Medicare fee jeopardises Aborigines

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John Paterson.

John Paterson. Photo: Dan Harrison

Health leaders have warned the Abbott government’s proposed $7 Medicare fee could widen the gap in life expectancy between indigenous and non-indigenous Australians.

John Paterson, the chief executive of the Aboriginal Medical Services Alliance Northern Territory, said its 26 member health services would waive the fee, incurring an annual reduction in their income of between $250,000 and $750,000 for each service.

“It’s going to obviously widen the life expectancy gap. If there are any cuts, it will delay closing the gap by another 10 or 20 years,” he said.

Olga Havnen, the chief executive of Danila Dilba health service, which serves about half of the indigenous population of the Darwin region, said there was “no way” it could charge the proposed $7 fee to its patients.