Media release from health minister Pete Hodgson

Almost 1 million New Zealanders are now paying $0- $15.50 to see their doctor but additional money announced today may encourage more practices to join the "Very Low Cost" scheme, Health Minister Pete Hodgson said today.

The Minister announced that $24.63 million in total will be made available to practices that charge very low fees to their patients in the 2007/2008 year.

"The Labour-led government believes no family should have to choose between putting food on the table and paying for the cost of seeing the doctor," Pete Hodgson said.  "Our seven year, $2.2 billion investment in primary health care has cut the average cost of seeing the doctor in half and has cut standard prescription charges from $15 to $3.

"Since last year, we've built on these efforts to lower the cost of seeing the doctor for all New Zealanders by providing additional support to practices that charge very low fees.  These practices often serve high-need communities where low fees are crucial for ensuring access.

"This is an area of priority for this Labour-led Government and I am interested in additional opportunities to further support low cost, high quality primary care."

Since last October 2006 PHO practices that agreed to maintain very low fees received additional funding. From July 1 this year that top-up was increased from 15 per cent to 17.5 per cent and from 1 October this year it will rise to 20 per cent.

The Very Low Cost Access Initiative currently involves 23 per cent of PHO practices and benefits over 900,000 people, many of whom have high needs. Standard consultation fees charged by very low cost access practices will remain very low at $15.50 for adults 18 years and over, $10.50 for children 6-17 years and remain zero for children under 6.  

Where all the practices in a PHO are offering very low cost access, then that PHO receives a similar increase in its funding for Services to Improve Access under which PHOs offer such things as outreach services to make sure everyone can access quality primary healthcare.

"Labour has always said cost should never be a barrier to visiting the family doctor.  And we have delivered on our promises.  '' Pete Hodgson says.

NB in July this year Pete Hodgson announced $18.72 million 2007/2008 funding for very low cost fees - today's announcement takes that to $24.63 million is basically around $6 million more money