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PBS co-payment freeze rolls out
In 2025, the maximum patient cost for all PBS medicines will remain the same as in 2024 instead of increasing with indexation.
PBS copayments on medications typically rise with indexation on 1 January each year.
GPs have been reminded that patients accessing medications through the Pharmaceutical Benefits Scheme (PBS) will not see their prices rise in 2025.
The 2024–25 Federal Budget measure, which went live on January 1, means costs will remain the same as in 2024 – $31.60, or $7.70 for those with a concession card.
If the PBS copayments increased with indexation this year, concession card holders would pay an extra 20 cents and for all others it would have been 90 cents.
The frozen PBS copayments will remain at their current rate until the end of 2025 for general patients, and at $7.70 until the end of 2029 for concession card holders.
PBS copayments usually increase in line with the Consumer Price Index (CPI) on 1 January each year.
Every year on 1 January since 1997 PBS copayments have risen – except for two years where they did not increase in 2021 for concession card holders and when the Federal Government cut PBS medicine costs in 2023.
Federal Health and Aged Care Minister Mark Butler said freezing the maximum PBS copayment for Australians will ensure ongoing affordable medicines.
‘Delivering an estimated half a billion dollars in additional patient savings,’ he said.
However, the optional $1 discount which pharmacists can apply to the cost of PBS medicines will be gradually reduced from 1 January, while the PBS co-payments are frozen.
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