Grattan report backs our long called for pharmacy reforms

Australian Medical Association

This week, we welcomed the Grattan Institute report on community pharmacy, which reinforces the need for long-overdue reforms that would improve access to affordable medicines and deliver a better deal for patients and taxpayers. 

The report — Future pharmacy: A better deal for patients and taxpayers — echoes many of the reforms we have advocated for over many years, including scrapping anti-competitive pharmacy location rules, increasing transparency around Community Pharmacy Agreements, and allowing greater discounting of Pharmaceutical Benefits Scheme (PBS) medicines.

In a media statement , Dr McMullen said pharmacy ownership and location restrictions limit competition and leave Australians paying more for medicines than necessary. 

“We know that archaic pharmacy location rules restrict patients’ access to cheaper medicines and pharmaceutical services,” she said. 

“The restrictions on pharmacy ownership and location are anti-competitive and undermine patients’ access to medicines and services. They mean Australians pay more for medicines than they need to, and they do not guarantee supply or safety for Australian patients.” 

The federal AMA has long questioned the transparency and accountability of Community Pharmacy Agreements. 

“These agreements continue to put the interests of pharmacy owners before patients, with several government reports also demonstrating that they lack transparency and accountability,” Dr McMullen said.  

We also welcomed the report’s support for further PBS medicine discounting, arguing it would improve affordability for patients without increasing costs to taxpayers. 

“We should have pharmacy competition; we should have discounting; we should have transparency, and we should have a better deal for patients,” Dr McMullen said. 

“The AMA pushed hard for 60-day dispensing, and with community support that was achieved. But there is so much more we can do for all patients to make medicines easier and cheaper to access, and we can do this without affecting the taxpayer’s wallet.” 

Dr McMullen said the report also highlighted the benefits of integrating non-dispensing pharmacists into general practice, an approach the AMA has long supported. 

“We believe pharmacists provide a critical service — but we need to use their expertise in medicines more effectively by integrating non-dispensing pharmacists into general practice,” she said. 

“Importantly, the report points out this is one area backed by evidence, with overseas examples demonstrating the success of pharmacists working in partnership with GPs.” 

/AMA/AusMed News. View in full here.