BILLS › National Health Amendment (Cheaper Medicines) Bill 2025
27 August 2025 • Australian Federal Parliament
View on Parliament WebsiteMr GORMAN (Perth—Assistant Minister to the Prime Minister, Assistant Minister for the Public Service and Assistant Minister for Employment and Workplace Relations) (16:30): On 3 May 2025, Australians voted for cheaper medicines, and they voted for a government that will always protect Medicare. One of the reasons they did that was that they'd seen what had happened over the three years prior. They had seen those opposite vote against cheaper medicines not once, not twice, not three times but six times. We saw the Australian people have their say. They supported our cheaper medicines programs and they rejected the view that those opposite put, which was the view that our medical urgent care clinics were, to quote those in the opposition, 'wasteful spending'. The Australian people had a very different view. They saw the investments that we had made in Medicare urgent care clinics as essential for the primary health of our nation. I put it very clearly to my electorate in Perth. I said, 'Vote to save the Perth urgent care clinic,' and, indeed, they did.
What we've seen when it comes to cheaper medicines is that these policies are broadly supported by the Australian public, so much so that even those opposite who absolutely hate the idea of cheaper medicines eventually brought themselves to having to adopt some of Labor's policies during the 2025 election. What we've seen as well is that there's really strong support for the outcomes of these investments. I had the joy of going down to the Bunbury Medicare urgent care clinic with then Labor candidate, my good friend Tabitha Dowding, to hear about the impact of what's happening as a result of these investments. What they told me as I was standing in their excellent Medicare urgent care clinic there in Eaton was that they estimate there have been some 10,000 diversions from their local emergency department. That's 10,000 people who didn't have to go through the public hospital system and 10,000 people who were able to get the urgent care they needed, and for those 10,000 people the only thing they needed was their Medicare card.
One of the other things we saw at the most recent election was that my great state of Western Australia sent another health professional here, to this place. I'm talking about the member for Bullwinkel, who becomes the 10th nurse to enter the Australian parliament. One of the first bills that the 10th nurse in the Australian parliament will vote for is our bill to make medicines cheaper. As the Prime Minister said in this chamber just a few hours ago, it's so often remarked that you never hear of prices going down; they only ever seem to go up. Isn't it amazing that in this bill we are actually seeing not just real cost-of-living relief but also real healthcare assistance and prices going down? And it's a significant reduction, a more than 20 per cent reduction, in the cost of medicines—medicines that people are prescribed by a doctor, that they need to keep themselves healthy, that they need to stay outside of the other parts of our health system.
Most of us need medications from time to time, and we are so fortunate in this country to have the Pharmaceutical Benefits Scheme. I know that the PBS was there for my family. I was a kid with really chronic asthma and we purchased more than enough Becotide, Ventolin and other asthma medications and steroids to treat that asthma. Again, this was all supported by the Pharmaceutical Benefits Scheme. Again, I think of the kids and the parents who are dealing with asthma today. It will be cheaper for those things that they're going to be buying for years and years, as a result of these changes combined with our 60-day script changes, which have made a huge difference.
It did take those opposite six votes against cheaper medicines to see the error of their ways. There were six votes where they said that they wanted Australians to pay more for their medicines, but, while they were voting against it in the last term, it didn't discourage the Albanese government from doing more when it comes to cheaper medicines. I want to say that one of the people who have given us excellent advice on the importance of making sure that we make medicines cheaper for Australians is the member for Dobell, who's the only pharmacist in this parliament. She gives us excellent advice on making sure that we have the medicines that people need. It's an honour to sit with the member for Dobell, who is just slightly on the wrong side of the chamber these days.
The PBS has been a very long policy battle. Just as we had to fight through the last parliament, against vote after vote where those opposite chose to vote against cheaper medicines, Labor has been putting this case for a very long time. It was in 1944 that John Curtin realised, in the depths of World War II, that Australia needed to be able to get medicines to the entire Australian population, not just to those who could afford them. There was a desperate need for a range of antibiotic drugs to be given to the Australian people—things like penicillin—which would take pressure off other parts of the Australian economy and other parts of the Australian health system by people getting the medical assistance they needed.
Unsurprisingly, when Curtin put this forward in wartime, in 1944, before he went to sleep that night, the opposition had opposed it. There were two High Court challenges to Labor's first attempts to have a broad based pharmaceutical scheme that supported the Australian people. We had to go to two referendums and have one constitutional amendment, but the system that we have today is thanks to those who fought that fight, and I'm proud to be here as part of the Albanese Labor government, fighting the fight not just for Medicare but for cheaper medicines.
The reality is that the inability to afford the health care you need doesn't just result in worse health outcomes; it has a huge impact on people's social and economic outcomes. One of the things that we know about Medicare is that it completely changed the nature of bankruptcy in Australia for this reason. Prior to 1984, the leading cause of bankruptcy in Australia wasn't people overextending themselves, and it wasn't people having their businesses reach financial challenges. The leading cause of bankruptcy in Australia, up until 1984, was people who could not pay their medical bills. Medicare ended that overnight. It made sure that people could get the health care they needed, no matter what walk of life they came from, because we believe, on this side of the House, in universal health care.
In the extensive information that's given to us by the excellent Minister for Health and Ageing in putting this forward, there's a document that doesn't get enough attention in this building, which is the impact analysis statement. It was done by excellent officials, in this case, from the Department of Health, Disability and Ageing, in collaboration with some great officials from the Department of Prime Minister and Cabinet, in the Office of Impact Analysis—a shout out to them! That impact analysis tells us something about the policy benefits that come from this beyond just the cost-of-living relief. It says that this option that we are pursuing will initially reduce cost barriers for general patients to access PBS medicines. But it goes further, to say that there are other benefits over time. Those other benefits over time are: it will reduce the proportion of patients who are delaying or not filling their PBS scripts due to cost; it will reduce unavoidable hospitalisations from unmanaged conditions; it will reduce pressures on our aged care, disability and social welfare services; that it will slow the growth in chronic disease; and it will increase workforce participation because more people will be more healthy and able to attend work.
It does, as many have remarked, take us back to prices in 2004. That's a long time ago. It's back when Facebook was launching as 'The Facebook'; the Morley Blockbuster was doing a roaring trade, hiring out Freaky Friday amongst other movies; the minister who's here would probably have been on his Motorola flip phone, because he's a high-tech guy and would have had the latest tech; and Franz Ferdinand won the Triple J Hottest 100 with 'Take Me Out'. But it wasn't all good news back in 2004. There was, of course, the last episode of Cheez TV, which was very disappointing for some. But it was also a time when medicines cost just $25, and that's what we seek to do with this bill—to make sure that Australians can get the health care that they need at a reasonable price, giving real cost-of-living relief to millions of Australians.
We know that the measures we have taken so far have already saved Australians some $770 million. To save people money on something that is essential and to save them money on something that they often have no choice but to purchase is, I think, really smart policy. We saw that it benefited the Australian people over the last few years. We've got through the roadblocks put in our way by those in the opposition, and we want to go further with this bill.
I'll conclude my remarks by thanking all of the patient and social advocacy groups who've continued to help us advocate for these changes. They do make a real difference. I want to thank the Australian people, who voted to protect Medicare on 3 May. I want to thank the Australian people, who voted for cheaper medicines. I'm really proud that we repay that trust by coming in here and—one of the first things we do in the first months of this 48th Parliament—delivering on that promise for cheaper medicines for every Australian.
Ms TEMPLEMAN (Macquarie) (16:41): While this legislation to lower the cost of Pharmaceutical Benefits Scheme medicines is being debated, it has been great to hear what people in this chamber were doing in their lives 21 years ago. For me, in 2004, which was when medicines last cost $25, I was probably midway between my two stints in our wonderful parliament. My first stint was down the road in Old Parliament House in the 1980s. I had no idea that I would be doing a second stint in this new Parliament House—as those of us who worked in Old Parliament House still call this place—as the member for Macquarie 15 or 20 years later and standing here to talk about that time. That's not the sort of thing that you really imagine is going to happen.
But I think back to that time when you did pay $25 a script, at the most, at the chemist. I was in the throws of chauffeuring around two children—a 13-year-old and a 10-year-old—to after-school activities like soccer, ballet and music. At the same time, I was juggling my small business. I did that juggling thanks not to Motorola but to Blackberry. I remember it as a really hectic time, and it was a time when I know I would not have loved having the whole family sick at the same time, because it was, even then, and as families know now, a challenge when you all ended up at the doctor's.
I think that, as Special Envoy for the Arts, I should just point out a few other things about that period. I think it's incumbent on me to do that. During those trips in the car with the kids, we would have been listening to Missy Higgins's 'Scar' and The Jets' 'Are You Gonna Be My Girl'. Of course, the Left Right Out band reprises that Jets song whenever we get the chance. Shrek 2 was around, and I know we would have been singing along to Smash Mouth's cover of the Monkees' 'I’m a Believer' from the soundtrack. Out of the car and on to what we might have been seeing at home, at the Oscars ceremony in 2004, Australian Adam Elliot won in the Best Animated Short Film category with HarvieKrumpet, which I know we enjoyed very much. In the publishing world, Shirley Hazzard won the Miles Franklin Award for her novel The Great Fire. The Archibald Prize was awarded to Craig Ruddy for his portrait of actor David Gulpilil. That portrait won both the Archibald Prize and the People's Choice Award, which was only the second time that exhibition visitors agreed with the judges' decision since the publicly voted award was introduced in 1988 and just the second time that an Aboriginal sitter was the subject of the Archibald-winning work. Now, this sort of paints the picture of who we were in Australia then. At the ARIAs, Jet won album of the year for Get Born, Kasey Chambers won best female artist, John Butler won best male artist, Guy Sebastian had the highest selling single with 'Angels Brought Me Here' and Delta Goodrem had the highest selling album with Innocent Eyes. Rove McManus announced the Little River Band was being inducted into the Hall of Fame. We were living in a very different time, and how amazing is it that this bill takes the price of medicines back to that era?
