National expenditure on public health activities has remained constant at about 1.8 per cent of total health spending over the last 7 years, according to a report released today by the Australian Institute of Health and Welfare (AIHW).

The report, National public health expenditure report 2005-06, shows that Australian health departments spent approximately $1.5 billion or $71 per person on public health activities in 2005-06.

John Goss, Head of the Expenditure and Economics Unit, said, 'The highest expenditure in 2005-06 was on organised immunisation ($321 million or 22 per cent), followed by Selected health promotion ($252 million or 17 per cent) and Communicable disease control ($248 million or 17 per cent).

'From 1999-00 to 2005-06, taking inflation into account, growth in expenditure on public health activities was in line with growth in overall health spending with an average increase of 4.5 per cent per year,' he said.

The public health activities with the highest average annual growth rates were organised immunisation (9.5 per cent), Public health research (7.4 per cent) and Communicable disease control (4.8 per cent).

Between 2004-05 and 2005-06 the amount spent on public health fell by 2.3 per cent after taking inflation into account.

'This decline is mainly attributable to reductions in expenditure on organised immunisation (down 9.1 per cent) and Prevention of hazardous and harmful drug use (down 12.8 per cent),' Mr Goss said.

'The reduction in spending on organised immunisation in 2005-06 reflects the typical trend in immunisation expenditure in years following the introduction of new vaccines. In 2004-05 there was a significant jump of 21.7 per cent to fund the introduction of two new pneumococcal vaccination programs,' he said.

The main reason for the decline in 2005-06 on spending for Prevention of hazardous and harmful drug use was the fulfilment the previous year of a four-year Australian Government grant given to establish the Alcohol Education and Rehabilitation Foundation.

The Australian Government provided $797 million or 54.3 per cent of the funding for public health activities in 2005-06. Of this, $439 million was funding for its own programs and $357 million was provided to state and territory governments through specific purpose payments to fund activities for which the states and territories were responsible.