4. Question No. 4—HealthHon MICHAEL WOODHOUSE (National) to the Minister of HealthQuestion No. 4—Health4. Hon MICHAEL WOODHOUSE (National) to the Minister of Health: Was the $114.2 million increase in the Combined Pharmaceutical Budget in Budget 2018 a new appropriation or was it a transfer of purchasing responsibility that did not constitute an increase in overall Crown funding for medicines?Hon Dr DAVID CLARK (Minister of Health): There is no appropriation for the Combined Pharmaceutical Budget (CPB) in Budget 2018; therefore I cannot answer the first leg of the member's question. In respect of the second part of the question no.Hon Michael Woodhouse: Why then in light of that answer did Pharmac issue a press release saying The Combined Pharmaceutical Budget will be increased to a record level of $985 million in 2018/19—an increase of just under $114.2 million on the 2017 … level."?Hon Dr DAVID CLARK: Because the combined pharmaceutical budget increased.Hon Dr Nick Smith: He just said it didn't exist. [Interruption]SPEAKER: Order! Everyone.Hon Michael Woodhouse: By how much did medicines funding increase on an overall basis in Budget 2018?Hon Dr DAVID CLARK: The Combined Pharmaceutical Budget increased from $870.8 million in 2017-18 to $985 million in 2018-19. I have always been clear that the CPB was expanded in Budget 2018 to take account of the expansion of Pharmac's role to include the purchase of all district health board pharmaceuticals. I'm advised that of the $114.2 million uplift $100.7 million related to the expansion of Pharmac's role. The remaining $13.5 million was an increase to the funding available for medicines. That is reflected in the fact that in the most recent year we have figures for an estimated 331000 more people benefited from increased access to medicines including drugs for cancer HIV and hepatitis.Hon Michael Woodhouse: How can he take credit for the 331000 extra patients he just referred to when that is mentioned in the 2017-18 Pharmac annual report and was funded by the previous Government's $60 million boost in medicines funding in Budget 2017?Hon Dr DAVID CLARK: I am celebrating the increase in access to medicines. I thought the member believed in the Pharmac model.Hon Shane Jones: Hear hear—negative.SPEAKER: Order! Order! Can I just say to the Hon Shane Jones that quite a few of us have heard in the media recently about the discovery of a large parrot—extinct. I am a believer in de-extinction but it's a bit soon for that to occur here and I would like him just to stop repeating words that other members are saying.Hon Shane Jones: Speaking sir to your point of order with the greatest spirit of comity am I at a disadvantage because I'm close to your good ear? SPEAKER: Well actually relatively the member is advantaged since I've had hearing aids because I now unfortunately can hear far too much from my left as well. Hon Michael Woodhouse: Isn't it the case that the $10 million increase in medicines funding this year is the only increase by this Government comprising an average annual increase of just 0.5 percent? Hon Dr DAVID CLARK: Again the member is incorrect. The last time there was no increase in funding was under his Government. Hon Michael Woodhouse: Does that answer the question? SPEAKER: Well I think the first few words did—Hon Michael Woodhouse: It does? SPEAKER: Yep. Hon Michael Woodhouse: Why in the face of such strong demand for proven new and innovative medicines was his Government so miserly on medicines funding even this year? Hon Dr DAVID CLARK: I think the member needs to look in the mirror on that one. We have had a significant increase in access to medicines in the last few years. Of course as a Government we are ambitious to do more—there is no question about that—and I am absolutely delighted that just yesterday Pharmac announced that it is consulting on three new drugs to bring out for people suffering: Alectinib to treat non - small cell lung cancer Ocrevus for multiple sclerosis and Kadcyla for advanced breast cancer. This is the strength of the Pharmac model: it means more medicines for more New Zealanders. This Government is determined to invest more in healthcare because we've inherited nine years of neglect and as a Government we are committed to making sure New Zealanders get the healthcare that they need and I believe deserve."