Prices of 2000+ medicines in Australia to fall by up to 50%

Over 2,000 brands of common medicines could be slashed in price for millions of Australians – some by as much as 50% – from next year in a “win-win” for consumers and taxpayers, the government announced yesterday.

Australian Minister for Health Sussan Ley revealed the extent of the significant benefits to be brought about by the Abbott government’s proposed improvements to the pricing of generic medicines if it passes the Senate this week as part of a broader reform package.

The changes are expected to see over 2,000 brands of about 170 of Australia’s most common medicines instantly drop by as much as 50% or more from October 2016 when compared with their current price (as at June 2015), with hundreds more to follow over the next five years.

Ms Ley said this included seven of Australia’s most common medicines for cholesterol, heart conditions, high blood pressure, osteoporosis, depression and bipolar, which alone treat three million patients between them and could save them upwards of $10 and $20 per script as a result.

“In just over 12 months’ time patients could be seeing the price of their everyday medications fall by as much as $60 to $250 per drug per year if our proposed reform package passes the Senate this week,” Ms Ley said, adding: “With a growing burden of chronic disease in Australia many patients now take multiple medications at once, meaning even greater savings as high as $500 or more annually.”

Expected savings

For example, the Minister said, it would not be uncommon for someone with a heart condition and signs of osteoporosis could be concurrently using;