Medical students across Australia have raised concerns after being excluded from the expanded Commonwealth Prac Payment program, despite completing thousands of hours of compulsory unpaid clinical placements as part of their training.
The federal government recently announced an expansion of the Commonwealth Prac Payment, extending financial support to students studying additional allied health professions. The program will provide eligible students with up to $338.60 per week during mandatory placement periods, but medical students will not be included in the expansion.
The decision has drawn criticism from medical student organisations and healthcare advocates, who argue that medical degrees involve some of the longest and most demanding placement requirements in the education system. Many medical students complete between 2,000 and 4,000 hours of clinical training, often while reducing their ability to work paid jobs.
Robert Davies, a University of New England medical student who moved from Sydney to Armidale to study medicine, said balancing study, placement commitments and living costs was becoming increasingly difficult. With long weekly placement schedules, many students struggle to maintain employment while meeting course requirements.
The Australian Medical Students’ Association said excluding medical students could create barriers for people from lower-income backgrounds who want to become doctors. The organisation warned that financial pressure may discourage talented students from pursuing medicine, particularly those who cannot rely on family support.
Healthcare groups have also highlighted the impact on regional and rural communities. The Australian Medical Association said financial support for medical students could help encourage more people to complete rural placements and eventually work in areas experiencing doctor shortages.
The government has defended the decision, saying the expansion is targeted at professions where there are significant workforce shortages. Prime Minister Anthony Albanese said medical degrees already attract many applicants, while the new funding was focused on areas needing more workers.
From July 2027, the expanded Commonwealth Prac Payment will support eligible students studying ten additional frontline health disciplines, including physiotherapy, clinical psychology, occupational therapy, speech pathology, paramedicine, radiography, pharmacy, rehabilitation therapies, audiology and podiatry.
The payment currently supports eligible teaching, nursing, midwifery and social work students during mandatory placements. The government says the program is designed to reduce financial pressure and help students complete training needed for Australia’s future workforce.
However, medical students argue that their exclusion sends a message that their training is less financially challenging despite the significant time commitment required. Many students undertaking rural placements also face additional expenses such as accommodation, travel, fuel and food costs while away from home.
The debate comes as Australia continues to address healthcare workforce shortages, particularly in regional and remote communities. Medical organisations say supporting students during training could be an important step in improving future access to doctors.
Advocates have called on the federal government to reconsider the decision and include medical students in future expansions of the Commonwealth Prac Payment scheme.