The bill reduces general patient co-payments from $31.60 to $25 from 1 January next year, which was our 2025 election commitment. Let's remember that this builds on the work that we did in January 2023, which saw the largest cut to the cost of medicines in the history of the PBS, with the maximum cost of a general script falling from $42.50 to $31.60. We've all got a bit nostalgic about 2004, and we have good reason to be proud that we are bringing prices down to what they were then. Relatively speaking, that means cheaper medicines for families, even compared to what it was like for our families back then. As I say, I know when patients and families have multiple prescriptions to fill at the pharmacy, particularly in winter, when stuff goes around, it's measures like these that make a real difference. I am aware that patients who are on multiple medicines have to make choices about which script to fill when times are really tough for them. These are all steps that the Albanese Labor government's taking to ease these cost-of-living pressures. It's worth noting that pensioners and concession card holders will continue to benefit from the freeze to the cost of their PBS medicines. That cost is frozen at its current level of $7.70 until 2030.
One of the other measures we've taken that sits alongside this cost cut is to introduce 60-day prescriptions for certain stable health conditions. What that means is that things like diabetes, epilepsy, asthma, breast cancer and menopause—stable conditions—may, on doctors' advice, allow the person to get a 60-day prescription, which means you can get twice as much medication on a single prescription for a single prescription price. Eligibility for the 60-day prescription has been introduced gradually in three tranches over the last 12 months or so, with around 300 medications now included. We started it back in September 2023, the second stage was March 2024, and the third stage was September 2024. What that tells you is that this is not a piece of legislation that's sitting in isolation.
Importantly, we've also invested in new programs and payments for pharmacies, who are the ones issuing these scripts. That includes reinvestments like expanding the National Immunisation Program to pharmacies and ensuring that a pharmacist gets the same fee as a doctor gets to administer a vaccine and increasing support for rural and regional pharmacies through new and increased payments, which will deliver around $300,000 or $400,000 in additional funds to eligible pharmacies across four years.
Earlier today, I had the opportunity to step into a model pharmacy consult room, set up here in Parliament House, to see an example of the types of services that have been increasing in our pharmacies. It was particularly focused on women's health, and I'll have a bit to say about that a little later on. Seeing that best-practice model pharmacy treatment room builds on my firsthand experience of going into my local pharmacies for a flu shot, a top-up COVID shot and my very recent whooping cough vaccination. I'd like to take the opportunity to thank pharmacists, particularly my local pharmacists across the Emu Plains, Blue Mountains and Hawkesbury area, because they are being asked for—and, from what I can see, being very pleased to offer—additional services and giving people additional reasons to come into their pharmacies. I'm certainly clear that they are part of how we improve health delivery across our communities.
The changes that we're debating today really do sit within a context not just of making medicines cheaper but of making healthcare more accessible and affordable. There's a whole range of ways in which we're doing that. One of the measures that I know is really helping locals in my community is the Penrith urgent care clinic, which is open extended hours and weekends. That is a bulk-billed service that allows people to access urgent but not life-threatening medical care. I'm very pleased that work has started by the Nepean Blue Mountains local health area and Wentworth Healthcare to identify the providers and location for the Hawkesbury urgent care clinic, which we committed to earlier this year. I'm really looking forward to seeing the level of interest there is in providing a service that is so badly needed in the Hawkesbury region. We promised 50 urgent care clinics in our last term of government. We delivered. Now there have been 90 that have opened their doors—although new ones are opening nearly every week, so I hope my figures are the latest.
What we're seeing in Penrith at the urgent care clinic are treatments for minor fractures, sprains and other kind of sport injuries; neck and back pain; respiratory illnesses; urinary tract infections; minor cuts; burns; and insect bites and stings—all those things for which you know you need to get to a doctor fast but are not necessarily things that warrant being in the emergency ward. It really fills a gap in the system and complements the work that we're doing here to reduce the cost of medicines.
The other area where we've worked hard is to make it more affordable just to see your local GP, with the two largest increases to Medicare rebates in 30 years. We increased Medicare rebates more in just two years than the former government did in nine long years, and the data tells us that this record investment is turning around bulk-billing, which has started rising in every state, delivering an extra six million free visits to GPs in just over 12 months. We know there's much more to do in this area, and certainly in Macquarie it can still be tricky to find a GP offering bulk-billing and to have a reasonable waiting time, but these early results show our commitment to strengthening Medicare is delivering. I'll continue working on the local challenges that we have, because I know how much bulk-billing matters to our community.
Earlier, I mentioned women's health, and this legislation will also have particular benefits to women accessing prescriptions. One of the things that we've done is focus very heavily on women's health. One of my commitments at the last election was to open a new endometriosis, pelvic pain and menopause clinic for the Blue Mountains-Nepean region. That is also underway. But, of course, once you've been to experts and you've got advice—that's the expertise in these endometriosis and menopause clinics that are the sort of thing that women tell me they desperately need. Adding menopause to the endometriosis clinics expands the clientele by several decades, I suspect, in terms of who will benefit from these clinics. Of course, you then need to access the medications that may be helpful to you.
We've focused a lot on supporting women. We've done the first PBS listing for new oral contraceptive pills in more than 30 years, with the listing of Yaz and Yasmin. That's saving about 50,000 women hundreds of dollars a year. In fact, when we're talking about prices at 2004 levels, there had been nothing listed since the 1990s, in terms of new contraceptives for women, until we did it. So there's more choice, lower costs and better access to long-term contraceptives, whether it's oral contraceptives, IUDs or birth control implants—because there are larger Medicare payments for that. There are also new menopausal hormone therapies, the first in over 20 years, with around 150,000 women saving hundreds of dollars a year from the listing of Prometrium, Estrogel and Estrogel Pro.
This legislation to bring in cheaper medicines is part of a whole suite of things that we are doing to recognise that it's been tough for people and that the most important thing is accessing the health care you need in a timely way when you need it, not when you can afford it. This is all about fulfilling the vision that in Australia it's your Medicare care that gets you health care and it is the PBS that provides you with the prescriptions that you need.
I'm very pleased to be supporting this legislation. I have had so many people say to me, 'If you haven't got your health, it's hard to tackle all the other challenges.' If you can get good health care to support your health, there's so much potential that people have and so much that they can do.
Ms JORDAN-BAIRD (Gorton) (16:57): I rise to speak in support of the National Health Amendment (Cheaper Medicines) Bill 2025 brought forward by the Minister for Health, Disability and Ageing, and I commend him for doing so. This bill is a cost-of-living measure, and it's part of the Albanese Labor government's efforts to improve health outcomes for all Australians.
The Pharmaceutical Benefits Scheme is a national government funded scheme that subsidises the cost of a wide range of medicines. The PBS was first introduced to Australia by the Chifley Labor government in 1948. Back then, it provided a very limited list of free medicines, but it was revolutionary in principle: no Australian should go without necessary treatment because of cost. Over the decades successive Labor governments have expanded and strengthened the PBS, ensuring it evolves to meet new health challenges. Like Medicare, the PBS was introduced by Labor and, like Medicare, Labor will continue to protect the PBS.
The PBS is a key program supporting the delivery of the National Medicines Policy, and we want to make sure that Australians have the PBS that enables Australians to have timely, safe and reliable access to effective, high-quality medicines. Today, the PBS subsidises nearly 930 medicines across more than 5,200 brands, ranging from common treatments for chronic conditions to advanced cancer therapies and life-saving vaccines. It's not just a policy; it's a lifeline.
Right now, the maximum cost for a PBS medicine is $31.60 for general patients. With this legislation, from 1 January next year, this will be reduced to just $25. This is more than a 20 per cent cut in the maximum cost of PBS medicines, which will save Australians over $200 million each year. It's tangible cost-of-living relief.
My electorate of Gorton, in Melbourne's west, is one of the fastest growing electorates in the country. There are more than 50,000 families across the electorate, and new ones are being created every day, with close to 58 babies born every week in the city of Melton alone. In fact, the city of Melton is the fastest growing municipality in Australia, with a growth rate of 6.6 per cent in 2023-24. My electorate also contains the area with the second-highest growth rate in the country, in Fraser Rise and Plumpton.
My electorate is not only young and growing fast; it is also culturally and linguistically diverse, with many of our constituents proficient in two or more languages and carrying rich histories of migration. In fact, more than 30,000 of my constituents speak a language other than English at home and more than 33 per cent of my constituents were born overseas. This carries its own set of challenges in accessing health care.
My electorate, as I say, is also young, with a median age of just 35. And, as Melbourne's west continues to grow, prioritising affordable and quality medical care isn't just about meeting the needs of Australians now but also about getting ahead of the health outcomes in the future.
In so many ways, my electorate represents Australia as a whole, with its vitality, its rich cultural and linguistic make-up and its aspirations for the future. An electorate like mine—young, diverse and aspirational—has many needs that have yet to be met. One area that has struggled to keep up is access to health services. Gorton residents experience significant disadvantage in accessing health services. Even within Melbourne's north-west, the burden of disease disproportionately impacts my constituents. In the city of Brimbank, a staggering 28 per cent of residents 18 and older have been diagnosed with two or more chronic diseases, conditions that need to be managed throughout their lives.
