THE HON SUSSAN LEY MP Minister for Health Minister for Sport TRANSCRIPT Press Conference regarding the Review of Medicare 22 April 2015 Subjects: A healthier Medicare Sussan Ley: ... Thanks for coming out on this wet Sydney day. I hope it's raining in Broken Hill, in the Far West of New South Wales, which is my electorate and very close to my heart. However, today I'm talking about some key results of my consultations with doctors, with patients, with health professionals across the country in the last few months, and announcing that the Abbott Government, based on the feedback we've received and working with health professionals every step of the way, are announcing three priority areas: a Medicare Benefits Schedule Review Taskforce, led by Professor Bruce Robinson, Dean of the Sydney University Medical School; a Primary Health Care Advisory Group, led by former AMA president Dr Steve Hambleton; and we'll also work on areas of Medicare compliance to improve the system, and to make it better reflect what it is supposed to do, which is to support patients, to support health, and to keep Australia's world-class health system well and truly functioning into the future. So, I'm happy to take questions, and open to those now. Question: Minister is the Medicare- is the co-payment now completely off the table? Sussan Ley: Well the co-payment was off the table months ago, and it's even more off the table today. Clearly, after consulting, following the recommendation of the copayment by the National Audit Commission, we found there was no appetite for it not with doctors, not with patients, and not with my colleagues in the Federal Parliament. So, it is gone. Question: So it was a pretty big stuff-up then. Sussan Ley: I wouldn't describe it as so. Remember, it was a recommendation of the National Commission of Audit, and it was appropriate that the Government explore it to its fullest extent. But I announced several months ago that it was off the table, and it remains off the table. Question: [Talking over] You talked about - sorry - you talked about a rebate freeze, and [indistinct]? Sussan Ley: I announced, when I talked about the co-pay being removed, that the pause on indexation of rebates would remain. But I wouldn't like that pause to be there a day longer than it needs to be. And I recognise that essentially what it's doing is freezing an inefficient NBS structure. What we're talking about today is making that structure better reflect contemporary medical practice, and in the process better care for patients. So that pause will not be in place one day longer than it needs to be. Question: Will that restructure need to take place before a pause can be lifted? Is there any prospect of that pause being lifted before structural changes are made? Sussan Ley: As soon as we can, and in consultation with doctors, we will lift the rebate pause. Now, importantly, what we're doing with our MBS Review Taskforce, is scoping out areas of better efficiency within the health system. Now, this is not the Government saying here we are finding savings; and let me just say, if that was the case I don't think the clinicians would hang around and do this important work with us. They are committed to doing this. And remember, that it will come up with savings when items come off the MBS or are changed, but there are also new items to be added. This is a process that happens all the time. So, we are very committed to the integrity of the Medicare Benefits Schedule, on modernising it for the future, because we want it to provide the best care for patients that it can. Question: [Interrupts] Sorry, you talk about blended funding; can you tell me about [indistinct]? Sussan Ley: Because so much of the care today and into the future is chronic disease, not episodes of care, it's appropriate that patients are looked after in a group by their usual medical practice. And this is something that the College of General Practice has raised with me - in fact they produced a paper last week which picks up on a lot of these things. And the important thing is that chronic care patients need to come back regularly, to get treatment in an appropriate time frame, to see their usual doctor, and to have all of the preventative aspects of their condition put in place as they manage a disease burden that they may have, or probably will have for the rest of their lives. So, it does make sense for a blended model of payment where perhaps a practice is remunerated with a block of funding, and there's also some fee-forservice funding as well. Now, these things are not new. We've got them happening to some degree in our general practices now. But when I meet and talk to general practitioners they'll often say that the arrangements we have - the team care, chronic disease payment items and care plans - while welcome don't exactly target the conditions as well as they could. So that is part of the work of that group to reform those items of chronic care. Question: Minister, as a result of this consultation process over the next six months or so, surely you're going to want to seek some sort of cost benefit to the Government, some cost reduction to the health system? Sussan Ley: Well no Health Minister does not want to get the best bang for our dollar when it comes to health. Of course we want to make the system is as efficient as possible. And what I heard as I travelled the country, and I still talk to doctors every day, is yes there are areas of waste and inefficiency and this is where they are. And there are anecdotes across this whole area. So, we know there are inefficiencies, we absolutely understand that. Question: How many billions do you want to save? Sussan Ley: There's no billion dollar saving target attached to this. There's no figure that I have to come up with. And again, this is clinician led, this is led by doctors; and I mean really high-quality practitioners in each of the specialities will be involved. Question: The pharmacy sector seems to think you have a $30 billion savings target over five years to reach, are they wrong? Sussan Ley: The pharmacy sector is incorrect, and I have no idea where that piece of information has come from, but it certainly hasn't come from the Government. Question: Is there any prospect that these- the proposed changes to the Medicare Benefits Scheme could lead to a winding back of the universality of what is available for people? Sussan Ley: Quite the contrary. In fact, these changes are designed to support the universality of Medicare. And that is one of the fundamental principles of our Medicare system: that it be universal, that it be equitable in its distribution of costs, and that it be simple to administer. So, these groups that I'm announcing today will work very much- will dovetail with the intentions of the reasons why Medicare was set up. But let's never forget, this is about patients. For patients, the fact that our health system is funded in part by the state part by the Federal Government, that there are these complicated items, 5500 on a Medicare Benefits schedule, that's of relatively little interest. What patients want is the best care, the most appropriate care, and the best results. And that's what I'm certainly focused on. Question: This is like Groundhog Day, every time our health and hospital [indistinct] what's different about what you're proposing now? Sussan Ley: Well the previous Labor government probably did have many reports. I'm not sure how many they acted on, they certainly didn't undertake this important piece of reform, and it's long overdue. I'm told it's long overdue by clinicians across the country, and I'm really looking forward to working with them to realise an improved system. Can we have the last question please? Question: One last one. The AMA still has reservations that this process might lead to further cuts to their sector and to what is available to them. Do you still have some way to go in repairing relations with the AMA? Sussan Ley: I don't believe so. In fact I'm pleased that the AMA has welcomed the establishment of these groups and said that they'll work closely with us to realise what we all need to do, and that is modernise the MBS and improve our approach to primary care. So, the working relationship between ourselves and the AMA is constructive, and we chat almost every week. Thank you very much. ENDS
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