Australia's $5b spend on mental health
01-September-2010
By Tygar Taylor
With an estimated $5.3 billion spent on mental health from 2007-08, the nation will need to monitor mental health services against the growing population, according to a report by the Australian Institute of Health and Welfare (AIHW).
Detailing the increase in expenditure on all mental health services, the report,
Mental Health services in Australia 2007-08, showed that of the $5.3 billion about 60 per cent was covered by state and territory governments.
The Commonwealth covered 36 per cent of the bill, while private health funds covered the rest, not including patient’s out-of-pocket expenses.
“Overall, services for people with mental health care needs continue to show a steady increase, generally above the rate of population growth,” said Gary Hanson of the AIHW’s Mental Health Services Unit.
The report also found that in 2008-09 over 21 million mental health related prescriptions were subsidised under the Pharmaceutical Benefits Scheme (
PBS) and Repatriation Pharmaceutical Benefits Scheme (
RPBS), costing the government an estimated $740 million.
“General practitioners are often a first contact point for mental health concerns, with an estimated 13.2 million GP-patient encounters involving management of a mental health issue in 2008–09,” Hanson said.
Claims for subsidised psychiatrist, psychologist and other allied health professional services increased by 17% from 3.9 million in 2007–08 to 4.6 million claims in 2008–09.
The Australian Government paid $666 million in benefits for Medicare-subsidised mental health services in 2008–09, reflecting an annual average increase of nearly 27% since 2004–05.
“This increase reflects in part the introduction of Medicare items for psychologists during that period,” Hanson said.
Estimates from the Australian Bureau of Statistics’ 2007 National Survey of Mental Health and Wellbeing suggest that one in five Australians experience symptoms of a mental disorder each year.
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