An Ozempic-like medication is set to be listed on the Pharmaceutical Benefits Scheme shortly, saving patients with "severe" obesity and cardiovascular disease thousands of dollars even as the government warns it will lump taxpayers with a "very big bill". 

Health Minister Mark Butler has committed to listing weight loss drug Wegovy on the PBS for patients with an "established cardiovascular disease", such as someone who's had a heart attack or stroke, and has a BMI of 35 or higher, as recommended by the Pharmaceutical Benefits Advisory Committee (PBAC) late last year.

Wegovy is a glucagon-like peptide-1 (GLP-1) medication similar to Ozempic, that helps to suppress the user's appetite, leading to weight loss.

"Right now, more than 400,000 Australians are paying market prices for one of the GLP-1s, and that is as much as $4,000 or $5,000 a year, which is obviously beyond the means of many Australians," Mr Butler said on Friday.

"This is not just a health issue for us, it's also an equity issue."

Based on data from 2022, 13 per cent of Australian adults have "severe obesity", which is classified as having a BMI of 35 or greater.

While there is no clear timeline for when the drug will be listed; once it is, the price will be dramatically slashed for eligible patients.

Mark Butler says access to the drugs is an "equity issue". (ABC News: Rebecca Trigger)

Under changes that took effect on January 1, PBS medications have been reduced to $25 per script and $7.70 for concession card holders.

But on the flip side, Mr Butler said subsidising the medication would have a "very big bill for taxpayers". 

His office refused to provide even a ballpark figure for just how significant the cost would be when asked. The government said it would have a clearer idea when it begins negotiating the price with manufacturer Novo Nordisk shortly.

In its advice published in December, PBAC noted there was a "significant risk" that people who did not meet the two criteria — and particularly those who met one threshold but not the other — would seek access to the subsidised drugs and therefore that a "risk sharing arrangement" with the company would be needed to manage the cost to the government.

Mark Mellor, the lead clinician at Perth Weight Clinic, said the criteria was "deliberately narrow" to avoid a cost blow-out.

Dr Mellor said the drug was particularly beneficial to the two nominated categories of people because not only did it treat weight loss, but would help to prevent future cardiovascular issues too and save lives.

"To help prevent them from having another cardiovascular event or dying from cardiovascular disease," Dr Mellor said.