Butler commits to PBAC review

5 minute read


In response to the IAG’s interim report, the health minister has started the ball rolling with greater stakeholder engagement and a review of PBAC guidelines.


Federal health minister Mark Butler has committed his government to taking immediate actions to streamline the health technology assessment process in response to the interim report of the HTA Implementation Advisory Group released late yesterday.

The IAG, led by Professor Andrew Wilson, co-director of the Leeder Centre for Health Policy, Economics and Data at the University of Sydney, was commissioned to parse the HTA Review’s final report into priority areas for the government.

The IAG came up with five focus areas:

  • Improved access and equity;
  • Greater transparency and engagement;
  • Modernised assessment pathways;
  • Better data use and enhanced evidence; and,
  • HTA workforce capacity and capability.

In a separate cover letter to Minister Butler, Professor Wilson narrowed the focus even further to low-hanging fruit the government could tackle now, before the IAG’s final report is delivered at the end of this year.

“I wish to separately highlight several key actions in this letter that, with appropriate resourcing, could be progressed by government ahead of its final advice, should you choose to do so,” Professor Wilson wrote.

“These actions … have been identified by the IAG as meaningful first steps in HTA reform and suitable for immediate commencement by government.”

Last night, addressing the PharmAus 2025 showcase, Mr Butler committed the Department of Health, Disability and Ageing to implementing those immediate goals.

“We are taking immediate decisions to respond to that interim report,” said Mr Butler.

“We will be taking immediate action to start trialling new processes to streamline assessments of co-dependent technologies.

“Therapies no longer fit neatly into some of those old silos of either being a medicine or a diagnostic or a service, increasingly requiring assessments and approvals to happen in different parts of the HTA system,” he said.

“Already the two main bodies, MSAC and PBAC, are starting to try to align their consideration of the different parts of these co-dependent technologies.

“But we want to systematise that a little better.”

“I’ve also accepted Professor Wilson and the group’s recommendations to start a review of the PBAC guidelines, and we’re going to do that in a rolling process.”

Rather than doing a single review of the guidelines, the department would prioritise two parts – the guidelines that deal with comparative selection and with the discount rate – Mr Butler said.

“We have also accepted the advice of the group to undertake rapid research in areas of high unmet clinical need and high added therapeutic value,” said Mr Butler.

“I’ve accepted the advice that we need to do work, even if only to try to reach an agreement around the definitions of those two critical northern stars for so much of the work that happens under HTA.

“We will be starting that process very quickly. We want to deal with it quickly as well.”

Professor Wilson also recommended that the government act quickly to improve engagement with stakeholders, and Mr Butler announced he and the department would move quickly to develop an HTA stakeholder engagement framework.

“From my perspective, a particular focus on that will be on engagement with patients, consumers and their representative organisations as well,” he said.

“As part of that, we are committing to twice yearly meetings of that process to focus on the way in which medicines interact with First Nations communities … again, a core theme of the HTA review.”

Medicines Australia reacted quickly today, saying it welcomed the commitments made by Mr Butler in response to the IAG’s recommendations.

“For patients, patient advocacy groups and clinicians, it is essential we urgently get on with HTA reform and make the PBS faster, fairer and fit for the future,” said Liz de Somer, CEO of MA.

“The actions announced by the minister today are a start as we progress a reform package for 2026-27 Federal Budget consideration.

“We look forward to working with the government on updating the Pharmaceutical Benefits Advisory Committee guidelines to revise the application of lowest cost comparator.

“We see this as an essential measure, so the minister doesn’t have to intervene in an ad hoc manner like he did for Australian women to access newer contraceptives.

“Implementing changes to lower the discount rate for preventative vaccines is also a priority in the guidelines that will enable the latest vaccines to be made available to Australians through the National Immunisation Program.

“We are pleased the government will also quickly commence trialling new ways to streamline assessment of medicines.

“Improving equity is a priority for all stakeholders, and Medicines Australia welcomes the announcement today of a biannual meeting to consider issues related to medicines for First Nations people,” said Ms de Somer.

“For the patient community, their families and healthcare professionals, there is no time to wait. We must get on with action now. The average wait for a medicine to be listed on the PBS is 466 days – this is too long.

“We started this process two years ago and we must now get work underway and generate momentum. We must now work quickly towards actions and implementation.”

Read the full HTA Review report here.

Read the IAG’s interim report here.

Read Professor Wilson’s letter to Mr Butler here.

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