Calls Grow for Financial Support for Medical Students on Placement

Calls Grow for Financial Support for Medical Students on Placement

13 Aug 2026

Students relying on several income sources

Data from Medical Deans Australia and New Zealand, collected since 2014, shows medical students continue to depend heavily on paid work and government support during their studies.

Almost two-thirds of students surveyed use three or more sources of income at the same time.

Around 42.9% said they need both paid employment and government income support to cover their expenses. Fewer than one in four said they need neither.

Medical Deans Vice President Professor Ruth Kearon said students are taking on paid work because they need money for everyday costs such as rent, food and placement expenses.

Thousands of hours of unpaid clinical training

Medical students complete an average of about 3000 hours of compulsory clinical placement during their degree.

These placements are often full-time, making it difficult for students to maintain paid employment while meeting their training requirements.

Medical Deans has described the situation as unsustainable and is calling for financial support to be extended to medical students.

Medical students excluded from Commonwealth Prac Payment

From 1 July 2027, the Commonwealth Prac Payment (CPP) will be expanded to 10 additional allied health disciplines.

Eligible students can receive up to $338.60 per week, subject to a means test, while completing eligible clinical or professional placements.

Medical students are not included in the expansion.

Prime Minister Anthony Albanese said the payment is currently focused on health professions where there are workforce shortages, including nursing, social work, radiography, physiotherapy, occupational therapy and speech pathology.

Calls for equal support

Medical Deans says medicine remains the largest placement-intensive pre-registration health degree that is not covered by the scheme.

The organisation is calling for medical students to become eligible for the CPP, saying financial assistance could help support a sustainable and diverse medical workforce.

Professor Kearon said students from rural and regional areas and those who are the first in their families to attend university can be particularly affected by the financial pressure of unpaid placements.

RACGP President Dr Michael Wright has also criticised the exclusion, saying medical students face a long degree and significant placement commitments.

The NSW Doctors Union has supported the call. ASMOF NSW President Dr Nicholas Spooner said the policy could create an unfair gap between medical students and other health students completing placements in the same hospitals.

He also warned that financial pressure during training could affect who is able to complete a medical degree and contribute to Australia's future doctor workforce. 

Calls Grow for Financial Support for Medical Students on Placement

Source: Medical Deans Australia and New Zealand; RACGP; newsGP; NSW Doctors Union