A re-elected Albanese Government will further reduce the cost of PBS-listed medicines, ensuring that Australians pay no more than $25 a script.

Announced today, the $689 million cost-of-living measure, which will be part of Labor’s budget next week, would see four out of five PBS-listed medicines become cheaper, starting from January 2026.

Pensioners and concession cardholders can continue to take advantage of the freeze to the cost of their PBS medicines, with the $7.70 cost locked in until 2030.

“My government will continue to deliver cost of living relief for all Australians,” Prime Minister Anthony Albanese said.

“Cheaper medicines is another way we are helping with the cost of living, while putting downward pressure on inflation – our number one focus.”

The last time PBS medicines cost no more than $25 was over 20 years ago, in 2004. This new measure builds on Labor’s most recent reduction, which lowered the maximum cost of a PBS script from $42.50 to $30 during this term. According to the government, it will save Australians over $200 million each year.

It followed yesterday’s announcement for new and amended listings for contraception, endometriosis and IVF treatments on the Pharmaceutical Benefits Scheme (PBS) to start from 1 May 2025.

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