About $25 PBS medicines
On 1 January 2026, the Albanese Government lowered the maximum out-of-pocket cost of PBS medicines from $31.60 to $25 — the lowest price since 2004. And for concession card holders, the annual CPI increase is frozen until 2029. This means that there was no increase to the $7.70 co-payment concession card holders currently pay.
This was only the second time the price of PBS medicines had been reduced. The first price drop happened in 2023, when the Government lowered the maximum out-of pocket cost from $42.50 to $30.
If it weren’t for the price drops, you would be paying over $50 for each of your PBS medicines.
When the price of medicines went down, it helped Australians eliminate the tough choices between medicines and other essentials, like food, rent, and fuel.