Senate debates

Thursday, 24 July 2025

Bills

Health Legislation Amendment (Improved Medicare Integrity and Other Measures) Bill 2025; Second Reading

12:20 pm

Ellie Whiteaker (WA, Australian Labor Party) Share this | Hansard source

Medicare is one of Labor's proudest achievements and one of Australia's proudest achievements. It's a reflection of our values: no matter where you live, what you earn or who you are, you should be able to access the health care you need. That access should depend on your Medicare card, not your credit card. But we also know that, for Medicare to keep doing what it was designed to do, we've got to protect it—not just from ideological attacks but from inefficiencies, noncompliance and fraud that quietly drain public money away from the patients who need it most. When billions of dollars of Medicare payments go missing, whether by mistake or misuse, that's money that doesn't go to a patient waiting for diagnosis. It's a consultation missed, care delayed.

Every Australian pays into this system through their taxes, through their Medicare levy, and they expect and deserve that those dollars go towards the services they count on. Medicare works only when there is trust in it, and that's what the Health Legislation Amendment (Improved Medicare Integrity and Other Measures) Bill 2025 is about: continuing that trust and protecting Medicare. We're making sure not only that Medicare is at its strongest but also that it's sustainable for future generations. Medicare was established by the Hawke government over 50 years ago, and we intend to honour that legacy by making the single largest investment in Medicare ever, during this term of government. This is not a government that's content to let Medicare fall behind. We are making it stronger and we are making it fairer.

Last term, the government opened 87 Medicare urgent care clinics across the country. We want to continue this momentum and we plan to establish another 50 clinics this term. This will mean that four in five Australians will live within a 20-minute drive of a Medicare urgent care clinic. In my home state of WA, we've already opened eight clinics: Beeliar, Broome, Clarkson, Eaton, Gosnells, Midland, Morley and Rockingham. Soon, we will open another six clinics: Bateman, Ellenbrook, Geraldton, Mirrabooka, Mundaring and Yanchep.

My local Medicare urgent care clinic is in Beeliar, and I'm sure other parents know what a relief it is to have the option of free walk-in care for all the bumps, knocks and rashes that young children get. I've been there many times with my two-year-old. When I get that dreaded call from day care that he's got a fever or a runny nose, it's good to know that help is close by, quick and free. I want to give a shout-out to the team at the Beeliar urgent care clinic, who have helped me and my community many times. Their care is always exceptional.

This government knows that Medicare is more than just a program. It's a promise that your health will never depend on your bank balance. You can't deliver better care without the people who provide it, and that's why this government is investing in the largest GP-training program in Australia's history, with 2,000 new GP trainees every year by 2028. The government is also expanding the number of overseas trained doctors entering our system, with 17,000 new doctors registered in the last two years alone. We're backing our nurses too, with paid prac to support them while they're on placement.

We want a healthcare system where every patient can find a doctor and where every doctor is backed by a system that supports them to deliver the best care. We're acting now to protect the system's integrity, cracking down on rorting and misuse, because every dollar that goes to fraud is a dollar that can't go to patients. The Independent Review of Medicare Integrity and Compliance was undertaken by Dr Pradeep Philip. It is known as the Philip review. It was commissioned by the government to respond to concerns about the operation of the Medicare system. The Philip review found that between $1.5 billion and $1.3 billion is lost every year to incorrect, non-compliant or fraudulent claims. It also found that the current compliance scheme was limited in scope and outdated in its powers.

The government has already made priority amendments in response to this review, and this bill is the next step in responding to the Philip report. It will modernise investigative powers, streamline claims processes and ensure payments that are made in error can be reversed. It will strengthen compliance, improve data and ensure our public health dollars are used as intended—because we know that Medicare only works when it is used properly. We will always defend Medicare's founding purpose: universal, accessible health care for everyone.

