Pathology services to be better managed and funded
An agreement between the Gillard Government and the pathology sector will ensure that patients get access to quality, affordable pathology services and the tax payer, better value for money.
Minister for Health and Ageing Nicola Roxon welcomed the new five-year agreement and the more than $550 million saving that it offers to the budget following negotiations between the pathology sector and the Government.
“Following very productive discussions with the sector, we have now secured a new five-year deal that will help the sector be prepared for the challenges of the future, including pressures from our ageing population and increased rates of chronic and preventable disease,” she said.
“The agreement will improve transparency for setting pathology fees and help to ensure that taxpayers are only paying for pathology tests that are clinically required.”
Under this new agreement, the average annual growth in pathology expenditure will now be capped to approximately five per cent per year.
The $550 million saving delivered by this agreement comes at a time when Government revenues have been hit by natural disasters and a patchwork economy, making it even more important to get the best possible value for money for Australian taxpayers.
The new agreement is supported by representatives of the pathology workforce and a clear majority of the industry in the public and private sectors, including Catholic Health Australia. A Pathology Agreement Advisory Committee will be established to oversee and provide advice to the Government on the agreement.