For seniors living on fixed incomes, this is relief that provides dignity and security. For families with children who require medication, whether for asthma, allergies or developmental conditions, these savings will make a real and immediate difference. For young adults—who are often balancing work, study and housing costs—reduced medicine prices will mean they are not forced to choose between managing their health and meeting their other financial obligations. Our cheaper medicines legislation is one piece of the puzzle of improving access to health care for Australians, including those in Melbourne's west.
Three months ago, I was campaigning in the electorate of Gorton when the Albanese Labor government committed to making medicines even cheaper. Now, as I stand here in the chamber of the House of Representatives as the member for Gorton, it's time to deliver on that promise. I want to see better health outcomes for my electorate of Gorton, for Melbourne's west and for all Australians. That's why I couldn't be prouder to be part of an Albanese Labor government that is making medicines even cheaper, capping the cost of a prescription on the Pharmaceutical Benefits Scheme to no more than $25—$25: the cost of lunch, an Uber trip or two or three beers—because medicines should be affordable. Healthcare should be affordable. This is more than a 20 per cent cut in the maximum cost of PBS medicines, which will save Australians over $200 million each year. In my electorate of Gorton, that's a total saving of more than $9.1 million. The last time PBS medicines cost no more than $25, it was 2004, when I was in primary school; it was also the year that Facebook was launched, and Regina George from Mean Girls was on our cinema screens.
This legislation comes after doubling the number of medicines now available for a 60-day prescription. This means that patients with chronic, stable medical conditions can be prescribed and dispensed a 60-day supply of medicine, rather than a 30-day supply, for eligible PBS items. This is saving Australians without a concession card up to $189 per medicine per year and pensioners and concession card holders up to $46.20 per medicine per year.
I'd like to talk about the experience of Jeanette, from Melbourne. She was diagnosed with rheumatoid arthritis in 2019. Since 2023, one of Jeanette's medicines, sulfasalazine, has become eligible for 60-day prescriptions. This means that she can get two months worth on a single prescription, cutting the cost of the medicine in half and reducing the number of visits to the doctor that she needs. Jeanette says: 'It seems like a small thing, but, when you are managing a chronic condition or you're feeling unwell, it has a big impact on your quality of life.'
This is helping so many people in our community who are dealing with chronic pain or managing other health challenges, giving them peace of mind and more certainty for their health journey. Our cheaper medicines legislation builds on what we started with 60-day prescriptions, ensuring that accessing medicine is affordable for all Australians. In line with the Albanese government's election commitments, our cheaper medicines legislation will come into effect on 1 January 2026. It will reduce the Pharmaceutical Benefits Scheme general patient co-payment from $31.60 to $25.
I recently visited the Taylors Hill Retirement Village, a cheerful and welcoming community of seniors in the beating heart of my electorate. I dropped in to help residents apply for savings through the Energy Bill Relief Fund, but I also had several conversations with them about the difference that cutting the cost of medicines will make to their household budgets. For the residents of the retirement village, some who are self-funded and others who rely on their age pensions, this cut to the cost of medicines will take the pressure off the household budget. Residents Ian and Lorraine told me that this policy would give them much-needed room to breathe among other cost-of-living pressures. It's not just about cheaper medicines. This is part of Labor's broader strategy to improve the health outcomes of Australians and give tangible cost-of-living relief for my community.
Currently, Sunshine Hospital is the closest hospital for those in my electorate. It services the LGAs in Melbourne's west from Brimbank all the way to Wyndham. It's a 25-minute drive on a good day, but demand for emergency care means that, during busy periods, you can be waiting more than two hours to see a doctor.
That's why we've been putting in the work to improve access to health care by expanding the availability of free Medicare urgent care across the country. I was lucky enough to open the 90th urgent care clinic in Melbourne's west with the Prime Minister and my friend the member for Fraser this month. But we're not stopping there. Labor have opened 90 urgent care clinics right across the country, and we've committed to opening another 50. We're growing Australia's health workforce, with the largest GP training program in Australia's history.
We're investing landmark commitments in women's health. For too long, women's health issues have not been adequately addressed. We're working to reverse decades of neglect of women's health, with a $573.3 million investment to deliver more choice, lower costs and better health care for women. We're introducing the first new contraceptive pills added to the PBS in 30 years: Yaz, Yasmin and Slinda. We're introducing the first new menopause treatments on the PBS in 20 years: Estrogel, Estrogel Pro and Prometrium. We're ensuring that there's better access to IUDs and birth control implants. This comes alongside the opening of 22 endometriosis and pelvic pain clinics, with another 11 to open soon. Thanks to these initiatives, Australian women and their families will save thousands of dollars on health related costs across their lifetimes.
This is what happens when we elect women. Women's issues come to the forefront of the government's agenda. I couldn't be prouder to be part of a Labor government made up of 56 per cent women, because, when we elect women, we legislate on women's issues.
I also couldn't be prouder to be one of the youngest members in the House of Representatives, representing an electorate made up of young people. The median age of Gorton is 35 years old. Our younger generations face unique pressures, with cost-of-living pressures that are not what the generation before us experienced. Many young Australians are dealing with an increased rate of mental health issues. According to the Australian Institute of Health and Welfare, almost 40 per cent of people aged 16 to 24 have experienced a mental health disorder in the past year. This bill is a step towards increasing access to health care for young people. More affordable medicines mean young Australians will be able to access essential prescriptions, whether they are antidepressants, anti-anxiety medication or treatment for ADHD, without the burden of financial stress.
This builds on the Albanese government's existing work to roll out free mental health care, including establishing 61 Medicare mental health centres that offer free, walk-in mental health care. We are upgrading their clinical capability to ensure every centre provides free access to a psychiatrist or psychologist, either onsite or on call. Our $1 billion investment to roll out even more places Australians can go for free public mental health care backed by Medicare also includes $225 million for 31 new and upgraded Medicare mental health centres, $500 million for 20 youth specialist care centres for young people with complex needs, and $90 million for more than 1,200 training places for mental health professionals and peer workers.
Mental health is not separate from the cost-of-living debate. It is deeply intertwined. Financial stress is one of the leading contributors to anxiety and depression. When people worry about whether they can afford their medicine, their health outcomes suffer twice over, once because their condition may go untreated and again because of the toll financial stress takes on their mental wellbeing. By cutting PBS co-payments, we are directly addressing this cycle. We are ensuring that young people, parents and seniors alike can access treatment when they need it, before conditions worsen, before hospital admissions are required and before lives are derailed.
On this side of the House, women's health matters. On this side of the House, young people matter. On this side of the House, we invest in Medicare and in the PBS, and we have the track record to prove that. Under the Abbott government, those opposite tried to increase Australians' out-of-pocket expenses when visiting specialists and undergoing X-rays and pathology. The Turnbull government spent $5 million on a 20-person Medicare privatisation taskforce to look at how the coalition government could sell off Australians' private health data. But their legacy doesn't stop there. Not even a pandemic could stop the opposition's anti-Medicare mission. While Australians were supporting each other through lockdowns, the Morrison government secretly announced that there'd be almost 1,000 changes to the Medicare Benefits Schedule. This meant that people were going into surgery without knowing how much they would be paying on the other side. More recently, in opposition, those opposite voted against cheaper medicines six times.
On this side of the House, we're committed to tangible cost-of-living relief and outcomes for all Australians. With that I commend this bill to the House.
Mr NG (Menzies) (17:12): Australians know that they can trust the Labor Party and Labor governments with health care. After all, it was John Curtin and Ben Chifley who in 1944 introduced and fought for legislation to create the Pharmaceutical Benefits Scheme, which has now become a fundamental pillar of our healthcare system. And, of course, it was the Whitlam and Hawke governments that created Medicare. More than 40 years later, it remains the backbone of our health system. Both Medicare and the PBS are a source of national pride and envy around the world. It means that, when Australians fall sick, they can get help based on their Medicare card, not their credit card. This principle was the reason why Curtin and Chifley and Whitlam and Hawke pushed for accessible and universal health care. It is why the Albanese Labor government has made the biggest investment in Medicare in its 40-year history and why we're capping the cost of PBS listed medications at just $25 per script.
Let me be clear: health care is not a luxury. It is not something reserved for the fortunate few. Accessible and affordable universal health care is the foundation of a decent society. Access to medicines is an essential part of this. They help us get better quicker, keep workers on the job, get kids back to school, provide dignity and alleviate suffering. We know from international experience what happens when governments do not invest in health. In some countries, millions go without care because they cannot afford health insurance. Families choose food and basic necessities over health. They go into debt or bankruptcy because of a cancer diagnosis or a single serious accident. When health care is unaffordable, people delay treatment. They put off filling prescriptions, they live with pain or they let a manageable condition worsen. When that happens, costs to the system rise, productivity falls and lives are lost. It is both immoral and uneconomic. It is not the Labor way and it is not the Australian way. That is why we have said we will not negotiate on the PBS. That is why we are acting through this legislation, the National Health Amendment (Cheaper Medicines) Bill 2025.
We have introduced legislation to make cheaper medicines even cheaper. From 1 January next year, the maximum cost of a prescription on the Pharmaceutical Benefits Scheme will be no more than $25. To put that in perspective, the last time PBS medicines cost this little was in 2004. It was a different Australia back then. Nokia flip phones and early camera phones were all the rage and Delta Goodrem, the John Butler Trio and Shannon Noll were topping the charts. Ian Thorpe was winning gold for Australia and Facebook did not even exist. I was living in a share house, working at a cafe, driving to university in my Ford Telstar, listening to Beck and Queens of the Stone Age and avoiding university politics. They were simpler times. Since then, the cost of everything increased, particularly since the pandemic.
