Media Release

KAP Federal Member for Kennedy Bob Katter today addressed a press conference in Cairns together with local community Pharmacists concerned over the Federal Government’s proposed changes to how it pays for medicines dispensed under the Pharmaceutical Benefits Scheme (PBS).

The Federal Government is currently negotiating the sixthCommunity Pharmacy Agreement which sets out how the Government pays for medicines for all Australians. The proposed changes would see pharmacists absorb at their discretion a $1 discount on the amount that the Government pays for medicines under the PBS.

However in what Mr Katter described as a ‘bait and switch’ manoeuvre, the Government is also proposing to increase the cost of prescriptions by $5, leaving both consumers and owner-operator pharmacists footing the bill.

“The proposal is in reality going to charge the consumer an extra $4 for pharmaceuticals from what they pay now,” Mr Katter said.

“It’s an ugly manoeuvre by the Government to say that we’re only taking $1 off pharmacists, but obfuscating the fact that they are really adding on an extra $4 for consumers.

“Typically the vast bulk of the users of pharmaceuticals are retired people on the pension who don’t have much money, so the Government is really choosing to generate extra tax revenue by taxing the poorest people in society.

“This is also a dreadful play against the owner-operator pharmacists in Australia who are being asked to wear this tax saving by Government.

“And this is all at a time that there is a big push by the supermarket giants to move into pharmacies where what you’ll get is section 457 visa pharmacists from overseas who are paid virtually nothing and can’t speak English.

“Mr Hockey, if you’re going to look for extra tax revenue, we should be taxing the millions of dollars a day on share transactions as well as sales in the Australian dollar.

“But actions like this just hit Mums and Dads, pensioners and our hardworking owner-operator pharmacists in the hip pocket.”

Owner of Terry White Chemists Clifton Beach Nathan Dobbie said he was concerned that the Government’s proposals increased the amount that customers paid for their medicines but also that this was essentially a ‘stealth tax’ on small business.

“Pharmacists are educated and able to offer a vast array of services, but if the Government is asking pharmacies to discount the amount they charge people it means those services are going to be put in jeopardy.

“It means less services even though we put health care of our patients as our highest priority,” Mr Dobbie said.

Mr Katter said that he would be having discussions with the Independent Senators next week and expected them to take an aggressive approach against the proposed PBS changes.

Photo L-R: Paige Hunter, Sabrina Albrecht, Frank Pappalardo, Bob Katter and Nathan Dobbie in Cairns (photo credit Anne Pleash).