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Real cost of medicines on PBS prescription labels

Australians will know the real cost of their medicines, and just how much the Government contributes through the Pharmaceutical Benefits Scheme (PBS) from today.

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31 July 2003

Real cost of medicines on PBS prescription labels

Australians will know the real cost of their medicines, and just how much the Government contributes through the Pharmaceutical Benefits Scheme (PBS) from today.

Senator Patterson said the measure would help Australians to understand how much taxpayers contributed towards the cost of PBS medications.

"It works out that for every dollar that we pay for PBS subsidised medicines, the taxpayer pays about five dollars," she said.

"I think it's important that we all understand that, so that we can actually value the Pharmaceutical Benefits Scheme."

From 1 August 2003, where there is a PBS subsidy, the medicine labels will show both the amount the consumer has paid, and the real cost of the medicine.

"Labelling PBS medications is important so that all Australians understand that the PBS is designed to make medications on the PBS more affordable, whether you're a concession card holder or not, all of us have our PBS medication subsidised irrespective of our income," she said.

"I think it's vital that we all understand just how much our medicines are subsidised by taxpayers, whether we are Healthcare card holders or not"

Senator Patterson reinforced the Federal Government's commitment to the PBS as one of the fundamental pillars of the Australian health care system.

"The PBS is a vital part of our health system, but it continues to be the fastest growing part of Medicare. This Government is committed to the PBS, but we are committed also to ensuring its sustainability," she said.

"The PBS currently costs almost $5 billion a year, up from $1 billion in 1991. The cost of the PBS alone has risen over 60 per cent in the last four years.

"Meanwhile consumer contributions through co-payments have fallen from around 22 per cent to 16 per cent.

"As medicines become more and more expensive, we need to ensure that we all use them wisely and appropriately, so that we can continue to subsidise medications in coming years," Senator Patterson said.

Media inquiries: Sarah Higginbottom, Media Adviser, Senator Patterson's office, 02 6277 7220.