Researchers say fees-free prescriptions would save millions of dollars in hospital costs and are calling on the Government to retain the zero fees policy.
The research, conducted by Victoria University of Wellington and released by the New Zealand Medical Journal, found people who don't collect prescriptions due to cost are 34 percent more likely to go to hospital within the year than those who were able to afford their medication.
They found costs estimated to be a whopping $32.4 million per year.
The previous Labour Government scrapped the $5 prescription fee, however, the National Party said it would bring back the charges for those who could afford them. The additional money saved would then be funnelled into cancer drugs.
The authors of the study say any revenue to the health system from reinstating prescription co-payments may be offset by the costs associated with avoidable hospitalisations.
"Our study linked two databases; one where people told us whether they had not collected a prescription due to cost in the last year, and one of all hospitalisations," a statement read.
They found people who had a cost barrier to getting a prescription were more likely to go to hospital sooner than others, with results from 71,500 respondents showing 8.2 percent hadn't collected a prescription due to cost in the previous year.
"Among people who faced a cost barrier, 60 percent were admitted to hospital during the study period, compared to 43.9 percent of those who did not."
"Having adjusted for socio-demographic variables, people who faced a cost barrier were 34% more likely to be admitted to hospital that those who did not.
"We urge the Government that now is the time for the zero fees policy to be retained."
In December last year, a Talbot Mills Poll found 86 percent of New Zealanders supported keeping fees off prescriptions.
The poll found free-for-all is "one of the most popular policies ever" with a wide range of support from supporters of the Coalition Government.
Of the overall results, it found 76 percent of National voters, 75 percent of ACT voters, and 92 percent of New Zealand First voters were in favour of keeping free prescriptions.
