More should pay for prescriptions

02/07/2024

The reinstatement of a $5 prescription charge will no doubt result in the media finding some sob stories.

It is a lot less likely there will be stories pointing out the major beneficiaries from the previous government’s removal of the fee were the big foreign-owned pharmacies that hadn’t been charging customers.

It is even less likely that any stories will have my view that more people should be paying the $5.

Exceptions to those being charged are:

  • those aged 13 or under;
  • Community Services cardholders (or a dependent child of a cardholder);
  • those aged 65 years or over;
  • people who hold a Prescription Subsidy Card (PSC).

I’d exclude everyone over 65 who isn’t eligible for a Community Services and/or Prescription Subsidy Card.

I defend universal superannuation because means testing would be a disincentive to thrift.

But any extra taxpayer funds on top of superannuation should be means-tested, including the $5 prescription fee.

The prescription fee has been reinstated to pay for cancer drugs. More for that is far better use of the money than letting wealthy pensioners off the $5 fee they could easily, and many would happily, pay themselves.