Up to $3 billion in taxpayer money lost to Medicare fraud and non-compliance annually, government review finds

The review was prompted by a joint investigation from the ABC's 7.30 program and Nine newspapers. (AAP: Tracey Nearmy)

Between $1.5 billion to $3 billion is being lost to Medicare fraud and non-compliance every year, according to an independent review that warns the overly-complex system is out of date and risks bleeding more taxpayer money. 

The federal government on Tuesday released the long-awaited review into Medicare fraud and non-compliance, led by health economist Pradeep Philip.