Medicare fraud and non-compliance costing taxpayers up to $3bn, review finds

‘We must focus on the structural issues and controls in the system, to build trust in Medicare and materially reduce non-compliance and fraud,’ Dr Pradeep Philip writes in his government-commissioned review. Photograph: Dave Hunt/AAP

Medicare fraud and non-compliance by doctors is costing taxpayers between $1.5bn and $3bn a year, a conservative estimate that will only increase without system reforms, according to a government-commissioned independent review.

The review into Medicare compliance, led by health economist Dr Pradeep Philip, was commissioned following ongoing concerns about waste and wrongful billing practices.