Labor Vows to Pip Liberals in Cutting Cost of Medications

Federal Opposition Leader Anthony Albanese speaks to the media during a press conference in Sydney, Australia on May 29, 2021. (AAP Image/Joel Carrett)

The centre-left Australian Labor Party has promised to cut the cost of common medications for Australians slightly more than the Liberal Party will if they are elected to government later in May.

Labor will reduce the maximum cost consumers pay for medicines covered under the Pharmaceutical Benefits Scheme (PBS) from $42.50 to $30, a saving of 29 percent.

Under the PBS, the federal government subsidises the cost of medicine for the majority of medical conditions, a benefit available to anyone with a current Australian Medicare card.

The changes to the PBS under Labor, due to take effect from Jan.1, 2023, are expected to save Australians more than $190 million (US$134 million) in out-of-pocket costs.

Labor leader Anthony Albanese said that cost of living pressures are real, with everything going up under the current government.

“These changes to the PBS are necessary because we need to make sure that Australians can afford the medications they need,” he said.

This comes just a day after the Morrison government announced it would reduce the maximum price Australians pay for PBS medicines from $42.50 to $32.50 if re-elected, a saving of $10 compared to Labor’s $12.50.

Prime Minister Morrison said this was the first time the PBS General Co-payment had been reduced by any government, and more than 19 million Australians who don’t hold a concession card could benefit.

“Our economic plan is delivering cost of living relief to millions of Australians who will save hundreds of dollars every year on the cost of essential and life-saving medications,” he said.

“Millions of Australians will soon save $10 per script for common medications, which means those taking one medication a month could save $120 a year, or those taking two medications a month could save $240 a year.”

Meanwhile, the $12.50 reduction under Labor would mean people taking one medication a month could save $150 a year, while those taking two medications a month would save $300 annually.

Australian Health Minister Greg Hunt at Parliament House in Canberra, Australia, on Aug. 23, 2021. (Rohan Thomson/Getty Images)

With Labor’s pledge coming soon after Liberal’s, Health Minister Greg Hunt said Labor is playing catch-up on health policy, noting that of Labor’s three key health policies for this election, two had already been announced by the government.

“Labor’s history with the PBS is clear. When last in government, they couldn’t list all medicines recommended for the PBS, let alone make them cheaper,” he said on social media.

Hunt also said in a release on Saturday that in 2011, Labor stopped listing some medicines on the PBS, including those for severe asthma, chronic pain, schizophrenia, blood clots, endometriosis and prostate conditions, whereas since 2013, the Coalition (Liberals and Nationals) government has approved more than 2,900 new or amended listings on the PBS.

The Epoch Times reached out to Shadow Health Minister Mark Butler for comment but had not received a response at the time of publication.

However, Butler said on social media that the price of medication has gone up under the current government, as has the cost to see a doctor.