Prime Minister Tony Abbott has dropped his bid to make Australians come up with a A$7 copay at the doctors’ office.  But he’s still planning to cut medicare payments to doctors in a way that would prompt them to pass it along to John and Jane Citizen.

"There will be no change to bulk billing for children under 16, for pensioners, for veterans, for people in nursing homes and other aged care institutions," Mr Abbott said.

But Abbott wants to gut the medicare rebate by five dollars, and is inviting doctors to recover it with a A$5 “discretionary” fee passed on to adult patients who are non-concession card holders.  It would take effect from 1 July.  Children under 16, pensioners, veterans and people in aged care and nursing homes will be exempt.