many families in Bass are doing it tough. But, since being elected to government in 2022, the Labor government has ensured that the people of Bass have already saved more than $9.2 million at the pharmacy counter. That is $9.2 million that families have been able to keep in their pockets, $9.2 million that has meant older Tasmanians can keep taking their medicines without having to skip doses and $9.2 million that has meant parents can afford both asthma medication and groceries. Across Tasmania as a whole, our state savings since 2022 total more than $32 million. That is what cost-of-living relief looks like on the ground—real savings for real people on every corner of our island.

As I mentioned, pharmacists in Launceston and right across Bass have told me the same thing again and again. They've seen too many people walking away from the counter without their medications, too many saying, 'I will come back next week when I get paid.' This isn't just an anecdote. National data confirms it. Last year 1.2 million Australians delayed or went without filling a prescription because of the cost. We know what happens when people can't afford their medicines. Their physical and their emotional health suffers. When their health suffers, our health system bears the cost—more hospitalisations, more acute episodes and more pressure on GPs and emergency departments. This bill is not just about cheaper scripts. It's about better health outcomes, stronger families and healthier, happier communities.

There's also a powerful case economically for cheaper medicines. Every time someone is able to take the medicine that's been prescribed to them, we reduce the risk of a costly hospital admission and we keep people well enough to keep working, studying and caring for their loved ones. Affordable medicines mean fewer people forced into hospital beds because they can't afford to manage their own condition at home or within their community. It means less time off work, less absenteeism and greater productivity. And, over time, it means a reduced burden on our health system—savings not only for households but for the taxpayer. This bill is not just good for health; it is good for the economy. It is smart, responsible policy that invests in people and saves money in the long run.

Cheaper medicines are only part of the story. Labor is also making sure that new and life-saving medicines are being added to the PBS. For example, from August this year, a new treatment for advanced Parkinson's disease was listed, cutting the cost from $131,000 a year to, currently, just $31.60 a script. A new combination therapy for stage 3 melanoma was also added, turning a life-saving $31,000 treatment into an affordable PBS medicine. They're not just numbers. These are life-changing reforms for Australians facing some of the toughest health battles imaginable.

And then there is neuroblastoma. Neuroblastoma is a rare but aggressive cancer that strikes our very youngest children. Before PBS listing, families faced bills of more than $417,000, nearly half a million dollars, for the medicine Ifinwil. I was very close to a family whose beautiful baby girl was diagnosed with neuroblastoma in the first few months of her life. The physical and emotional toll this takes on a family and those who support them is unspeakable. At those times, every ounce of energy goes into caring, loving and hoping. The very last thing that any parent should have to worry about is whether they can actually afford life-saving treatment for their child. I'm so happy to say that this particular girl beat the odds, thanks to the great work of our healthcare system and the absolute, unbreakable tenacity of her incredible family. She's a fit and healthy teenager whose main concerns are similar to the everyday challenges for her peers. That is why the PBS matters, that is why cheaper medicines matter and that is why our robust healthcare system matters. It's not just economics; it's dignity, it's relief and it's hope.

Our government's commitment to health goes beyond that pharmacy counter. In Launceston we have a busy Medicare mental health clinic, which is a safe and welcoming environment where people can get support free of charge in in a quiet, beautiful place. It has become almost a second home to some. We also have the Launceston Medicare Urgent Care Clinic, which has seen over 38,000 visits in just two years. It's one of the busiest in the nation. This has saved an estimated and self-reported around 19,000 trips to the emergency room at our LGH. That is thousands of families who are able to see a GP, get treatment and avoid waiting hours in a cramped and very uncomfortable emergency department.

In Bass we're also lucky enough to have an endometriosis and pelvic pain clinic, which is run exquisitely well by Family Planning Tasmania. For women and those with a uterus who have lived in pain and dismissal for too long, this service has been life changing. I've spoken with women who in the past were made to doubt themselves and made to feel weak by doctors who had not had the opportunity to learn more about endometriosis. We are now working towards a future, through these clinics and through greater public awareness, where nobody will ever feel dismissed again.

These investments show Labor's vision in action: health care that is affordable, accessible and close to home.

Let's be clear. Labor is the party of Medicare. Labor is the party of cheaper medicines. The last time PBS medicines cost $25 or less was in 2004—again, under a Labor government. For nearly a decade, those opposite had the chance to act. They had a chance to ease that burden at the pharmacy counter, but they didn't do it. It is Labor—it is the Albanese government—who is once again stepping up to fix this. And we're not just planning for today. This is very important in that traditional three-year cycle of government. We're actually looking ahead to 2030. The freeze for concession medicines will remain in place until then, locking in affordability for pensioners and concession card holders for the rest of the decade. Our approach is clear: health care is a right; it is not a privilege. Every reform we deliver builds towards a healthier and fairer future for all Australians.