Before we came to government, inflation had a six in front of it; now it has a two in front of it. While we've brought inflation under control, we know Australians are still doing it tough, and that's why we're continuing to take measures like this to ease cost-of-living pressures. This reform ensures that Australians will not have to sacrifice their health. This reform represents a 20 per cent cut to the maximum price of PBS medicines. It will save Australians more than $200 million every single year. This is not an abstract number. This is a tangible, practical measure that puts money back into the pockets of working families. For a household managing multiple prescriptions every month, it means real relief. It means dignity. It means security.
Our reforms do not end here. For pensioners and concession card holders, PBS medicines will remain capped at just $7.70 until 2030, which means long-term security for those who need it most—older Australians, people on fixed incomes and families already doing it tough. It means certainty when planning their budgets, knowing that the cost of vital prescriptions will not be out of reach. It means peace of mind for those managing chronic conditions who cannot afford to miss a dose. For too long, older Australians have been treated as the forgotten child of our healthcare system. They are the ones who carry the heaviest burden of chronic disease, are prescribed multiple medications and feel the rising costs most sharply with each dollar having to stretch further. They built this nation. Yet, under the former government, they were too often left behind, forced to watch the healthcare system be neglected. With this reform, we are saying to older Australians, 'Your health matters, your dignity matters and you will not be forgotten.'
Importantly, pharmacies will continue to be able to discount PBS medicines, ensuring patients benefit from both government reform and competitive pricing. This means more Australians, no matter where they live, can walk into their local pharmacy and know they are getting a fair price for the medicines they need. I want to illustrate what this means in the real world. Imagine a single parent with two children. One of those children has asthma and requires regular medication to be able to breathe freely, get through the school week, participate in sport and play with their friends. The parent themselves might also rely on ongoing prescriptions—perhaps for blood pressure, diabetes or pain management. Between the child's asthma treatment and the parent's own medication, that household could easily be filling four or five prescriptions each and every month. Under this reform, the PBS co-payment will be reduced from $31.60 to $25 per script. That family will save between $315 and $400 every year. This is not spare change. That is money that be put towards keeping the lights on, paying for groceries or covering rent.
Take an older Australian living on a fixed income—perhaps a pensioner managing blood pressure, cholesterol, arthritis and diabetes. They might be filling half a dozen prescriptions every month. For them, every dollar saved at the pharmacy is a dollar that can go towards heating in the winter, fresh food on the table or a bus fare to see the grandkids. That is what Labor governments do. They deliver practical solutions that make daily life just that little bit easier for everyday Australians.
I'd like to tell you about an experience I had in the electorate I represent, Menzies, which really brought home to me how much the PBS can mean to people. It was during the election campaign, and I was out doorknocking in Surrey Hills. A woman answered the door, and we began chatting. As you know, not everyone gives political candidates the time of day, but she was kind enough to. She shared with me that her husband was suffering from cancer. She also shared that were it not for her husband's cancer drugs being listed on the PBS, they would be tens of thousands of dollars out of pocket. She called her husband to the door, and I could see the effects of the disease on him. I could also see the care and love between them and the gratitude they had for being able to access affordable medicines. They did not have to worry about the cost of medication at one of the most difficult times in their lives. That is what the PBS means. It means care and dignity. The PBS means that people who work hard their whole lives do not need to fear losing their house or having their savings obliterated because of circumstances outside their control. It means that we, as a society, recognise that we should support those who fall on hard times. For residents of Menzies, this PBS cut will save more than $11 million, putting real money back into the pockets of families and easing cost-of-living pressures.
These reforms are not a once-off. They build on the great work the Minister for Health and Ageing has delivered since the last term, from cheaper medicines and bulk-billing incentives to strengthening Medicare and expanding access to vital treatments. In July 2022, concessional patients saw a 25 per cent reduction in the number of scripts required before reaching the PBS safety net. That meant people reached their safety net threshold later and saved more. In January 2023 we delivered the largest cut to medicine prices in the history of the PBS, lowering the maximum cost of a general script from $42.50 to $30. In September 2023 we introduced 60-day prescriptions, saving time and money for millions of Australians with ongoing health conditions. That meant fewer trips to the pharmacy, fewer GP visits just for repeat scripts and more money left in household pockets. From January next year, PBS co-payments will be frozen so that they do not rise with inflation. That is the Albanese Labor government's record. Step by step, reform by reform, we are delivering practical change that Australians can see, feel and rely upon to ease today's pressures and secure a better tomorrow.
Contrast this with nine years of neglect from those opposite, where costs were left unaddressed, where Medicare was undermined and where no vision was offered for strengthening the PBS. Instead of investing in the health system, they froze Medicare rebates, forcing up out-of-pocket costs for families and pushing more people to delay or skip care. This left patients without affordable access even when safe and effective treatments were available. Despite the coalition's promises, thousands of Australians still skipped filling prescriptions because of cost pressures, especially concession card holders and those in rural areas. The coalition failed to invest in Medicare. They failed to invest in the PBS. They treated it as a burden to be managed rather than a system to be strengthened and modernised.
We are committed to the PBS, and, as a progressive government, we know it can always be strengthened. Australians know this and they feel it every day. They feel it when the cost of filling their scripts stretches their budgets, when life-saving medicines take years to be listed and when essential treatments are caught up in delays and red tape. That is the effect of coalition policies. For too many families, nine years of neglect meant waiting in pain and uncertainty, hoping the medicines they needed would finally become affordable and available through the PBS under the coalition.
Let us be clear. The government is delivering. The Albanese Labor government is committed to cost-of-living relief. We are committed to fairness, and we are committed to strengthening Medicare and the Pharmaceutical Benefits Scheme, pillars of Australian life that those opposite neglected for nine long years and would undermine again if given the chance. We said we would make medicines cheaper, and that is exactly what we are doing. We will not stop there. We will keep building a healthcare system that is universal, affordable and fair. We will keep investing in doctors, nurses, pharmacists and health workers, who are the backbone of our system. We have made the largest investment in Medicare in its 40-year history. We have tripled the GP co-payment, and we know that this will work because we have already tripled the co-payment for seniors and for children. We know expanding this out to the wider population will continue to increase bulk-billing rates. We will keep delivering for pensioners, families, workers and every Australian who relies on Medicare and the PBS.
We have said that we will always stand by the PBS, that it is not up for compromise and that it is a national institution that we can be proud of. This is what we mean when we say progressive patriotism: we are proud to be a government in a country that is always seeking to make sure that, while we become more wealthy and build the prosperity of Australia, we are not leaving anyone behind. Like Curtin, Chifley, Whitlam and Hawke understood, a healthy nation is a fair nation. Without our health, we cannot be effective workers. We cannot be effective parents. We cannot be effective family members. We cannot be effective carers. We cannot fully participate in our community and in our great nation. It is the Labor way to make sure that the fundamental needs of people are taken care of and that we have a social safety net. A part of that is having a universal healthcare system where health care is accessible and affordable and where medicines are always there to make sure that people can get the life-saving treatments they need. That is the Labor way. That is our promise for the future.
Ms McBRIDE (Dobell—Assistant Minister for Mental Health and Suicide Prevention and Assistant Minister for Rural and Regional Health) (17:27): Today, as we debate in this place the National Health Amendment (Cheaper Medicines) Bill 2025, I think it's important to remember how what we now know as the Pharmaceutical Benefits Scheme, or the PBS, came to be. It didn't fall from the sky. It was the vision of the Curtin Labor government to provide free prescription medicines to all Australians following the postwar availability of new antibiotic drugs. But it faced significant hurdles, including from those opposite, from a High Court challenge to the opposition of conservative political parties and doctors of the day who viewed the PBS as what they called 'the first step towards nationalising medicine'. The PBS was originally struck down by the High Court, with a constitutional amendment in 1946 paving the way for the scheme's introduction. Nowadays, every Australian can rely on the PBS to get the medication they need affordably and when they need it.
As a pharmacist, a local MP and an assistant health minister, I am incredibly proud of our government for helping to make medicines more affordable for millions of Australians. From my first speech in this place, I have advocated for cheaper medicines. Back in 2016, I said:
As a pharmacist, too often I saw patients … forced to make decisions that no-one should have to make about skipping medications … because they simply could not afford to pay.
I worked at a TerryWhite pharmacy in Tuggerah. Parents would come in with a shopping load full of groceries and antibiotic prescriptions. I remember parents saying to me, 'Can I get one antibiotic mixture made up to share between my two children?' They were different antibiotics, and that wasn't appropriate, but that was what was happening because of the underinvestment of the previous government in the Pharmaceutical Benefits Scheme. Patients were forced to skip, delay or avoid filling prescriptions. Young people, families and older people must be able to continue to access the best health care—rather than simply what they can afford to pay—through universal health care in the form of Medicare and the Pharmaceutical Benefits Scheme. Since coming to office, it's been our Albanese Labor government that has been working to deliver cheaper medicines, because that's what Labor governments do, and that's what Australians deserve.
This bill will reduce the PBS general co-payment from $31.60 to $25 from 1 January next year. As a pharmacist working in community pharmacy, I remember the indexation linked to CPI that would happen every year. This now won't happen. This is delivering on the Albanese Labor government's 2025 election commitment. A lot of the former speakers have reflected on the fact that they were in primary school in 2004 when the PBS scripts last cost $25. For me, the last time PBS medicines cost no more than $25, I was working in community pharmacy. I was working as a locum between two community pharmacies on the Central Coast—at Noraville pharmacy and also at the Blooms pharmacy in Wyong. This was more than 20 years ago and it is the last time that general PBS medicines cost $25.
