As of 1 January 2026, the cost of PBS medicines for Medicare cardholders is $25, down from $31.60.
According to the Pharmacy Guild, “that’s the lowest amount since 2004, and only the second time in history that the price of medicine in Australia has been reduced”.
Pharmacy Guild of Australia National President Professor Trent Twomey says this change delivers significant cost savings and will improve access to essential medicines.
“Every week, more than 400,000 prescriptions will now cost no more than $25 — putting up to $6.60 back in patients’ pockets for every prescription,” he says.
“It makes medicine the most affordable it’s ever been.”
The Guild was joined by more than 20 health and community stakeholder groups in calling for PBS medicines to be more affordable.
According to the Guild, research has shown more than 1 in 5 people without a concession card have skipped a prescription in the past 3 years because of cost, a figure to rose to 1 in 3 in regional areas.
“Everyday, community pharmacists see the tough choices Australians face — choosing between medicine, food, rent and other essentials,” says Professor Twomey.
“Patients often decide to reduce doses or skip their medicine.
“Today’s historic reform will encourage medicine adherence, prevent complications and reduce pressure on GPs and emergency departments.”
Prime Minister Albanese announced the decision to reduce the price of PBS prescriptions for non-concession card holders at APP 2025 on 20 March 2025.
The National Health Amendment (Cheaper Medicines) Bill was introduced into Parliament on 30 July 2025 and received Royal Assent on 4 September 2025.
The reform helps make essential medicines more affordable for millions of Australians and strengthens access to primary care nationwide.
