Pharmacy Daily | New Year ushers in “historic” PBS prescription price cut

THE Pharmacy Guild of Australia has welcomed the implementation of $25 PBS prescriptions as at 01 Jan, noting the cost is the lowest it has been since 2004 for those without a concession card, and only the second time in history that the price of medicine in Australia has been reduced.

Guild National President Professor Trent Twomey said the change delivered big cost savings and would result in improved access to essential medicines.

"Every week, more than 400,000 prescriptions will now cost no more than $25, putting up to $6.60 back in patients' pockets for every prescription," Prof Twomey said.

"It makes medicine the most affordable it's ever been."

The cost of PBS prescriptions for people with concession cards remains at $7.70.

Professor Twomey stressed the importance of the price reduction for the health system.

"We know that delaying or rationing medicines can lead to worsening conditions, higher hospital admissions, and greater strain on the health system.

"When people skip medicines because they can't afford them, the whole health system suffers.

"Cutting the PBS co-payment to $25 is the right call - it removes a major barrier to treatment."

Early last year, the Guild was joined by more than 20 health and community stakeholder groups in calling for PBS medicines to be more affordable.

Research at the time showed that more than one in five patients without a concession card had skipped a prescription in the past three years because of cost, rising to one in three in regional areas.

New data released at the end of 2025 showed this still to be the case, with nearly four million Australians skipping prescriptions in the past three years due to cost-of-living pressures.

The research, which was based on a survey of over 3,300 people conducted by Insightfully in Oct-Nov 2025, also found that 17% of patients without a concession card reported being unable to afford their medicines, up 6% since 2022.