As Minister Butler often says, this is good not just for your health but for your hip pocket. This is a tangible difference that the Albanese Labor government is making. It will provide cost-of-living relief. Having already slashed the cost of medicines in 2023 with the largest cut to the cost of medicines in the history of the PBS, we're now going even further, providing even more cost-of-living relief for millions of Australians. This is a more than 20 per cent cut in the maximum cost of PBS medicines, which will save Australians over $200 million each year. This is a saving of $200 million each year for Australians accessing vital medicines.
Importantly, pensioners and concession card holders will continue to benefit from the freeze to the cost of their PBS medicines, which has been frozen at $7.70 until 2030—as the Prime Minister said earlier today, until the end of the decade. This will keep older people who rely on multiple medications well within our communities and give them peace of mind about the cost of medications. This builds on action we've already taken to deliver cost-of-living relief through cheaper medicines, including more free and cheaper medicines sooner, with a 25 per cent reduction in the number of scripts concession patients must fill before the PBS safety net kicks in.
When I was working in community pharmacy, people still had the PBS cards that they would stick their PBS stickers onto, and I remember the relief when you would say to somebody, 'You've now reached the safety net,' and issue them their safety net card, which meant that, for a concession card holder, they would then receive their medications for free until the end of that year—until Christmas. That made such a big difference, particularly to pensioners. Knowing that they are now reaching the safety net sooner is making a really big difference to people and families.
As I mentioned earlier, it will be the largest cut to the cost of medicines in the history of the PBS, with the maximum cost of a general script being cut by $12.50 from 1 January next year. It was estimated that, by this time, if our government hadn't slashed the cost of medicines and now had this next cut, the cost of medicines would probably be around $50 for a PBS prescription. It'll now be $25 from 1 January next year.
We've also frozen the cost of PBS medicines, with co-payments not rising with inflation for all Australians for the first time in 25 years. That could often be an uncomfortable conversation for pharmacists to have with patients or families at the beginning of each year when medications that they relied on increased in cost. This gives so many patients peace of mind.
Just last week I was with Ryan, one of the new owners, in partnership with Jess, at Direct Chemist Outlet in the Central Highlands in Emerald—and Jess, the partner in that business, is actually in the building, in parliament, today—and I met their final-year students, Emma, Meg and Gemma. Ryan, as a relatively new pharmacist/owner, asked me: 'How can I help spread the word? I know just the difference this will make to people and families in my community, and I want to help you spread the word so people know about this sooner.'
Last month, I was at Cincotta Discount Chemist in Macquarie Fields with the new member for Hughes, my colleague and friend David Moncrieff, and we were talking to the pharmacist/owner Sam. They were undergoing a big refit of their pharmacy, but he was really generous with his time. He let us know the difference that the cut to the cost of PBS prescriptions had made already and the difference that it would make in the future. We met with the nurse who worked within his pharmacy, and she spoke to us about the difference that, over 20 years, her work has made within that pharmacy.
But Sam was also saying to us that, because of the greater investment that our government has made in the PBS, he's not charging patients for the packing of dose administration aids—which people often know as Webster-paks—because that additional cost can sometimes put them out of reach of people. So he proudly displays a sign at the dispensary in his pharmacy that says 'Free Webster-paks'. He offers those Webster-paks to people living in their own homes, because older people are often taking multiple medications, which we often call polypharmacy. So being able to have their medications packed for them, so they know that they are taking the right medicine at the right time, can go a long way towards people being able to stay safely in their own homes and manage their medications better. Sam is thrilled that he'll be able to support more patients when the next cut in the cost of prescriptions comes into effect on 1 January. I know the member for Hughes has said that he will be going back there and hearing from Sam to see just the difference that it's making in his community.
I did have the opportunity to welcome the Deputy Prime Minister to my electorate of Dobell, on the New South Wales Central Coast, recently. We went to Kuoch Chemist at The Entrance, and pharmacist/owner Raymond was telling me the different that the cut in the cost of PBS prescriptions had already made to so many people in our community and how he was able to make sure that people were able to access the medicines they needed when they needed them, and fewer people were having to delay or avoid filling prescriptions because of cost.
I am just so delighted, as a pharmacist and the only pharmacist in this place, and as a member of a Labor government, to know that we founded the PBS—that it was the vision of the Curtin Labor government to make sure, when antibiotics became available, that everybody could have access to them, so that, after the war, people returning and widows and their children would be able to access medication. And—despite those opposite, and a High Court challenge, and Menzies slashing the number of prescriptions on the PBS—the PBS has survived and is now thriving. It is one of the pillars of universal healthcare in Australia, along with Medicare.
Before I conclude, I just want to mention some of the work that we're doing in mental health. I was talking to the member opposite about our shared interest in mental health and suicide prevention. Providing medicines more affordably means that people can access the health care that they need. Also we're rolling out services in communities, to make sure that more people have access to support closer to home when they need it. I know that that is a shared interest of everybody in this House—making sure that all Australians can get the support and care that they need.
Today is really a very significant day. It is us now, as a government, enacting our election commitment—the promise that we made to all Australians, wherever they live, that they'll be able to have cheaper medicines. I know the difference that has already made since we cut the cost of prescriptions back in 2023 by $12.50—then the biggest cut to the cost of PBS prescriptions to occur.
Now patients, people and families right across the country will know that, from 1 January next year, we will see the biggest reduction in the cost of PBS general prescriptions, with the co-payment going down to $25 per prescription. That is on top, as I've already mentioned, of the fact that we've already had the largest cut to the cost of medicines in the history of the PBS, that we've frozen the cost of PBS medicines for pensioners and concession card holders, and that we've introduced 60-day prescribing—saving time and money for millions of Australians with ongoing health conditions.
This is the fifth tranche, building on the four other significant changes and improvements that we've made to the cost of medicines and to the PBS. I will be heading to the Pharmacy Connect conference next weekend. I was at the Pharmaceutical Society of Australia conference in Sydney only two weeks ago, hearing the relief and optimism pharmacists right around the country feel for their people—particularly their patients and their customers—in knowing that medicines are now more affordable and will continue to become more affordable. It is already making a big difference, and it will make an even bigger difference from 1 January next year.
I am very proud to speak on the National Health Amendment (Cheaper Medicines) Bill 2025, building on the significant work that we've already done. I look forward to 1 January 2026, when we will see the biggest cut to the cost of PBS prescriptions in the history of the Pharmaceutical Benefits Scheme. I want to thank those within the pharmacy sector for their advocacy and for acting in the interests of families right across the country, including the Pharmacy Guild, who are in the building today; the Pharmaceutical Society of Australia; AdPha; and others.
Ms STANLEY (Werriwa—Government Whip) (17:42): I rise to make my contribution on the National Health Amendment (Cheaper Medicines) Bill 2025. Well, we've done it again. The Albanese Labor government is making cheaper medicines even cheaper. This bill reduces the Pharmaceutical Benefits Scheme general patient co-payment from $31.60 to $25 on 1 January next year. This is delivering on the Albanese Labor government's 2025 election commitment. Twenty-five dollars is the lowest Pharmaceutical Benefits Scheme medicines have cost in over 20 years, and this is another key cost-of-living measure delivered by our government.
We've already delivered some major reductions to the cost of medicines. That was in 2023, when we made the largest cut to the cost of medicines in the history of the PBS. Now our government is going even further. This is more than a 20 per cent cut in the maximum cost of PBS medicines; this will save Australians over $200 million a year. In fact, Werriwa residents have already saved almost $8 million since the first changes in cost occurred. Making medicines cheaper in a tangible way is how we are helping families with cost-of-living relief. Four out of five Pharmaceutical Benefits Scheme medicines will become cheaper because of the $689 million investment by the Albanese government. Pensioners and concession card holders will continue to benefit from the freeze to the cost of their Pharmaceutical Benefits Scheme medicines.
What we need to remember is that if you need a diabetic medication, an asthma puffer and blood pressure medication, at the moment it can cost over $100 a month. This change—a reduction of $7 a script—will mean $20 more in your pocket each month. For some people who take multiple medicines, this will be even more.
The assistant minister just spoke about what it is like to be in a community pharmacy and to deal with mums and dads who need multiple prescriptions filled. There was a time when I was that mum. I had three children who had asthma. This time of year is the worst for them, because they get a cold or they get a secondary bacterial infection and you end up at the pharmacy with three prescriptions each to be filled. They're a little older now, but back then that could have been the best part of $150 or $200. That is a huge amount out of anybody's housekeeping that they're not expecting.
Putting money back in people's pockets is just what this legislation will do. The cost will be frozen for pensioners as well, to $7.70, until 2030. And for the first time in 25 years, co-payments are not rising with inflation. This builds on action we've already taken to deliver cost-of-living relief through cheaper medicines. This includes a 25 per cent reduction in the number of scripts that a concessional patient must fill before the Pharmaceutical Benefits Scheme safety net kicks in. We've introduced 60-day prescriptions, saving time and money for millions of Australians who have ongoing health conditions.
The Pharmaceutical Benefits Scheme began in 1948, and, surprising to no-one, it was under a Labor government, led by Ben Chifley. I fear that most modern history forgets Mr Chifley's achievements and the monumental work he did following World War II. I think it's quite fitting that when you type 'Ben Chifley' into a search engine he's stated as being a train driver and former prime minister of Australia. Mr Chifley, in the great Labor Tradition, put in the work to make systems fairer for those who needed it most. And the Albanese government made it clear to everyone that, for us, health is a priority, plain and simple. It's also a right—that everyone in this country should have good health care—and every effort needs to be made to remove any barriers to accessing medical help.
