Australian government slashes prices of 492 medicines

The Australian government has cut the price of 492 medicines subsidized through the Pharmaceutical Benefits Scheme (PBS), in a move which has angered the pharma trade group Medicines Australia.

The government said patients will save around A$20 million ($17.8 million) per year on the price of 492 brands of medicine, because of its pharmaceutical pricing policy known as price disclosure. When generics are used the government drops the subsidy to reflect the lower price and passes this saving on to the patients.

The medicines to see price cuts include antibiotic ceftriaxone, which drops by A$14.68 per prescription, simvastatin for high cholesterol, which drops by A$10.43, clopidogrel for heart conditions, which drops by A$4.27 and sertraline for depression, which drops by A$3.64.