In just three years the maximum cost of each script on the PBS will have dropped from $42.50 to just $25. I think back to that family that I mentioned earlier. I imagine the relief in their home when they can afford their children's medication, week after week, without sacrificing the groceries. Imagine the difference for children in classrooms across the country—comfortable, focused and thriving. That is what this bill delivers: fairness, dignity and opportunity. The size of your bank balance should never determine whether you or your children can get the medicine or the care that you need. This bill ensures that in Bass, and across Australia, families can care for their health without having to choose between food and medicine. That is what good government looks like and that is what Labor delivers. I am proud to commend this bill to the House.

Louise Miller-Frost (Boothby, Australian Labor Party) Share this | Link to this | Hansard source

Australia has a world-class health system. Despite its challenges, if you're sick or injured, you wouldn't want to be anywhere else in the world. Underpinning this is a commitment to health equity. Thanks to Medicare and the Pharmaceutical Benefits Scheme, Australia is a country where the health care that you receive isn't related to your income or your status. Medicare is a cornerstone of our national identity and one of the great social reforms of our time. It ensures that health care is available according to your need, not your ability to pay. Consequently, our health at a population level is among the best in the world. This bill, the National Health Amendment (Cheaper Medicines) Bill 2025, goes to the heart of what good government should be about: making life fairer, healthier and more affordable for Australians. It reflects the values that brought me to this parliament—the belief that no-one should have to decide whether they can afford essential medicines or which one is the most important; the belief that access to affordable health care is not a privilege for the wealthy but a right for every Australian.

My career in health and in the not-for-profits has always been about health equity, because, if we are really going to maintain our health as a community, we need everyone to be able to benefit—statistically, to move the mean and the tail of health outcomes. Access to affordable primary care and affordable pharmaceuticals is vital to maintaining our health as individuals. In a former life, my title in SA Health was General Manager Population Health Equity. I was honoured to represent the Minister for Health and Ageing at the Adelaide Primary Health Network's Health Equity Awards on the weekend. If I can deviate slightly, I would like to congratulate late NEAMI, Youturn, STARRS—Survivors of Torture and Trauma—LELAN and Relationships Australia on their awards, and I thank them for their work addressing health equity in specific populations in Adelaide.

Returning to this bill, an important part of health equity is being able to afford the treatments that you need. Medication is important in treatment but also in prevention: primary prevention, preventing you becoming ill; secondary prevention, preventing a disease progressing; and tertiary prevention, minimising the impacts of the disease or illness. But there is absolutely no point in getting a prescription if you can't afford to have it filled. So much of the health management that comes from medication occurs in the community setting: people filling prescriptions at their local pharmacy and managing their health on a day-to-day basis at home.

The story of cheaper medicines in Australia is a story about fairness. It is about the Pharmaceutical Benefits Scheme, one of the great Labor reforms of the 20th century. It is about successive governments recognising that health care is not simply a line in the budget but the foundation of a decent and inclusive society. It is about the choices we face in this chamber: do we build a system that relieves pressure on families or do we allow cost to become a barrier to care? The bill before us makes the right choice.

Managing the cost of prescription medicines is one of the most frequent concerns raised with me by older Australians, by families managing chronic conditions and by younger people struggling with unexpected illness. A survey by the Consumers Health Forum recently found that one in eight Australians have delayed or gone without filling a prescription because of cost. Think about that—more than two million Australians making the awful choice to risk their health because they simply cannot afford the medication.

This is not an abstract problem. It's a problem that shortens lives. When people skip their heart medication, they risk a heart attack. When they delay filling their asthma inhaler, they risk hospitalisation or worse. When they forgo their diabetes medication, they risk losing their eyesight or their limbs. The downstream costs to the health system are enormous, but, more importantly, the human costs are devastating. That's why this bill matters.

The National Health Amendment (Cheaper Medicines) Bill 2025 builds on the reforms introduced by the Albanese government in the last term, and it's worth doing a little history on those changes. The urgent care clinics—we have one at Marion, which has had probably around 20,000 visits since it opened in November 2023—are so important to enable people to get quick care and stay out of the hospital emergency department. There are the endometriosis clinics. We have one in Glenelg, which services metropolitan Adelaide. Again, women who have suffered with pelvic pain for their entire lives are having life-changing treatments. We had the largest increase in Medicare ever and an increase in bulk-billing, in my area, of over four per cent. At the recent election, there was a $150 million commitment to Flinders University, which they're matching, which will enable 1,300 new nurses and allied health workers to be trained and graduated every year, and 10,000 appointments to be free or low cost to patients in the community.

