PAINFUL cuts to welfare and basic government services are being urged in a five-volume plan to slash $70 billion a year from federal outlays that presents Tony Abbott with dozens of deeply controversial measures he will be challenged to reject.
The “formula for the future” from the National Commission of Audit outlines savage cuts to the age pension, unemployment benefits, family tax benefits, the Medicare Safety Net, the Pharmaceutical Benefits Scheme and other programs used by millions of Australians.
Key points related to health include:
Medicare
-Co-payments of $15 for all Medicare funded services, with safety net payment of $7.50 for more than 15 visits a year and $5 for concession card holders.
-Higher income earners should take out private health insurance for basic services to replace Medicare.
-Encourage states to introduce a co-payment for less urgent emergency department visits.
-Increase the general extended Medicare safety net threshold from $2000 to $4000.
-Audit the Medicare benefits schedule to replace expensive items with cheaper alternatives.
-Deregulate private health insurance, including allowing health funds to vary premiums to account for “lifestyle” factors like smoking.
Who it will hit
Everyone accessing health services.
Pharmaceutical Benefits Scheme
-Co-payments for all medicines.
-A new independent authority to oversee all listings.
-Open pharmacies to competition.
Who it will hit
Everyone who buys medication.
Source: The Gaurdian