Pharmacy Guild collides with Labor over changes to dispensing rules

Labor is facing a fierce showdown over changes to medicine dispensing rules it says will save six million Aussies money.

Labor frontbencher Tanya Plibersek has rejected criticism from the powerful pharmacy lobby as it rails against a major change to how drugs are dispensed.

An estimated six million Australians will be allowed to buy double twice as many common medicines for the price of one script under a shake-up of the Pharmaceutical Benefits Scheme.

The reform sets up a clash between Labor and the Pharmacy Guild, which fiercely campaigned against the reform and warned it would lead to medicine shortages.

Ms Plibersek called this claim a dishonest argument and suggested chemists would be able to “stagger things at the beginning” to make sure they had enough medicines.

“The same number of patients will be taking the same amount of medicine, they just won’t have to line up every month at the pharmacy to get it,” the Environment Minister told ABC TV on Wednesday.

“You might need to make sure you’ve got enough medicines for that initial bump, when people are getting two months’ supply instead of one. But in general, this is great for patients.”

Ms Plibersek said the money saved on dispensing fees would be reinvested in pharmacy programs.

Tanya Plibersek has rejected criticism from the pharmacy lobby. Picture: NCA NewsWire / Gary Ramage

Her comments came as Pharmacy Guild president Trent Twomey was on the warpath savaging the dispensing reform in a flurry of morning interviews.

Speaking to Sky News, Mr Twomey accused health bureaucrats in “ivory towers” in Canberra of pushing through the change without considering the potential consequences to patient safety caused by stockpiling certain medicines such as antidepressants.

Pressed on the fact a doctor will have the final sign off on whether a patient will be granted access to the new, two-month supply, Mr Twomey then claimed pharmacists didn’t have any details about the reform.

“We’ve had no detail. We don’t know how it’s going to work,” he said.

His lobby group instead pushing for the PBS co-payment to be reduced from $30 – which Labor secured after last year’s federal election — down to $19.

The reduction would mean Medicare card holders would only pay up to $19 at the chemist for drugs that the government subsidises through the PBS.

Mark Butler will make the pre-budget announcement in Canberra on Wednesday. Picture: NCA NewsWire / Gary Ramage

The Pharmacy Guild estimates this change to the co-payment would cost the federal budget an additional $920m over four years, whereas the government argues its change to dispensing rules will save money.

The federal government also claims the change will save general patients up to $180 a year or up to $360 a year should they use two subsidised prescriptions.

Concession card holders are expected to save up to $43.80 a year per medicine.

Under the change, a patient would have access to 60 days’ worth of medicine for each script from July 1 – should their GP sign off on it.

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

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

The change will cut the cost of medicines for many Australians with chronic conditions.

Medicines impacted by the new dispensing rules include those for high cholesterol, high blood pressure and Crohn’s disease, targeting millions of Australians living with chronic conditions.

The government says it will save patients more than $1.6bn over the next four years but is remaining tight-lipped on how much the scheme is expected to return to the budget.

It’s understood any savings would be reinvested back into community pharmacies.

Australian Medical Association president Steve Robson said the scheme would make medicines more affordable under a “triple win policy”.

“We know patients are struggling to afford essential medicines as cost of living increases continue to bite the household budget, and research tells us some patients are skipping medicines because of this – that just shouldn’t be happening,” he said.

“Today’s announcement effectively halves the costs of these medicines for patients.”

The change was recommended by the Pharmaceutical Benefits Advisory Committee in 2018 but was never implemented until now.

Originally published as Pharmacy Guild collides with Labor over changes to dispensing rules