Associate Health Minister David Seymour has today announced more clear expectations for Pharmac to continue delivering the medicines and medical technology that Kiwis need, more efficiently.

"For many New Zealanders, funding for pharmaceuticals is life or death, or the difference between a life of pain and suffering or living freely. That’s why it has been a focus of this Government,” Mr Seymour says.

"My expectation is that Pharmac continues to deliver for Kiwis within its fixed budget. Pharmac will need to find efficiencies to make their budget go further, because that’s what Kiwi patients and their families deserve.”

The expectations for Pharmac for 2026/27 include:

“Pharmac has gone for focussing solely on managing their fixed budget to an agency that seeks collaboration and advocates for further funding. I want to acknowledge Pharmac for the work they have done to respond to my previous Letters of Expectations,” Mr Seymour says.

Pharmac achievements from previous letters of expectations:

“The Government’s doing its part. Since this Government took over, we’ve allocated Pharmac its largest ever budget of $7.2 billion over four years,” Mr Seymour says.

This includes a $54 million uplift over 4 years announced in Budget 2026 and a $604 million uplift over 4 years made in June 2024. It also includes the $1.77 billion investment made in Budget 2024 to address previous time limited funding

“Patients are reaping the benefits. With that money, Pharmac has made 135 decisions to fund or widen access to medicines, including decisions on 47 cancer medicines. Over 680,000 patients are expected to benefit in the first year of funding from these medicines,” Mr Seymour says.

“The progress so far has been impressive, but there is more work to be done. Listening to the voices of patients and consumers will continue to be at the heart of Pharmac’s work as it launches the next phase of its long-term improvement programme."