‘Still Nothing’: Pharmacy Guild Says Australia’s Half-Price Medicine Scheme Will Add to Shortages

‘Still Nothing’: Pharmacy Guild Says Australia’s Half-Price Medicine Scheme Will Add to Shortages
A pharmacist is seen preparing a Covid-19 vaccine at the Pharmacy 4 Less M-City Clayton in Melbourne, Australia, on July 11, 2022. (Asanka Ratnayake/Getty Images)
4/25/2023
Updated:
4/25/2023

The head of Australia’s pharmacy peak body has called the federal Labor government’s latest decision to subsidise medicine “smoke and mirrors” amid the ongoing cost of living crisis.

Health Minister Mark Butler revealed on April 26 that the government is making “hundreds of common medicines cheaper” by allowing Australians to double the amount of medicine they can buy on a single prescription, from one to two months’ supply.

It’s applied to more than 320 medicines on the Pharmaceutical Benefits Scheme (PBS) to those with stable, ongoing conditions.

Australian Minister for Health and Aged Care Mark Butler speaks at Parliament House in Canberra, Australia, on July 28, 2022 . (Martin Ollman/Getty Images)
Australian Minister for Health and Aged Care Mark Butler speaks at Parliament House in Canberra, Australia, on July 28, 2022 . (Martin Ollman/Getty Images)

But Trent Twomey, president of the Pharmacy Guild of Australia, said there were shortages on 40 percent of drugs on the list, noting around 472 medicines either critically short or completely unavailable.

“I’m all for cost of living relief and cost of living measure but this unfortunately is just smoke and mirrors. If you don’t have the medicine in stock, how do you give double nothing? Double nothing is still nothing,” he told ABC Radio.

Twomey said due to supply issues, pharmacists often needed to swap the brand of patients’ scripts each month or contact the patient’s doctor to put them on alternative medicines.

He added that the decision would create further supply problems for everyday medications for heart problems, blood pressure, or diabetes.

“We’re all for making sure that you can save the dollar, but unfortunately the medicines aren’t just one brand unavailable, the entire medicine is completely unavailable.”

“Don’t believe everything you believe mate, because we’d love to be able to fill everything that’s on your doctor’s prescription but we can’t order it.”

He said the government “should get the basics right first, which is making sure that everyone can get at least one box.”

“It sounds great in theory to get a couple of months,” he added. “I think we have to tell people they have to ask their local MPs what they do with their prescription that can’t get dispensed.”

Butler’s Rebuttal

The health minister, however, argued that the prescription change would not increase the overall demand for medicines or increase the number of tablets dispensed in a given period of time.

“It’s simply going to mean that people can get two boxes at a time instead of having to get one box and come back twice as often,” Butler told reporters in Canberra.

“I really would caution against some of the scare campaigns being put by the pharmacy lobby group.”

He said the measure delivers “important cost of living relief,” with every dollar saved by the government to be reinvested into community pharmacies.

Support From Doctor’s Association

Meanwhile, Australian Medical Association Vice-President Danielle McMullen welcomed the changes.

“At the time we’re talking about so many cost-of-living pressures, this will really ease the burden on patients across Australia,” she told Seven’s Sunrise program.

“There are some situations of shortages in medicines at the moment but there will be a staged approach to this announcement to ease the burden on the shortages.”

Prescription Change To Affect 6 Million Australians

As part of the Labor government’s upcoming budget, the 60-day prescribing policy has three stages for implementation, with the first to commence on Sept. 1.

Butler estimated about six million people will halve their medicine costs and reduce their visits to the GP and pharmacist and save more than $1.6 billion over the next four years.

The health minister noted general patients will save up to $180 a year if their medicine is able to be prescribed for 60 days, while concession card holders can save up to $43.80 a year per medicine.

“Every year, nearly a million Australians are forced to delay or go without a medicine that their doctor has told them is necessary for their health,” Butler said.

“This cheaper medicines policy is safe, good for Australians’ hip pockets, and most importantly good for their health.”

Doctors can still choose to write a prescription for a one-month supply for patients, rather than two.

Government’s Healthcare Spending Questioned

While the centre-left federal government has made health care reform a crucial target policy, there has been criticism over whether its approach is targeted or effective enough compared to the number of funds being spent.
A Medicare and Centrelink office sign is seen at Bondi Junction in Sydney, Australia, on March 21, 2016. (Matt King/Getty Images)
A Medicare and Centrelink office sign is seen at Bondi Junction in Sydney, Australia, on March 21, 2016. (Matt King/Getty Images)

Another example is Medicare, Australia’s universal healthcare system, which has recently been expanded in Tasmania and given a $220 million boost.

However, a review by health economist Pradeep Phillip found that the system was bleeding between $1.5 billion to $3 billion (US$2 billion) a year due to non-compliance.

Phillip also noted that Medicare’s governance, system, and tools were currently “not fit for purpose” and that, if left unchecked, these vulnerabilities will lead to “significant levels of fraud.”

“With around 6,000 Medicare items, which are undergoing constant change, and 14 claim channels, simplicity is a critical objective for reform.”

But Butler has attributed the problem to failure in keeping up with the rising costs, a result of former governments’ decision not to index the rebate.

Rebecca Zhu and AAP contributed to this report.