Budget bid information
We manage about $1.7 billion in taxpayers' money to pay for medicines, vaccines, and other related products to improve health outcomes for New Zealanders.
National Pharmaceutical Purchasing Appropriation
From 1 July 2022, an appropriation was created by Government and allocated to Pharmac (referred to as the medicines budget). This was part of health and disability system reforms, shifting budget holding and management away from the previous 20 district health boards to the national body responsible for assessment and decision-making about funding.
The appropriation for the medicines budget is called ‘National Pharmaceutical Purchasing Appropriation'
How the medicines budget has changed over time
Medicines budget, 2013/14 to 2025/26
|
FINANCIAL YEAR |
CPB ($ MILLION) |
CHANGE FROM |
PERCENTAGE CHANGE |
|
|---|---|---|---|---|
|
2025/26 |
1,760 |
70 |
4% |
|
|
2024/25 |
1,690 |
169 |
11% |
|
|
2023/24 |
1,521 |
335 |
28% |
|
|
2022/23 |
1,186 |
101 |
9% |
|
|
2021/22 |
1,085 |
40 |
4% |
|
|
2020/21 |
1,045 |
5 |
0.5% |
|
|
2019/20 |
1,040 |
55 |
6% |
|
|
2018/19 |
985 |
114.2 |
13% |
|
|
2017/18 |
870.8 |
20.8 |
2% |
|
|
2016/17 |
850 |
50 |
6% |
|
|
2015/16 |
800 |
5 |
0.6% |
|
|
2014/15 |
795 |
- |
- |
|
|
2013/14 |
795 |
11.4 |
1% |
|
Pharmac's financial year runs from 1 July to 30 June.
Budget bids
Combined Pharmaceutical Budget bids
Before 2022/23, we worked with all the district health boards to agree the Combined Pharmaceutical Budget bid. Together, we sent this proposal to the Ministry of Health.
Letter dated 7 December 2020 for the 2021/2022 pharmaceutical budget bid [PDF, 126 KB]
Letter dated 3 December 2019 for the 2020/21 pharmaceutical budget bid [PDF, 131 KB]
Letter dated 4 December 2018 for the 2019/20 pharmaceutical budget bid [PDF, 149 KB]
Letter dated 7 December 2017 for the 2018/2019 pharmaceutical budget bid [PDF, 174 KB]
Letter dated 15 December 2016 for the 2017/18 pharmaceutical budget bid [PDF, 646 KB]
Letter dated 1 December 2015 for the 2016/17 pharmaceutical budget bid [PDF, 1.9 MB]
More information
We have released a lot of information about the medicines budget (previously called the Combined Pharmaceutical Budget (CPB)). Search for "Budget" on our official information and proactive release index page.