Pharmaceutical budget increased by $17m

A increase in government funding for the pharmaceutical budget for 2008/09 has been welcomed by Pharmac and district health boards.

The Government has raised the budget by an extra $17 million for bringing the total budget to $653 million.

Pharmac manages pharmaceutical spending on behalf of DHBs, who hold the funding.

Pharmac acting chief executive Steffan Crausaz said today the funding increase would mean access to medicines would continue to improve.

"New Zealand faces the same challenges as other countries in deciding which medicines to fund.

"Careful choices have to be made to make sure our investments in new pharmaceuticals are affordable, and represent the best ways to improve the health of New Zealanders."

Mr Crausaz said the increase in the budget would mean Pharmac could now fund the anti-epilepsy drug levetiracetam, and they were also asking for feedback about a proposal to fund imiquimod for a form of skin cancer.

DHBs spokesman on pharmaceuticals Murray Georgel said today DHBs supported the funding increase and had high confidence in Pharmac's ability to effectively manage the budget and make good decisions on behalf of DHBs and New Zealand,"

The Government's budget is expected to reach between $686 million and $692 million for the 2009/2010 and 2010/2011 years.

- NZPA