New five year plan for Australian pharma industry

The Australian government has reached a major agreement with the pharmaceutical industry related to drug prices and the Pharmaceutical Benefits Scheme (PBS).

Trade group Medicines Australia says the new agreement will deliver A$1.8 billion ($1.3 billion) in savings, which will be reinvested into the supply of medicines, including more breakthrough therapies listed on the PBS.

The government-run program, which enables patients to buy a wide range of prescription drugs at a subsidized price, has in recent years been expanded to include more medicines, with further cost reductions for patients.