Australian mid-year economic and fiscal outlook does not show cost increases for PBS

The Mid-Year Economic and Fiscal Outlook released by the Australian government did not indicate any cost increases for the Pharmaceutical Benefits Scheme.

It gave a revised overall budget deficit of A$40.4 billion ($33 billion), more than A$10 billion larger than seven months ago; the price disclosure reforms have meant pharmaceutical benefit costs have remained generally the same, standing at $10.5 billion.

Tim James, chief executive of trade body Medicines Australia, said: “It is only by listing these important life-saving drugs that they become available to the sick Australian patients who need them most. These listings bring innovative treatments to those suffering from pancreatic cancer, cystic fibrosis and HIV, as well as rare diseases such as atypical hemolytic uremic syndrome. Price disclosure reforms have led to forecast expenditure for the 2014-15 financial year being downgraded in every Budget since 2011. And we anticipate ongoing savings from price disclosure to continue to deliver more savings before the full Budget in May.”