Changes to the proposed GP co-payment

Prime Minister Tony Abbott and Health Minister Peter Dutton have announced the original proposal to force patients to pay an extra $7 fee for GP visits had been scrapped.

However, their new proposal cuts the Medicare rebate given to doctors by $5 and give doctors the option to charge the patient the shortfall, putting both GPs and patients in an uncomfortable positon..

Mr Abbott has said; "The proposal we've now put forward is a better proposal than the one we brought forward on budget night."

Under the new proposal 8 million patients, including children, pensioners, veterans, nursing home residents and others with concession cards would be exempt. The co-payment on pathology and diagnostic imaging services has been dropped.

Doctors have reacted angrily to the news, accusing the Government of creating a two-tiered health system. The Australian Medical Association's (AMA) Dr Brian Moreton said most GPs would probably charge patients more.