Biggest overhaul of Medicare to be launched with $2.2b funding

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Prime Minister Anthony Albanese has made a pledge to allocate $2.2 billion in the upcoming federal budget towards the largest ever reform of Medicare in its 40-year history. At the same time, he has also promised to take necessary measures to control the increasing costs of the National Disability Insurance Scheme (NDIS).

Announcing this after the National Cabinet 2023 meeting in Brisbane, Albanese said, “I’m pleased to say that we agreed, and there was endorsement for the Commonwealth’s initial announcements when it comes to health of some $2.2 billion of practical measures to strengthen Medicare.”

The proposed reforms in Medicare are expected to bring a significant improvement in the healthcare sector, while the efforts to reduce the cost of the National Disability Insurance Scheme will ensure its sustainability in the long run.

The reforms will include supporting workforces to work at the top of their scope, including pharmacists, nurses, and paramedics. The aim is to provide pharmacists with the opportunity to deliver the services that they are capable of, which will provide support and income for community pharmacies. It will also take the pressure off GPs and the primary healthcare network.

The government is also looking to expand the nursing workforce to improve access to primary care. They will be introducing an incentive for GPs to stay open longer hours in the after-hours primary care service. This move is expected to improve access to and delivery of primary care services after hours.

The government plans to introduce My Medicare patient ID to support wraparound care for patients registered with their local GP through new blended payment models. This will help identify patients who regularly turn up at emergency departments and assist them with mental health issues or alcohol and drug problems.

Flexible funding for multidisciplinary team-based models will be provided to improve the quality of care. The government will also be investing in digital health measures to improve health outcomes.

The reforms aim to make practical changes that will have a significant impact on the Australian healthcare system. By reducing pressure on emergency departments, improving access to primary care, and introducing new models of care, the government hopes to improve the health outcomes of all Australians. The reforms will be included in the federal budget, which will be handed down on 9 May.

The NDIS financial sustainability framework was discussed, with the aim of providing a sustainable growth trajectory for the NDIS to support equity and fairness for all Australians living with disabilities.

Health was the priority of National Cabinet in 2023, and a special meeting will be held in the fourth quarter to discuss further health reform.


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