Government decision hits Chemist Warehouse's prescription policy

Having access to quality and affordable medicine is a must for anyone.

A recent government decision may impact many wallets, especially those living on fixed incomes and budgets.


The Albanese government recently removed the $1 discount on prescription medicines at Chemist Warehouse.

The decision sparked concern among Australians already grappling with the rising cost of living.

This move, influenced by the Pharmacy Guild's successful lobbying, could affect the wallets of many, particularly those who rely on regular medications.


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Medicine is vital for many people’s lives—from over-the-counter remedies, vitamins, and prescription medicine. Image Credit: Pexels/Anna Shvets


Since 2016, Chemist Warehouse has been using a policy introduced by former health minister Sussan Ley, allowing them to offer a $1 discount on the government-set prices of prescriptions.

This discount relieved consumers and introduced a level of competition among pharmacies.

However, with the recent government decision, the days of discounted scripts at Chemist Warehouse are numbered.


The Pharmacy Guild argued that ending the $1 discount will benefit Australians struggling with healthcare costs in the long run by keeping costs down and restoring uniformity to prescription prices.

'The freezing of maximum medicine co-payments via the staged application of the discretionary $1 discount will help Australians struggling with the cost of healthcare and will restore universality to the PBS,' Pharmacy Guild President Trent Twomey said.

'Freezing indexation of co-payment means patients won't have to foot more of the overall cost for their medicines come 1 January each year,' he added.

'On behalf of our members, the Guild has a strong track record of fighting to bring down the cost of medicines—I'm pleased the Guild secured anti-inflationary relief for patients by phasing in the universal application of the $1 discount as part of our 8CPA negotiations.'


While the Pharmacy Guild framed this change as a win for consumers, many still wonder about its effect on their budgets.

The seemingly small $1 discount can add up over time, particularly for seniors who often have multiple prescriptions.

As of writing, Chemist Warehouse has not issued a statement regarding the government's decision.

It's essential to understand the implications of this policy change.

With the rising cost of living, every dollar saved is crucial, and the removal of the $1 discount could be a hard pill to swallow for many.
Key Takeaways

  • Chemist Warehouse can no longer offer $1 discounts on prescription medicine following the Albanese government's decision.
  • The decision came after the Pharmacy Guild's successful lobby to end the discount policy introduced in 2016.
  • The Guild claimed the end of the $1 discount policy will help reduce costs in the long run and restore uniform prescription prices across Australia.
  • The Pharmacy Guild welcomed the government's decision and suggested it will relieve Australians dealing with high healthcare costs amid inflation.
Have you relied on Chemist Warehouse's discounts in the past? Will this new policy affect your monthly expenses? We encourage you to share your thoughts and opinions in the comments below.
 
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We use to take all our scripts to chemist warehouse but stopped some time ago. We found they lacked the personal touch you get from visiting a smaller pharmacy. They also neglected to inform us when we were near or had reached our safety net. They often didn't have the medication I needed and I would have to wait days for it to arrive, and on more than one occasion they misplaced our scripts they kept on file. Our local pharmacist now, knows us by name, greets us warmly and is always available for advise , something else we did not get at chemist warehouse.
 
Why should chemist warehouse get an advantage over the other chemist shops, they all have rent to pay and contribute to the local economy
What was stopping the other
Chemists from doing the same.
This wasn't offered exclusively to Chemist Warehouse, it was supposed to help keep the prices down, other Chemist just didn't do it.
Chemist Warehouse didn't have an advantage.
I have always had good service from Chemist Warehouse,they have always had our meds available.
Thanks Pharmacy Guild NOT, you just added $20/month to our families cost of living.
 
The $1 discount was able to be applied by all chemists not just Chemist Warehouse. When my chemist refused to give it because he said I would have to wait longer to reach the Safety Net - one problem, I never reach the safety net as I don't need enough medication - I just moved my business to another chemist down the road a bit. So it seems that I am now going to have to pay the higher price wherever I go & that just means that maybe sometimes the budget just won't stretch that far.