For everyone, health is an important issue. Even if you have good health you may care for loved ones, family, friends or others in the community who will be affected by these changes, so this is something we really should do. I've spoken to a number of local pharmacists and constituents who've told me time and time again that people have had trouble paying for medicines or that the pharmacists have to give advice about which medicine is the most important. The $12.50 reduction in the co-payment in 2023 and this reduction from 1 January mean that community pharmacists will not be as distressed when they have to give this advice, because the advice won't be as necessary. These changes will make so much of a difference to those who need medicines every week.
We've made the massive $6.1 billion investment in Medicare as well. We're rolling out $1.4 billion of investment in Medicare urgent care clinics so that four in five Australians will live within a 20-minute drive of a Medicare urgent care clinic. And we have announced that as of this week the tenders have been sent out for the Medicare urgent care clinic in Green Valley in my electorate, which was also an election commitment for my community from the Albanese government. I'm so excited that the tenders are out, and we are really hoping to see that clinic open in the very near future.
Also in my electorate and all around the country we're rolling out Medicare mental health centres. These will provide support for people who need walk-in help with their mental health at any time. We've invested $174 million to increase the Medicare rebate for common pathology tests for the first time in 24 years as well as adding PCR tests for COVID-19 and other respiratory illnesses to Medicare.
Medicare is one of Labor's greatest achievements. That's why we continue to strengthen it, and it's why Australians nationwide put their trust in us at the last election. They saw what we've done and what we've promised to do, and we have runs on the board to make sure people's health is forefront in what we provide. They agreed to join us on this journey, ensuring that we uphold the values that make this country the envy of the world.
Australians have entrusted us with protecting Medicare and the Pharmaceutical Benefits Scheme and with strengthening Medicare and that scheme. Today we take another step on that journey and today we make the system fairer for everyday Australians. Today we provide much-needed relief for our most vulnerable. I commend the bill to the House.
Dr FREELANDER (Macarthur) (17:50): This bill, the National Health Amendment (Cheaper Medicines) Bill 2025, reflects really a key belief of mine, which is the importance of making health care more affordable and accessible to our society as a whole, and I thank the minister for his work on bringing this before the House.
It's very important to see this as being part of the DNA of a Labor government. This goes back many generations, even to the time of the first Labor prime minister, Andrew Watson, who believed that a healthy society was a successful society. Further, it can be seen in some of the very strong Labour governments in other countries, such as the government in which health minister Nye Bevan in Great Britain developed the first British comprehensive public health system now known as the National Health Service. He was instrumental in imparting the view that a healthy society was a successful society both socially and economically. The Curtin and then Chifley governments continued this in Australia, with the development of our public health system, our public hospital system and, of course, what became the Pharmaceutical Benefits Scheme—which was a reflection of the cost of medicines and its effect on everyday families—as a way of making sure that working-class families could access the health care and the medicines that they needed.
Health care has changed a lot since that time. It was said in the days of the Labor governments of the Chifley-Curtin era that it was all about the bug, the drug and the mug. People had an acute illness, usually infective; they sought the medication that could help them; and then it was about the person's individual health. 'The bug, the drug and the mug' was an aspect of our health care for many decades. Even in my own time as a doctor, infectious disease was a very important part of health care, and it was very important to make sure people could access the medications they needed. Labor, throughout the generations, has protected the PBS up until the present day.
But we now live in a different time. We live in a time of chronic illness. About 60 per cent of Australians, or a bit more, have a chronic illness. Of that 60-odd per cent of the Australian population that have a chronic illness, about 85 per cent require daily medication on a long-term basis. That's a very important figure when we look at the larger numbers of Australians, our ageing population and the new developments in medicine. I myself take a long-term medication. It's actually one of the most commonly prescribed medications in Australia and in the developed world: a statin to reduce cholesterol, which reduces the risk of cardiovascular disease, which used to be seen in my family as the family disease. We now know there are very effective ways of managing it and preventing cardiovascular events like stroke or heart attack by the use of things like statins and the treatment of blood pressure, and the treatment of the risk factors for cardiovascular disease, including diabetes. So we are in the age of chronic illness, and medication costs increasingly have an effect on the family budget that can be extremely significant.
We're also in an age when many of the chronic genetically based illnesses that were previously untreatable are now treatable. For example, as a paediatrician, we now have treatments for things like cystic fibrosis that are genetically targeted and are incredibly effective. The life span of someone with the common form of cystic fibrosis, due to what's called the delta F508 mutation, has almost doubled from early 20s to now over 50. We look forward to it being much, much higher as the effects of the new medications come into effect. These medications can be very expensive, ranging in cost from $200,000 to $300,000 a year per patient every year that they're alive. These are very expensive medications. They now can be accessed, thanks to a Labor government, at a cost that will be, from 1 November, $25, or $7.80 for a pensioner. These are incredible advances in health care that are supported by government action that reduces the cost of these medications to the families.
When we first came into government in 2022, we began, of course, by introducing the largest cut to the cost medicines in the PBS's history when we dropped the cap on PBS medicines from $42 to $30. Now, with this bill, we're going to further reduce the PBS general patient co-payment down to $25, and this will make a huge difference to the many families who have children and adults on long-term medication. With this bill, this is now the biggest cut to the cost of medicine in PBS history. It will save patients over $200 million every year, with four out of five PBS medicines to become cheaper because of the almost $700 million investment by this government. 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. This is a huge saving for families.
I'd also like to add that this will go one step further and help save lives, as we know that patients that forgo their medication only ever do so if they can't afford it. This makes this bill even more important to me and my electorate. I decided to run for parliament in 2016 because I was sick and tired of my patients in the community being sick and tired—exactly that. I was sick of patients—or their mothers, usually, and their fathers—coming to me and asking me which part of the number of prescription medicines they should get first, because they couldn't afford to get them all. If, for example, you have a child with something like asthma, it is maybe two or three medications that they need, including the regular preventer medication. These changes are what good government does. It's important to know that our healthcare needs are changing, and this is a Labor government that's prepared to do what is important for families, No. 1, to keep them healthy and, No. 2, to make sure they can afford the cost of their medication.
The Australian Labor Party is consistent in our beliefs and our ability to implement strong healthcare policies to improve the outcomes for all Australians. We govern for all Australians. It's a matter of equity, it's Labor's way and it's something I'm very proud to be part of. I thank the minister and I thank the assistant ministers for all their efforts in bringing this bill to the parliament. It is very important. It's something that we feel helps not just our health care but our whole economy. In fact, I did message the Treasurer about the importance to our productivity of making sure regular and equitable access to health care is part of the productivity gains we can look for with better health care.
We can trace Labor's history in improved healthcare, as I said, back to the beginnings of Labor government with the first Labor prime minister. It's Labor's way. We really support the PBS, which is thanks to the efforts of John Curtin and Ben Chifley, the Prime Minister and Treasurer in that time during the end of the Second World War and just afterwards. The PBS provides for medicines, materials and appliances to be available to all Australians at an affordable cost. Labor government, we must also remember, introduced the Hospital Benefits Act 1945 at the end of the war, providing for the Commonwealth to subsidise our public hospitals. The present health minister is looking at how we can improve our hospital system as we look to get agreement on the public hospitals act with the state governments at the present time.
I laud the incredible efforts of the Whitlam government and later the Hawke government, through Medibank and later Medicare, to help lead us to a health system which is for all Australians and has helped pave the way for the legislation we're speaking on today—and there will be further measures to come. It's a great legacy of Labor governments. These towering Labor prime ministers—Curtin, Chifley, Hawke and Whitlam—have made Australia a prosperous economy, healthier and more productive. I'm proud that the Albanese Labor government is following in Labor footsteps during these difficult times and also looking forward to how we can design our health system to be even better in the future.
There are a thousand and one factors that affect the cost of living, many of which are outside the realm and scope of government action. However, it is in legislation like this, through supports to the healthcare system, that we can produce meaningful benefits for all Australians. We have to be ever vigilant, and we need to look for ways that we can improve access—and equitable access—to health care. My thoughts are that there are many more things that we can look to do, such as improving access to dental care through our healthcare system and making it more equitable for us to be able to afford visits to specialists. I know the health minister is looking at that. We had almost 10 years of, essentially, inaction by the Liberal-National government, up until the advent of our Labor government in the last term. We have done so much more in that short period of time than the coalition did in almost 10 years. We have more free and cheaper medicines, sooner, and there has been a reduction in the cost of prescriptions for everyone, including those on concessional payments.
One big advance that we've had, in spite of the fact that the coalition fought tooth and nail against it, is the introduction of 60-day prescriptions. That's made a huge difference to people, in terms of both the time they needed to get their medicines and the cost of their medications. I look forward to further increases in the availability of medications over a longer period of time in the future. We've frozen the cost of PBS medicines. Co-payments have not risen with inflation and will not do so, for the first time in 25 years.
We have invested a significant amount of money—over half a billion dollars—into our women's health programs to improve access and awareness on health related matters affecting Australian women. There is much more to be done in this space as well, and I look forward to further action. We shouldn't forget the work we've done to increase Medicare incentives and GP bulk-billing rates, which will come into force through even stronger mechanisms with bulk-billing incentives on 1 November. Our government is encouraging more medical students to enter the rewarding field of general practice, and that's something where we're working on other measures as well.
These are real changes that are producing better outcomes for all Australians. More money in our constituents' pockets mean better financial flexibility, which is a major concern for all Australians. People in my electorate of Macarthur, for example, have saved over $11 million since our cheaper medicines policy came into effect. Yes, there are still issues that we need to address, and it is important that we continue to look at how we can improve the system. Nobody should be pushed into impossible choices between medicine and meals or into skipping treatments, including some really life-changing medications, because they can't afford them. Labor is continuing to look at ways to improve the health care of all Australians. We are working very hard to address cost-of-living concerns, and medication and health costs are part of that. We've improved healthcare access and affordability, but we know we need to continue to work on it.