In 2023, we introduced the largest cut to the cost of PBS medicines in the history of the PBS. In 2022, we enabled Australians to access more free and cheaper medicines sooner through a 25 per cent reduction in the number of scripts a concessional patient must fill before the PBS safety net kicks in. Beginning in September 2023, 60-day prescriptions were introduced in three phases, meaning you can get two months of medication for the price of one for many regular medications. The prices of PBS medications were frozen in January 2025, with co-payments not rising with inflation for the first time in 25 years. Residents in Boothby have already saved over $13 million on pharmaceuticals as a result of the Albanese government's cheaper medicines agenda.

This bill takes the next step by further lowering the maximum PBS co-payment from $31.60 to $25 from January 2026. The last time medicines cost no more than $25 was 2004, a long time ago. My children were about to start school in 2004. They're now well and truly adults. This is a more than 20 per cent cut in the maximum price of PBS medicines and will save Australians collectively over $200 million every year. Four out of five PBS medicines will be cheaper as a result of this bill. For pensioners and concession card holders, the co-payment will continue to be frozen at $7.70 until 2030. Together, these measures represent one of the most significant expansions in affordable access to medicines since the PBS itself was created, and it's not an exaggeration to say that this bill will save lives.

This bill also builds on a prior Labor legacy. It's worth remembering how we got here. The Pharmaceutical Benefits Scheme was introduced by the Chifley Labor government in 1948 against strong opposition. In fact, it took a referendum to secure the right of the Commonwealth to run it. That courage—Labor courage—means that, today, Australians pay a fraction of what people in other countries pay for essential medicines. Let us not forget that, in the United States, without universal coverage, medication that would cost $25 here can cost hundreds of dollars there. When we reflect on our world-class health system here in Australia, it is worth looking at the comparison with the United States. The US has the most expensive health system in the world and worse health outcomes at a population level than almost every other high-income country.

Australians know, if you get sick or injured, you wouldn't want to be anywhere else in the world than right here in Australia with our Medicare system and our PBS. That's why, on this side of the House, we are constantly talking about Medicare and the PBS, because it really matters. The Albanese government is proudly continuing that Labor tradition. Labor are the party of Medicare and the PBS, and we are once again making the system fairer and stronger.

The health economics of this bill stack up. Every dollar we invest in affordable medicines saves many more down the track. When I studied public health, the quoted metric was that $1 of primary health prevention was the equivalent of $9 of savings at the tertiary level—that's your hospital system. It's probably only gone up. That's not to mention the cost of the burden of disease in the community in terms of lost productivity, lost personal income, the cost to social and familial connections, absenteeism, the cost to quality of life and live expectancy. Preventing one hospitalisation more than pays for the cost of lowering co-payments. Avoiding one medical emergency spares not only the patient suffering but also the strain on our hospitals and emergency departments. The long-term savings for our health system will outweigh the upfront costs. This is preventive health at its best: evidence based, targeted, and fiscally responsible.

Much as I love the data of health economics, this bill is about equity. We know that health inequality tracks closely with income inequality. Australians on lower incomes live shorter lives, experience higher rates of chronic illness and face greater barriers to care. Cheaper medicines are one of the most direct ways to reduce that gap. Older Australians are more likely to be heavy users of the health system and medications. Cheaper medicines help them to be able to remain healthy in the community, avoid hospitalisations and stay at home and out of aged care as long as possible, enjoying better quality of life and longer lives.

When we lower the cost of medicines, we are not just helping individuals; we are helping the whole community. We are ensuring that people can stay in the workforce, care for their families and participate fully in society. We are sending the message that every Australian, no matter what their income, has the right to good health. We are moving the mean and the tail of health status in our society.

The cheaper-medicines bill is part of a broader health reform agenda. This government is strengthening Medicare, expanding bulk-billing, investing in urgent care clinics and increasing support for mental health. We're tackling the social determinants of health through housing policy, through education and through support for secure, well-paid jobs, because we know that health is not just about what happens in the doctor's office; it is about the conditions in which people live, work and age. This bill complements those efforts. It's a practical, targeted and highly effective way to reduce inequality and improve health outcomes.

The National Health Amendment (Cheaper Medicines) Bill 2025 is not just another piece of legislation. It is a statement of values. It says that in Australia your health should not depend on your wealth. It says that we are a nation that looks after each other, that believes in fairness and that puts people before profit.

This bill will save lives. It will reduce pressure on families. It will reduce pressure on the hospital system. It will strengthen our health system. It will reaffirm the principle that health care is a right, not a privilege. For all these reasons, I commend the bill to the House.

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.