GPs are rebelling against a 25 per cent cut in their income if they refuse to charge patients a $7 payment, which Treasurer Joe Hockey has hinted may be increased as a revenue-raising measure if the budget demands.
There is also concern about a lack of detail on how a $20 billion medical research fund, which will be given the money from the payments, will have its funding allocated.
Tuesday’s budget allows for GPs to waive the co-payment if they see fit, and expects patients with chronic illness not to be charged for visits.
But GPs who continue to provide visits free will miss out on a $6.20 incentive payment, and will also receive $5 less in Medicare rebates from the government.
Australian Medical Association chief executive Steve Hambleton said that was an unreasonable hit to business models.
“I don’t think there is a business on the planet who can take a 25 per cent revenue cut and survive,” Dr Hambleton said.
The AMA, which has proven a highly effective lobby group in the past, will oppose the co-payments if vulnerable groups are not given some sort of exemption.
“If there was a way that they could be protected from the raising of the barrier to primary healthcare, the AMA will be much more relaxed,” Dr Hambleton said.
The government has refused to commit to a time frame for the co-payment, which will also be applicable to medical tests and imaging such as X-rays.
When asked on Wednesday, Mr Hockey refused to rule out the co-payment increasing beyond $7 in future.
“I’m not in the business of giving absolute guarantees for ever and ever amen,” Mr Hockey said.
Public hospital administrators are also warning that frontline hospital services will be affected if states cannot make up for a $2 billion cut in federal funding announced in Tuesday’s budget.
Joe Hockey challenges GPs over co-payment
JOE Hockey has responded to criticism of the $7 co-payment for routine GP visits by saying doctors could instead take a cut to their Medicare rebate without requiring patients to make up the shortfall.
In one of the more controversial measures in the budget, the standard Medicare rebate would be cut by $5, and doctors encouraged to charge patients $7, which would provide them with an additional $2 towards the costs of running a practice.
SENATORS will veto the new $7 doctor’s fee at the heart of the government’s healthcare reforms as objections grow to Joe Hockey’s tax hikes and spending cuts.
Source: Financial Review