Govt set to reduce the cost of Wegovy weight-loss drug

The Pharmaceutical Benefits Advisory Committee has recommended Wegovy be listed on the PBS for adults with obesity and established cardiovascular disease, and Health Minister Mark Butler will begin price negotiations with manufacturer Novo Nordisk.

The Pharmaceutical Benefits Advisory Committee has recommended that the GLP-1 weight‑loss drug Wegovy be listed on Australia’s Pharmaceutical Benefits Scheme for adults with obesity and established cardiovascular disease. The government says Health Minister Mark Butler will begin price negotiations with the drug’s manufacturer, Novo Nordisk. Eligibility as recommended would require a prior serious cardiovascular event and meeting strict weight thresholds. There is no confirmed timeline for when Wegovy might appear on the PBS. Key points: - The PBAC recommendation targets adults with obesity plus established cardiovascular disease, such as a previous heart attack or stroke. - Eligibility would include strict weight thresholds and a prior serious cardiovascular event, as part of PBS criteria. - Health Minister Mark Butler has announced the start of price negotiations with Novo Nordisk. - More than 400,000 Australians are reported to be paying privately for these medicines, with annual costs cited in the thousands of dollars. - From January 1, the maximum price for PBS-listed medicines was lowered to $25 per prescription and $7.70 for concession card holders. - Wegovy is a glucagon‑like peptide‑1 (GLP‑1) medication similar to Ozempic; global demand for GLP‑1 drugs has prompted international calls to improve affordability. Summary: If Wegovy is listed on the PBS following negotiations, eligible patients would likely face much lower out‑of‑pocket costs under the scheme, while the timing of any listing remains undetermined at this time. Observers in the health sector have noted potential equity benefits alongside questions about how funding priorities for prevention and other services might be affected.