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What you need to know about Austria's new healthcare reform

Amanda Previdelli
Amanda Previdelli - [email protected]
What you need to know about Austria's new healthcare reform
Austrian health minister Johannes Rauch attends a press conference in Vienna. (Photo by JOE KLAMAR / AFP)

With billions allocated to the health sector, Austria wants to counteract medicine shortages and improve the quality of its hospitals.

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Austria's on its way to finally approve a healthcare reform that has been on the agenda for the current government for months.

The National Council’s Health Committee approved the draft after discussions between the federal government (and within the coalition), provinces, and social insurance in Austria. It is now set for approval at the National Council in the coming weeks, according to Austrian media.

Spearheaded by Health Minister Johannes Rauch from the Greens and supported by the governing centre-right ÖVP and centre-left Green parties along with the opposition  SPÖ, the reform encompasses multiple aspects of the healthcare system. So, what do you need to know about the planned changes?

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€14 billion for the healthcare sector

The reform earmarks €14 billion for the healthcare sector over the next five years, with measures focusing on strengthening the supply of medicines in Austria, according to the health minister.

"In the long term, the ongoing shortage of medicines can only be solved at the European level. However, we are already implementing a package of measures at the national level to improve the supply of medicines as much as possible", Rauch said.

The amendments introduced to the Medicinal Products Act create the legal framework to enable increased stockpiling of critical medicines and active ingredients by pharmaceutical wholesalers and drug manufacturers. 

According to the Health Ministry, the creation of additional drug reserves, in particular, will also ease the supply situation in the medium term.

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A 4-month supply of critical medicines will be stockpiled to counteract shortages further. The federal government will also pay pharmaceutical wholesalers some additional costs they incur by buying medicine and ingredients mandated by the Health Ministry.

The funds will also be allocated for other purposes, including establishing several hundred new positions within health insurance funds. It will also support structural improvements in hospitals and the development of digital services for patients. Moreover, the funds will contribute to salary raises for workers in the care sector, financial assistance for trainees, and long-term backing for 24-hour care services.

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Renewed criticism

However, the reform faced renewed criticism before its passage. The Patient Advocate's Office raised concerns about a proposed "evaluation board" looking into new and expensive medications. 

While acknowledging the importance of ensuring uniform access to therapies across Austria, critics objected to the board, criticising its "cost-benefit" assessments for buying medicine. 

Minister Rauch defended the reform, emphasising the board's composition of experts and scientists would ensure transparent and equitable access to even costly and rare medications. He dismissed concerns about decisions based solely on cost factors.

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