28 January 2026
The reduction in the maximum Pharmaceutical Benefits Scheme (PBS) co-payment for general patients to $25, effective from 1 January 2026, is an important step forward in medicine affordability and patient adherence¹. However, beyond the consumer impact, it represents an important shift in how community pharmacies need to operate.
Set against earlier structural changes such as 60-day prescriptions, the lower co-payment is accelerating underlying trends already shaping the pharmacy sector. More consistent dispensing behaviour and improved continuity of therapy are increasing demand predictability, but they are also placing greater emphasis on operational efficiency, system integration and end-to-end visibility across pharmacy workflows.
As volumes stabilise and grow, the ability to manage ordering, inventory and supplier relationships efficiently becomes critical. Across the sector, pharmacies are recognising that fragmented processes and manual administration create friction that limits scalability. In contrast, integrated digital platforms that link ordering, supply and data insights are emerging as essential infrastructure, enabling pharmacies to respond to demand with greater accuracy and less operational strain.
Rather than being driven solely by policy change, this shift reflects a broader evolution in how pharmacy businesses operate. Technology-enabled workflows allow pharmacies to reduce duplication, improve stock availability, and align purchasing decisions more closely with real-time demand. This infrastructure layer plays a key role in supporting sustainable performance, particularly in an environment where margins remain tight, and expectations for service continue to rise.
The Pharmacy Guild of Australia highlighted that improved medicine affordability supports better adherence and health equity, while reinforcing the need for pharmacy businesses to adapt their operating models over time².
From an operational perspective, streamlined systems also have a direct impact on workforce effectiveness. Reducing administrative burden enables pharmacists and pharmacy teams to focus more of their time on patient engagement and service delivery. In this way, infrastructure investment supports not only efficiency, but also the quality and consistency of care delivered across the sector.
At a system level, improved access to medicines aligns with broader healthcare objectives to strengthen primary care³. Pharmacy’s ability to support these outcomes at scale depends increasingly on the robustness of the digital and operational foundations underpinning the supply chain.
As the impact of this change plays out in 2026, the key challenge for pharmacy will not be demand but effective management of execution.
Higher and more predictable volumes increase the importance of disciplined ordering, accurate stock visibility, and efficient supplier management. In an environment where margins remain under pressure, sustainable performance will depend less on scale alone and more on how effectively pharmacy operations are connected and informed.
The next phase of PBS reform will therefore be defined not just by affordability, but by the ability of pharmacies to modernise the infrastructure that underpins their day-to-day supply chain decisions.
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