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News - Pharmaceuticals

Negotiations face bureaucratic gatekeepers in PBS funding battle

Health Industry Hub | June 30, 2026 |

Australia’s medicines debate has entered an intense political phase, with the fight over access spilling strongly into public view. The Federal Health Minister Mark Butler has mounted a defence of the PBS as a system built on evidence and “good value for taxpayers”, while critics argue that the reality of prolonged pricing negotiations is a structural barrier between voters and life extending treatments.

In this Health Industry Hub podcast, Liz de Somer, CEO of Medicines Australia, joins the conversation as pressure builds around delayed PBS listings, Most Favoured Nation (MFN) global pricing tensions and the direction of the health technology assessment (HTA) reforms.

The conversation examines whether limited public understanding of the Pharmaceutical Benefits Scheme (PBS) has allowed medicines access to remain a blurred issue in political debate. With the Strategic Agreement negotiations between Medicines Australia and the Labor Government commencing on 1 July, the stakes are high.

The interview turns to the pharma industry’s push to recognise productivity as a lever in the HTA reforms and the growing debate over who will carry the financial burden of its implementation as the PBS faces a decline in real terms. With the NDIS, Aged Care and Primary Care reforms top on the Minister Butler’s agenda, the sector enters negotiations in a tightly constrained policy environment.

The political backdrop is also shifting. With support for alternative political movements growing, including One Nation, the conversation explores whether the medicines industry needs to reconsider how it engages across the political spectrum.

Lastly, de Somer responds to growing frustration from patient groups as pressure builds for meaningful reform rather than incremental change.

In reimagining healthcare across the entire patient journey, Health Industry HubTM is the only one-stop-hub uniting the diversity of the Pharma, MedTech, Diagnostics & Biotech sectors to inspire meaningful change.

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