Cheaper Medicines Policy Leaves Gaps
New research from the McKell Institute reveals that many Australians are skipping medication doses and resorting to expired medicines because of high costs. The report highlights significant challenges that persist despite the Cheaper Medicines policy.
Edward Cavanough, Chief Executive of the McKell Institute, remarked, “The Albanese Government deserves credit for the Cheaper Medicines reform, which has delivered genuine relief to millions of people, but this research shows that the policy isn’t helping almost half of all Australians.”
The McKell Institute’s report, Still Out of Pocket, indicates that 43% of Australians have been prescribed medicines not covered by the Pharmaceutical Benefits Scheme (PBS). As a result, many people are forced to make difficult choices, such as skipping doses or taking expired medication.
Australians Face Hard Choices
Among those prescribed non-PBS medicines, 24% do not purchase the medication at all, and 16% report going without essentials like groceries to be able to afford their prescriptions. More than one in five people surveyed, 22%, delay filling a prescription due to cost, while 18% do not fill it at all.
15% skipped doses to make their medication last longer. Overall, 12% reported taking expired medication instead of filling a new prescription, and 11% took less than the prescribed amount to stretch their supply. These statistics show the extent of the issue.
The McKell Institute conducted the survey with 1,506 participants, including those who have not had to purchase non-PBS medication. Edward Cavanough emphasised that the findings point to a significant gap in Australia’s medicine policy. He stated, “When people are taking expired medication because they can’t afford to refill their script, it quickly changes from a minor policy gap into a serious public health problem.”
The report calls for increased government investment in the PBS. According to the research, 89% of respondents support this move, indicating that the public is ready for more ambitious actions from the government. The McKell Institute urges the government to consider expanding the PBS to cover more medications, as nearly half of Australians are prescribed medicines not listed on the PBS, leaving them without financial support.
The Cheaper Medicines policy, introduced by the Albanese Government, aims to reduce the financial burden of medications. However, its limitations are evident as it only benefits those whose medicines are on the PBS. The survey highlights the urgent need for reform to address these gaps.
Last updated: 10 April 2026, 12:49 pm
