ASH Australia media release
                                           September 5, 2004

Reducing smoking rates will save billions in PBS cost blowout

 

Back to Media Releases index

A leading Australian health economist has warned that failure to reduce smoking rates will lead to a billion-dollar blowout in PBS subsidies for drugs to treat heart disease.

New research just published in the Medical Journal of Australia* says failure to lower smoking rates will lead to PBS costs for smoking-related cardiovascular disease rising from the present $126m pa to $1.73b by the year 2041.

The study says just a 5% fall in smoking rates would save $4.5b over the next 37 years. This could be achieved by increased funding for anti-smoking advertising campaigns.

“Government investment in these campaigns would be more than offset by savings in Pharmaceutical Benefits Scheme costs for heart disease drugs alone”, says lead author Associate Professor Susan Hurley.

Health groups have welcomed the study as further evidence that increased government investment in anti-tobacco measures would be a highly cost-effective move.

Says Maurice Swanson, co-author and tobacco spokesperson of the National Heart Foundation of Australia: “While PBS subsidies for heart drugs are essential, it makes no sense for the government to allow these subsidies to blow out by failing to address a major preventable cause of heart disease.

“We are simply not investing enough in getting smoking rates down. Per capita, other countries like the US, Canada and New Zealand are doing far better – and reaping the economic benefits.”

Adds Anne Jones, Chief Executive of Action on Smoking and Health (ASH) Australia: “Reducing smoking rates represents value for money  - particularly when the government is warning us that we are an ageing population that has to work longer and pay more for escalating health care costs.

Health groups are seeking a strong funding commitment from all of the major parties in lead up the 2004 election to fully fund the new National Tobacco Strategy for 2004-2009.

* Hurley, S et al, “The potential for tobacco control to reducePBS  costs for smoking-related cardiovascular disease”  (2004), in Medical Journal of Australia 181: 252-255.  www.mja.com.au/public/issues/181_05_060904/hur10462_fm.html

 

This is a joint media release by ASH Australia and the National Heart Foundation of Australia.


Comment:

Maurice Swanson, National Heart Foundation of  Australia   Ph. 0414-922-902
Anne Jones, Action on Smoking and Health (ASH) Australia  Ph. 0417-227-879 

 

 

Page last updated on 6/9/04