When the Albanese government was first elected in 2022, it had never been harder or more expensive to find a doctor. Bulk-billing was in freefall—the inevitable result of a decade of cuts and neglect. That's why strengthening Medicare wasn't just part of our platform; it's at the core of what this government is here to do. We've already delivered the two largest increases to Medicare rebates in 30 years. In two years, the government has done more to strengthen Medicare than our predecessors did in nine. Bulk-billing is rising again, delivering an additional six million free visits to the GP in just over 12 months. And we are investing $8.5 billion to deliver even more bulk-billed GP visits and expand bulk-billing incentives to all Australians, tripling the number of fully bulk-billed practices across our country so that more people can see the GP for free. By 2030, nine out of ten GP visits will be bulk-billed. It's the single biggest investment in Medicare ever. That's what real reform looks like.

This bill implements a measure announced in the 2024-25 budget. It reduces the timeframe for making bulk-billed claims, from two years to one year, to support the integrity and long-term sustainability of the system. This will improve payment integrity and reduce the number of incorrect and fraudulent claims—importantly, with minimal impact on patients and practitioners. It still leaves some discretion to accept claims after one year, to ensure patients are not disadvantaged. It is a sensible change.

Another important part of our healthcare system is medicines. That's why this government is also cutting the cost of medicines, because we know that affordable care doesn't stop at the doctor's office. Australians have already saved more than $1 billion on the cost of their prescriptions thanks to Labor. We made the biggest cut to the cost of medicines in the 75-year history of the PBS, and now we're going even further, capping the cost of scripts at $25 from 1 January 2026. That is a more than 20 per cent reduction that will save Australians over $200 million every year. Cheaper medicines means better health, fewer missed doses and real cost-of-living relief.

It is our pharmacies that are integral to this. They are vital to local communities, especially in rural and regional Australia. This bill simplifies the rules that govern when and where new pharmacies can be approved to dispense PBS medicines. Right now, applications that don't meet strict location rules can take months to process, stuck in a two-stage discretionary process that's both frustrating and unnecessary. We are replacing that with a faster, single-stage process that delivers quicker decisions and better access. Making smart changes to reduce administrative burden just makes sense.

This bill also expands existing mechanisms in the Therapeutic Goods Act to help deal with shortages in medicines, biologicals and medical devices that are approved for supply in Australia. The secretary of the department will be able to approve the importation or supply to substitutable, unapproved products from overseas if they are satisfied that an approved medicine, biological or medical device may become unavailable in the foreseeable future. This is a change, because currently they can only do so if they are already unavailable, which, for obvious reasons, is too late. This is more sensible reform that ensures medicines are available for the people who need them.

The bill also supports compliance and enforcement as it relates to unlawful and dangerous products, including unapproved therapeutic goods and illegal vapes. This government is taking action to protect the next generation. Our world-leading vaping reforms are already delivering results, with vaping rates amongst 14- to 17-year-olds now in decline. We're also cracking down on the black market in tobacco, with over $350 million invested in enforcement and disruption. The legislation strengthens the powers needed to detect and respond to serious noncompliance, expanding the range of offences that can be investigated and prosecuted, including fraud, forgery, identity theft and trafficking in unapproved medicines. It gives the regulators what they need to act—to seize goods, pursue serious offenders and protect the public.

The government is also backing our hospitals, with an additional $1.8 billion for public hospitals and health services in the next year alone, because, when people are at their most vulnerable, in pain, in crisis, in hospital, they need to know that the care will be there. This legislation strengthens Medicare. It makes oversight smarter and delivers more timely care in more places, protecting public money and ensuring it's used where it matters the most. Helping patients—that's what Australians expect, and it's what Labor will deliver. We are not just repairing a system that we inherited from the former government; we are building something better, investing in care, protecting Medicare's legacy and making the system stronger. This is what practical reform looks like—cutting bureaucracy, supporting services and delivering real outcomes. I'm thrilled that the government has brought this bill to the Senate, and I look forward to seeing the work that the government will continue to do to invest in Medicare over the next term.

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