I'm very proud to be part of this government, and I'm very proud to work for the health minister, Mark Butler, in his efforts to make sure that there's more equitable access to health care and that health care is available to all Australians, no matter where they live across the country, to improve their health and that of their kids. Australia's healthcare system is there to protect Australians, but it's also there to make sure we have a more productive economy. That is very important, and that is part, as I've said, of the DNA of a Labor government.
We have a tremendous health team working towards this, and we won't stop our efforts to improve our healthcare system, which I might say is the envy of the world. I've been to many different countries, from the USA to Europe to our Pacific neighbours, and that demonstrates so well that our healthcare system is the best in the world. I'm very proud of it, and I'm proud of the healthcare workers that work to continue a satisfactory and better system. (Time expired)
Ms McBAIN (Eden-Monaro—Minister for Regional Development, Local Government and Territories and Minister for Emergency Management) (18:05): Lowering the cost of medicines across Australia not only helps people with the cost of living but also ensures that we keep people healthy, and it actually helps people with their treatment. People's health shouldn't be something they wonder if they can afford. That's why I'm incredibly proud to rise today to speak about how this Labor government is making medicines cheaper for all Australians.
This legislation delivers on Labor's election commitment to make medicines more affordable, saving patients over $200 million annually and assisting with the cost of living. The National Health Amendment (Cheaper Medicines) Bill 2025 will help to reduce the general co-payment for PBS medicines from $31.60 to $25, effective from 1 January 2026. Having already slashed the cost of medicines with the largest cut to the cost of medicines in the history of the PBS in 2023, we're following that up now and going even further. Keeping the cost of medicines low is also a practical way we can help people make that doctor's appointment, get into the pharmacy and get medications they need to live a healthy life.
We are committed to keeping the cost of medicines low. Having already slashed the cost of medicines, as I said, we're going even further. The last time that PBS medicines were this affordable was in 2004, over 20 years ago. Back in 2004, I was still at university and working in a pharmacy. In 2004, The Lord of the Rings: The Return of the King was the Oscar winner for Best Picture. Myspace was the coolest social media site, and ugg boots were a fashion statement. I think that they still are, so maybe that is something that goes back to 2004. I'm not currently wearing them, but you'll catch me at Woolworths Tura Beach in them.
The reduction to $25, turning back that clock to 2004, will help Aussies be able to buy medicines that improve their quality of life. Patients with a concession card will also get that price of their PBS medicines, $7.70, frozen until 2030, which is another fantastic investment made by this government and another way in which we're assisting with those cost-of-living pressures, particularly for people on fixed incomes.
This policy is incredibly important because it delivers on our big commitment to our communities which was all around health care—in particular, regional communities, where this matters so much. It also builds on our policy for 60-day prescriptions, which is designed to support millions of Australians going through an ongoing health issue.
Our Labor government is committed to looking after our most vulnerable people, ensuring that they don't have to make choices between medicines and the other essentials they need. I know that my colleague the assistant minister for health, Emma McBride, often talks about seeing people, as a pharmacist, who were making choices between different scripts.
In my electorate of Eden-Monaro alone, the legislation is expected to save our community over $10.2 million. That's a significant amount of money that can be spent supporting our local businesses, getting the kids new school shoes, going out for dinner at a local restaurant or buying a raffle ticket at your sporting club. Eden-Monaro residents have already saved $7.6 million because of the Albanese government's cheaper medicines policy, a policy that, unfortunately, those opposite voted against.
Living in a regional community, I know it can be tough to access healthcare services, so I'm really proud that the Albanese government is delivering on its promise to strengthen Medicare and invest in local health care. We've tripled the bulk-billing incentive, and, thanks to these landmark investments, we have added 2.2 million bulk-billed visits in regional and rural Australia alone.
We're also rolling out Medicare mental health centres across Australia. Medicare mental health centres are government funded centres offering free, immediate, short- to medium-term mental health support and navigation for anyone over 18 with no referral needed. This means free mental health treatment for people in communities across the country. Again, this is all about ensuring that cost is no barrier for Aussies with ongoing care needs. Across the country, there are already 13 centres operating in New South Wales; five operating in Western Australia; four operating in South Australia; and one operating in each of Victoria, Tasmania, the Northern Territory and the ACT. There's one just up the road from me in Moruya, in the electorate of Gilmore, which officially opened earlier this year. Having accessible and safe places to address mental health needs is essential to having a strong and healthy community. You can access mental health hubs in Bega, Queanbeyan and Goulburn as well. You can access these Medicare mental health centres by calling the Head to Health line on 1800595212 and asking for support or by visiting a centre—whichever you are most comfortable with.
Urgent care clinics are another important service that we're rolling out. We've opened 90 Medicare urgent care clinics, from Queanbeyan to Broome to Mount Gambier, to free up our emergency rooms and get people seen sooner. These 90 Medicare urgent care clinics have already seen more than 1.8 million presentations since the first sites opened in June 2023, including over 355,000 presentations to the 22 existing New South Wales urgent care clinics as at 4 August this year. The urgent care clinic we delivered in Queanbeyan has already supported over 7,000 fully bulk-billed presentations and we've just announced that tenders are open for three new urgent care clinics in Nowra, Shellharbour and the Bega valley. These will take pressure off local hospitals including Shoalhaven District Memorial Hospital, Shellharbour Hospital and South East Regional Hospital, and will fill an important gap in services across extended hours and over the weekend. I'm proud to be part of a Labor team delivering on this election commitment to provide better local health care across the Bega valley because people should have access to free health care when and where they need it.
As all parents know, having access to a service, especially on the weekend or after hours is incredibly important. Weekend sport can be a crazy time in our regions with kids spraining ankles and wrists, and getting cuts, bruises or breaks. I well and truly know this with an entirely sports mad family. From swimming to netball, basketball, AFL and athletics—we play it all. My middle child is also asthmatic and we know kids can deteriorate quite quickly. I've now had half-a-dozen hospital presentations, with numerous hospital stays with him. If we'd had access to an urgent care clinic when he was little, I wouldn't have had to clog up our emergency department when it wasn't needed. An urgent care clinic is a great way to get something that is minor seen earlier. It could be a cut that needs stitches or a sprain before it turns into something more serious. It's reduced waiting times in our emergency departments. There are no out-of-pocket costs and there are extended hours. Communities are telling us that it's exactly what they wanted.
Of course, our general practitioners are invaluable across regional communities which is why we are supporting more GPs to bulk-bill. From 1 November 2025, the government will support thousands of GPs to bulk-bill every patient with the launch of the new Bulk Billing Practice Incentive Program. We are supporting more GPs to come to rural and regional Australia with a popular new rural GP specialty reaching a milestone earlier this year. In 2025, we have seen the largest cohort of doctors starting GP training in Australian history. More than 1,750 doctors have started government funded training to become a GP in 2025. One-third of these future GPs are training in the new general practice specialty of rural generalism, which has now reached a critical milestone in its recognition as an official medical specialty. Rural generalists are rural GPs and they provide much more than just vital primary and emergency care to rural and regional communities. They often have additional training in obstetrics, mental health and anaesthetics.
This is another very welcome sign of confidence returning to general practice and it reflects the Albanese government's financial support to encourage greater growth. It also adds to our commitment to invest an additional $573 million in women's health, including more support for menopause and contraceptives, saving women and their families thousands of dollars. The Australian government's women's health package has already started to improve access and affordability, with the first PBS listing in more than 30 years for new oral contraceptive pills and the first PBS listing in over 20 years for new menopausal hormone therapies earlier this year.
There are now more endometriosis and pelvic pain clinics open. We are expanding from 22 to 33 the number of clinics across the country. On 1 November, there will be larger Medicare payments and more bulk billing for IUDs and birth control implants, saving around 300,000 women a year up to $400 in out-of-pocket costs. Women deserve a health care system that provides more choice, lower costs and high-quality care. As a government, we are committed to supporting women's health care, and I'm proud the Albanese government is delivering on that promise.
Turning back to cheaper medicines, it's so important that we keep doing what we can to make access to health care more affordable. We don't want to end up like other countries where the cost of medicines is prohibitive—where people don't get the help they need when they need it, and they end up much worse. Preventive health care is vital to keeping communities strong, local economies going and ensuring that people have a quality of life. It's about dignity and ensuring that we look after one another.
Imagine the alternative when people can't afford the medicines they need. The first risk is the impact on health itself. When medicines are too expensive, people delay filling prescriptions, cut doses in half to make them last longer or skip them altogether. That means conditions such as diabetes, high blood pressure and asthma are left untreated or poorly managed. What begins as a manageable health issue can quickly spiral into a medical emergency. A hospital stay costs far more than a prescription, and it puts pressure on our healthcare system that can be avoided.
The second risk is financial stress for people on fixed incomes—pensioners, single parents, students or those who are in casual jobs. The rise in the price of medicines creates impossible choices. Do you pay the rent or do you fill a prescription? Do you buy groceries or your child's asthma inhaler? No Australian should have to make that choice.
The third risk is in inequality in our healthcare system. Australia prides itself on the principle of universal access—that health care should be available to everyone, not just the wealthy. When the cost of medicine becomes a barrier, that principle starts to crumble. Wealthy Australians can afford the treatments they need, while those with fewer resources are left behind. The result is a widening health gap between the rich and the poor, the city and the country, the young and old. There's also a long-term national risk. As more people miss out on vital medicines, chronic conditions worsen, leading to greater demand on hospitals, emergency services and aged care. This drives up the cost of health care for everyone—for taxpayers, governments and the health system itself.
