The cost of hundreds of medicines will be halved for millions of Australians living with chronic illness under a major and controversial shake-up of the Pharmaceutical Benefits Scheme set to be delivered in the May federal budget.
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In a move aimed at easing cost of living pressures, from September 1 patients will be able to collect a two-month supply of hundreds of common medicines on the PBS for the price of one script.
"This cheaper medicines policy is safe, good for Australians' hip pockets and most importantly good for their health," Federal Health Minister Mark Butler said.
"Australian pharmacies already do much more than just dispense medicine and the government is supporting our trusted pharmacists to play an even bigger role in the healthcare of Australians."
However, pharmacists have hit back at the federal government saying 60-day dispensing will significantly worsen patient health by creating a medicines shortage crisis and would force the closure of community pharmacies as their dispensing fees would effectively be cut in half.
Peak representative body the Pharmacy Guild of Australia has warned that the move would cause shortages in medicines that treat cholesterol, blood pressure, diabetes, depression, anxiety, epilepsy and Parkinson's as patients would be buying double.
The guild also fears that the risk of accidental overdose would rise as double the amount of medications would be going into homes.
Guild president, Professor Trent Twomey, said 60-day dispensing would hit community pharmacies the worst as they would be forced to cut staff, reduce hours and slash services when they suffered losses estimated to be around $170,000 each year under the change.
"If the federal government proceeds with this proposal, everyday prescription medicine will be put into severe shortages lasting months, not days or weeks," Professor Twomey said.
"I don't want to see a Hunger Games stand-off in any community in Australia where some patients get double the medicine they need, while others get nothing.
"We want to work with the government to deliver cheaper medicine for millions of patients through our proposal to drop the PBS co-payment to $19, helping all Australians in this cost of living crisis."
Raymond Terrace pharmacists Tim Mizzi, owner of Capital Chemist, and Rachel Mulley, owner of TerryWhite Chemmart, said they were "blindsided" by the federal health minister's announcement that the nation would be moving to 60-day dispensing on April 26.
The pair echoed the guild's concerns saying they feared a collapse of the medicines supply chain, the increased risk of in-home overdose and the impact on their pharmacy businesses as their income took a hit.
"Each prescription we fill, we receive a dispensing fee and it's that fee that funds the services we provide in the pharmacy like vaccinations, staying open extended hours and on the weekends," Ms Mulley said.
"What will happen with 60-day dispensing is that the funding will halve. Just like if your income was halved, you would have to find a way to cut your bills. For us, we won't be able to deliver the services we do because they won't be funded."
Ms Mulley and Mr Mizzi said the dispensing fee they currently receive goes into subsidizing the cost of providing COVID-19 vaccinations in addition to the other services they provide such as blood pressure and diabetes checks, weight management and consultations.
The pair also fear having to lay off staff. Each chemist employs between 15 and 20 people.
"We were here all through COVID. We all had our doors open, all our staff were here, we put our families at risk to deliver a service because we care about our patients, our community," Mr Mizzi said.
"How are we meant to be able to provide that same level of service when 50 per cent of our funding is being taken away?
"This proposal is the biggest change in PBS history and it has been done with zero consultation with the pharmacy industry."
Mr Mizzi, Ms Mulley and about 16 other pharmacists from across the Paterson electorate met with federal MP Meryl Swanson on Thursday, April 27 to share their concerns and again on Tuesday, April 2 after she spoke with Minister Butler.
"I'm working with local pharmacists to ensure we deliver a policy outcome that won't harm their businesses or our community," Ms Swanson said.
"The meeting... was productive, and we will reconvene after the budget to review the proposed changes and how they will impact local pharmacies on a case-by-case basis.
"One pharmacy closing in Paterson is one pharmacy too many.
"The Minister has assured me that the proposed changes will not leave pharmacists worst off and that talks will continue between the guild and the Department of Health to reach a pragmatic outcome."
The Federal Budget is due to be handed down on May 9.
While pharmacy has raised concerns with 60-day dispensing, the Royal Australian College of General Practitioners has welcomed the government's proposal.
President Dr Nicole Higgins said patients are currently limited to a 28 or 30-day prescription, forcing them to take more trips to the pharmacy for medications for 'stable conditions'.
The changes, according to the government, will save patients up to $180 a year on medications for chronic conditions including heart disease and hypertension.
"This is a win for patients," Dr Higgins said.
"Cost of living pressures are placing tremendous strain on households across Australia, so there has never been a more important time to save patients money and time.
"Patients with a range of chronic conditions including heart disease will be able to save up to $180 a year and that will make a huge difference for so many households."
Minister Butler has refuted warnings by pharmacies that the changes could lead to supply shortages, and said only seven of the 325 medicines that will be listed for 60-day dispensing faced any issue.
This is despite there being 472 medicines listed in critically short supply or unavailable on the government's own Therapeutic Goods Administration website.
Minister Butler said the change will mean more patients would need fewer visits to the GP for repeat prescriptions.
The policy will be targeted at people with chronic illnesses like diabetes and heart disease and will include 325 medicines on the PBS.
One hundred medicines will be listed in September, with a second tranche in March next year and the final tranche in September 2024.
"This is not going to change the number of tablets dispensed in a given period of time, it's simply going to mean that people can get two boxes at a time instead of having to get one box and come back twice as often," Mr Butler said.
"I really would caution against some of the scare campaigns being put by the pharmacy lobby group."
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