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The $8.5bn Medicare overhaul will take effect this Saturday, allowing all Medicare holders better access to bulk-billing. Currently, those who with a Commonwealth concession card and children aged under 16 are able to access bulk-billed services at the doctor. Additionally, the government will introduce its Bulk Billing Practice Incentive Program (BBPIP), giving an extra 12.5 per cent incentive payment that can be split between the GP and practices that sign up for the program. Anthony Albanese pledged an $8.5bn investment into Medicare in February, after rates of bulk billing began to plummet from 89 per cent in 2020 to 78 per cent in 2024. The Prime Minister said that by 2030, nine out of 10 GPs would offer the bulk-billing service. So far, 900 clinics have signed up to commit to bulk-billing full-time, with Health and Aging Minister Mark Butler adding he was ”very confident” more clinics would sign up. “We’re very confident there’s going to be a big expansion of bulk billing between this week and next week as a result of the record investment that we’ve made,” he said. However, the Caringbah Family Practice in Sydney’s south said on Wednesday it would not be signing up for the bulk-billing program, instead sticking to its private billing model. In an email to patients, the clinic said the Medicare rebate model was flawed and didn’t “match the financial reality”. They said in order for a practice to access the incentives, it must agree to bulk bill every service for every patient. “Even with the new incentives, the total payment we would receive for a standard consultation does not match the actual cost of providing that care,” they said. They said the model would no longer make the GP able to “charge privately for longer consultations for patients who require more time and recourses”. “This inflexible approach doesn’t reflect the reality of medical practice, where different patients have different needs,” they said. On Monday, Mr Butler said the Medicare rebate model would not only benefit patients, but also the GPs and practices who earlier rejected the BBPIP, arguing it would favour larger practices. “Two years ago, a full-time, fully bulk-billing GP would have been earning about $280,000 a year after they paid their practice costs,” he said. “From this weekend, they’ll be earning $405,000 a year – a $125,000 increase. This investment is obviously good for the Medicare system, good for patients, but it’s also good for GPs themselves.” However, the Caringbah Family Practice rejected these claims, arguing in its email that the government was “creating false expectations” and could run the risk of damaging the medical field in the country. “Politicians are telling voters that 90 per cent of practices will join the new bulk-billing program, but this isn’t realistic, given the financial restraints,” the statement read. “Many practices that try to make it work will either have to cut corners on care, reduce consultation times, or close down entirely when they can’t make ends meet.” The clinic urged the government to reconsider its model. “No business can survive losing money on every transaction, and we refuse to compromise on the quality of care we provide to make the numbers work,” they said.
