The Federal Health Minister has slammed the maker of Panadol Osteo for its plans to raise the price of the popular painkiller by 50 per cent, and has urged the ACCC to investigate.

Earlier this month, pharmaceutical giant GlaxoSmithKline told its wholesalers it would lift its prices for Panadol Osteo by 50 per cent on January 1. If pharmacies pass on the full price rise, consumers will have to pay $7.50 a box.

It blamed the price rise on the changes to the Pharmaceutical Benefits Scheme, which will see the government stop subsidising medications that can be purchased cheaply over-the-counter in the New Year.

"In moving to an over-the-counter business model, GlaxoSmithKline is no longer able to sustain its current pricing of Panadol Osteo," the letter to its wholesalers said.