The Guild must use a different form of accounting to me also as I fail to see that the removal of this discount will help reduce costs in the long run. How on earth can raising the price of scripts reduce the cost in the long run? Please explain this stupidity.
 
Why should chemist warehouse get an advantage over the other chemist shops, they all have rent to pay and contribute to the local economy
Chemist Warehouse did not have an advantage over other pharmacies. They could all reduce their cost of PBS medication by $1. Some chose not to do that & now they appear to be the ones complaining about those that did choose to give us the benefit of this discount.
 
The $1 discount was able to be applied by all chemists not just Chemist Warehouse. When my chemist refused to give it because he said I would have to wait longer to reach the Safety Net - one problem, I never reach the safety net as I don't need enough medication - I just moved my business to another chemist down the road a bit. So it seems that I am now going to have to pay the higher price wherever I go & that just means that maybe sometimes the budget just won't stretch that far.

The Guild must use a different form of accounting to me also as I fail to see that the removal of this discount will help reduce costs in the long run. How on earth can raising the price of scripts reduce the cost in the long run? Please explain this stupidity.
It's part of the monopoly plan, we must fall into like like Sheep, chemists are crooks just like woollies and Coles
 
"the Pharmacy Guild framed this change as a win for consumers" - seriously?? They must think we are so stupid to believe this. Continually astounded at the level of arrogance from these types of organizations, and the contempt they show to consumers, who have absolutely no recourse.
 
I am disgusted at this. I don't reach the free threshold. So this will affect me a lot. It means that I will have to pay $1 more for every prescription I get all of the time. It won't just affect me post-January as they suggest. I am struggling to make ends meet as it is, and this will make it harder.
 
I was shocked when I got tablets and did not see scripts in the box. When I asked why girl dryly informed me that she made a decision to keep them in pharmacy on file. I told her that I did not ask for such an action of a nanny service. If I did not notice it I would not be able to use any other pharmacy store.
 
We use to take all our scripts to chemist warehouse but stopped some time ago. We found they lacked the personal touch you get from visiting a smaller pharmacy. They also neglected to inform us when we were near or had reached our safety net. They often didn't have the medication I needed and I would have to wait days for it to arrive, and on more than one occasion they misplaced our scripts they kept on file. Our local pharmacist now, knows us by name, greets us warmly and is always available for advise , something else we did not get at chemist warehouse.
My local Chemist Warehouse is great. It still has the personal touch. I know the Chemist quite well. I used to work with her cousin. They are fantastic and will go out of their way to get what you need. But I live in a regional town. I am sure city locations are different.
 
Why should chemist warehouse get an advantage over the other chemist shops, they all have rent to pay and contribute to the local economy
They don't get an advantage. A local small chemist (only 2 pharmacists) also gives the discount. Any chemist can do it if they want to. It is up to them. That article is very biased and aims to make people dislike Chemist Warehouse.
 
chemists are not what they used to be ,these days they are just grocers re tailing pre packed meds (nothing is made up in store anymore) drugs are just like weet box another product the only thing they do is type labels and that takes twenty mins
 
My local Chemist Warehouse is great. It still has the personal touch. I know the Chemist quite well. I used to work with her cousin. They are fantastic and will go out of their way to get what you need. But I live in a regional town. I am sure city locations are different.
Both stores i use to go to were the same one on the Mornington Peninsula the other in latrobe valley neither had the personal touch. 5years for one store 3 years the other never once greeted by name or a smile
 
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What tree is the Pharmacy Guild Of Australia barking up? It is NOT a regulatory authority, it is an organisation that represents the employers in the industry, i.e the pharmacies. Do they think they have powers because they're registered under the federal Fair Work Act 2009?

No way!
The pharmacy guild is powerful. They have the government's ear. They donate large amounts to election campaigns. Its all about them making more money. Pharmacies no longer just supply medications, they now compete with other retailers such as gift stores, selling jewellery, hats, handbags etc.
 
It's only a $1and this will enable all the smaller, independent pharmacies to compete. The convenience of having a local pharmacy on our doorstep instead of having to travel to a Chemist Warehouse for just a scrip is far more important than saving a $1.
 

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