So I am here today incredibly proud to support this legislation. We need to keep pushing for strong policies that protect Australians from the burden of high medicine costs. That means continuing to expand subsidies under the PBS, encouraging greater competition in the pharmaceutical market and ensuring that rural and remote Australians aren't paying more simply because of where they live. We need to treat affordable access to medicines as a basic right, not a privilege. Medicines are not luxury goods.
I would like to sincerely thank the health minister, Mark Butler, and his health team for bringing forward this bill. It delivers on a significant commitment made prior to the election. It builds on earlier actions undertaken by the Albanese Labor government to deliver cheaper medicines. It helps strengthen Medicare and improve access to health care for all Australians. This bill is important now. It was important in 2023 when we reduced the cost of medicines for the first time, and it will remain important for this parliament to come together to ensure that access to affordable health care, whether that is medicines or treatment, remains a continuing priority not just of a Labor government but of a parliament as a whole. We have to ensure that health care remains accessible, particularly when we see other countries attempting to attack our PBS. We need to remain strong—that the PBS is a core right for Australians and that they can rely on their government, of whatever political persuasion, to stand up for cheaper medicines and affordable health care and ensure we continue to back affordable health care in this country.
Again, I commend the bill to the House. I think it's incredibly important. I want to again thank our health team for the work they've done in bringing this bill forward.
Ms RYAN (Lalor—Chief Government Whip) (18:20): Australia is famous for many things, and one thing the world knows about us is our universal health system and our affordable medicines. When people look around the world at where they want to live, our great health system is one of the things that attracts them to our country. It speaks to our sense of egalitarianism. It speaks to our sense of social justice and our commitment to looking after one another and building a fair society. Our universal health scheme is a hallmark of that great society, and I am really proud that Labor had a role to play in the creation of that egalitarian health system, if I can call it that. The National Health Amendment (Cheaper Medicines) Bill 2025 is another piece in that great social enterprise that is our country Australia and one of the reasons people from around the world want to come and live here with us.
In my electorate of Lalor we have a young, diverse, fast-growing community of young families from around the globe, who all love our health system. If you stop on any street corner and start a conversation, it will go to health. Two planks—health and education. That's why people come to my community: 'Affordable housing, and I want a great education for my kids and I want to know that we can access the health care that we need.' This government is committed to making sure that everybody in Werribee, Tarneit, Wyndham Vale, Hoppers Crossing and Manor Lakes has access to affordable medicines.
This legislation is part of that good news story. As of 31 July this year, my community saved $9.2 million because of this government's commitment to cheaper medicines. If you think about the young families that I represent, about the number of times they go to the doctor, about all of the medicines that a family requires, about our model where we front-load preventive health by creating access to GPs, access to emergency care and access to urgent care clinics and providing medicines that families need at affordable prices—if you think of what that means for the long-term health of a community like mine, this is gold. It's more than gold. It's a spend we're not going to make at the other end of this cycle, because healthy children create healthy teenagers create health adults. A Tarneit family filling two general scripts a month will save hundreds of dollars under the change that I just mentioned. This bill provides certainty for concession holders. A Werribee pensioner will pay no more than $7.70 a script, frozen until 2030, with no surprises and no strings attached.
I think about my mum, who lived to be 94, and I think about what our affordable medicines meant for her life. They meant a quality existence. They meant a pain-free existence. They meant that she could continue to contribute, to hold her great-grandchildren, to see the birth of 28 great-grandchildren. That was down to our great health system—seriously, 94 years of age—because she lived in Australia. She had nine children, with eight surviving. She was hard on her body. Her body met those demands. Those medicines kept her well. She was an asthmatic. As a child, she was an asthmatic. Her mother was told when she was born she'd have to be left in the pram because the asthma was so severe. That's not a treatment we would suggest day, under any circumstances, but it's a long time ago. That asthma came back. She grew out of that extreme asthma by the time she became a teenager, but, with menopause, it came roaring back into her life. She was hospitalised in her 60s, seriously fearing for her life. Her asthma medications were a permanent part of her life, from age 60 through to when she left us. How many scripts is that? What would it mean for her to know at 60 that her medications were going to be $7.70 per script on the PBS?
Cheaper, longer duration scripts have also improved medication adherence, preventing avoidable visits to the GP and hospital admissions. These things are happening now under this Labor government, and I am so proud of the work we've done here. I'm proud that we stared down those opposite on extending scripts. We stared them down and delivered. I'm proud of it because I live with someone who has scripts all the time for a condition that won't change, and I know, across the last 15 years, the number of times a script went unfilled, the number of times I was in a conversation that went, 'Your colour's not looking great. Are you taking your meds?' only to be told, 'I'm going to go to the chemist today.' The 60 day scripts will prevent heart failure intensifying for thousands of people in our community. This is good news for everybody I represent. It's good news across Australia.
Cheaper medicines help households in Lalor budget. I often talk about this. As a teacher, I have seen what cost-of-living pressure can do to families. I've seen it, and I've lived it with families, with kids walking into the school gate who've come from a home where the bills are stacking up on the fridge and chaos is looming. Parents lose control of their lives, and that chaos impacts on young people as they walk into the school gate. Anything a government can do to create a positive budgetary frame for families to reduce the pressure of cost of living is a good thing. This legislation is not just about great medicine. It's not just about quality of life. It's not just about living longer. It's actually at that grassroots level of giving people control of their household budgets. It's a cost-saving measure. It's a cost-of-living measure as well as being a health measure.
The Albanese Labor government is providing practical, immediate cost-of-living relief with long-term benefits for every community. Think about it. We come to government, and there's a cost-of-living crisis. Interest rates are spiralling. What do we look to? We look to the things that families need right now, like control of the family budget. We look to controlling the energy costs inside their homes. We look to the cost of medicines. What an insightful decision from our minister for health, to look at recommendations that may have come to previous governments and been shoved aside as not important or not a priority. In this scenario, this government comes into office and embraces the 60-day script, an idea rejected by the previous government, because of what it means in a cost-of-living crisis. It means that you don't have to go to the doctor as often, and it means that we can protect that universal health system that we're so proud of.
As the member for Lalor, I have fought to have the DPA status reinstated for my community. That status was ripped away from us by the previous government, and that saw a 30 per cent drop in GPs in my community. The way the DPA works is that doctors trained overseas—many live in my community—get a DPA-status placement where they work longer hours or after hours so that a clinic stays open until 10 o'clock, staffed by an overseas doctor working to have their accreditation acknowledged in Australia. That is the bread and butter of GP clinics in my electorate, where we train overseas doctors in Australian practice. People get their credentials then buy a house and dig in. They start a practice and the cycle continues. We've reinstated that DPA status in my electorate, and it is making a world of difference to community members because lots of the clinics opened by overseas doctors, who have come to share their lives with us, are bulk-billing every patient who walks through the door. Now they're able to give them scripts that people can afford, and our pensioners and anybody who is eligible for PBS scripts is benefitting from all of that.
This bill will reduce the PBS general co-payment from $31.60 to just $25 from 1 January next year. It doubles down on what we've already done to make those scripts cheaper by bringing them down to $31.60. Now they're going to come down by another 20 per cent. It will slash the maximum cost of PBS medicines. This is going to make another real difference in communities like mine and in communities across the country. It was a commitment we took to the election because we knew that universal health care was a part of Australia's identity. It's about accessibility, which provides the foundation for every cost-of-living measure this government introduces. We're using medicine, health and every measure we can to assist families in electorates like mine to get control of that family budget, to literally get control of their lives and to maintain a level of calm in their homes when they come home from work.
Only a Labor government builds and defends this universal health care—from Whitlam's Medibank to Hawke's Medicare to this bill around cheaper medicines today. Labor made Medicare possible, and we are still the only party that strengthens it when families need relief most. Those opposite may wince, but Medicare stands because Labor built it and Australians back it. Labor doesn't just talk about universal health care; we created it and we continue to modernise it so Australians are not left to decide whether they can afford to refill their scripts or to put dinner on the table. They are not left to make hard decisions that people in other countries make every day. Under those opposite, what we saw was an Americanisation of our universal healthcare system, a system that we're incredibly proud of and that Australians are proud of. It's a foundation of our society. It's a foundation of our egalitarian ethos.
Labor founded the affordable medicines scheme under the Chifley government in 1948 with the aim of subsidising life-saving and disease-preventing medicines for the community. Today this life-changing scheme has been expanded and provides timely, reliable and affordable access to necessary medicines for all Australians. In 2023, Labor delivered the largest PBS price cut in history, and now we're taking it down to $25. This is Labor doing what matters because it is the right thing to do. It's the right thing to do—it's the right fiscal thing to do. It's not just cost-of-living relief. It's not just good health. It's also part of that preventive cycle that saves governments money at the back end. The healthier our population is, the less demand there is on our health system and on our hospital system. When the Liberals were in government, we saw the neglect of our healthcare system. We saw the introduction of co-payments. We saw the freezing of the indexation for Medicare rebates. We saw them strip Lalor, Wyndham and the outer suburbs around the country of DPA status. This was a decision felt deeply by many in my community. I fought to have it reinstated.
I support the health minister on the measures that he is introducing in this piece of legislation. I support the health minister in reinventing universal health care through the tripling of the Medicare incentive. I support the wise decisions being made by this government to keep not just my community but all Australians healthy, supporting them when they need support and making sure that every family across the country can access the medicines that parents and their children and the children's grandparents and everybody in the community needs. This is Labor government 101. Those opposite should take note. They should back universal health care. They should back cheaper medicines. They should support every measure this government is bringing forward not just to reduce people's costs but to keep our community healthy.
Debate adjourned.