Tuesday’s federal budget has come of “something of a relief” to healthcare professionals who had feared further cuts to the sector, UFS chief executive officer Lynne McLennan said.
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Treasurer Scott Morrison has promised to gradually lift the much-maligned Medicare rebate freeze for GPs before 2020 in a move which the government says will encourage more bulk billing.
Introduced by the former Labor government and extended under Prime Minister Tony Abbott, the freeze on GPs’ rebates has been charged with de-incentivising bulk billing and deterring new graduates from general practice.
The government has also done a backflip on plans to remove bulk-billing incentives for pathology and diagnostic imaging and increase the Pharmaceutical Benefits Scheme co-payment and related changes.
The cost of reversing these measures is $2.2 billion over the next four years.
However Ms McLennan said more was needed to attract graduates to general practice. A study by the University of Melbourne released last month showed only one in 10 graduates went into general practice.
“Taking that freeze off is not going to suddenly make general practice incomes incredibly attractive compared to doing five more years study and becoming a specialist,” Ms McLennan said.
“Putting the freeze on was just another nail in the coffin of general practice. It’s good news but it hasn’t solved the problem overnight.”
Ms McLennan said the budget would “take the heat” out of the major lobby groups like the Australian Medical Association, which has campaigned to lift the freeze.
“There’d been a lot of talks about further cuts so it’s a relief that the government has listened to the community and the health professions, that they’re actually understanding that the health system is important and that we need to maintain its integrity.”
She also welcomed the government’s cash injection into e-health records.
“The biggest enabler we need in help is actually a really good digital strategy and really good electronic health record. We’ve finally got something, 10 years later than we should have.”
The government has also launched a Medicare Guarantee Fund in a move widely seen to protect the party from another Labor “Mediscare”.
Ballarat MP Catherine King said the budget was a “massive insult” to the city.
“This is proof that Malcolm Turnbull hasn’t listened and unfortunately Ballarat patients will continue to pay the price.”
Jessica Black
Ballarat journalist.
Ballarat journalist.
