Budget invests in care for older Australians, though shortfalls remain

Speaking on behalf of all aged care providers, ACCPA has welcomed the Budget’s $3.9 billion investment in caring for older Australians while acknowledging that decades of underfunding will take time to fix.

The Budget allocates $2.5 billion of funding for the Government’s election commitments to increase residential care staffing minutes and require 24/7 nurse coverage. It also provides $1.4 billion for other measures including continued funding for COVID-19, implementation of an Aged Care Complaints Commissioner and Inspector-General of Aged Care, as well as investments to help prepare the ground for major reforms to home care.

ACCPA has previously welcomed the Government’s commitment to fully fund the additional wage costs that come from the work value case, which is not included as a separate budget measure because the case has not yet been decided by the Fair Work Commission.

ACCPA’s inaugural CEO Tom Symondson said:

“The $3.9 billion for aged care measures included in this Budget represent an important step along the road to fixing Australia’s aged care system and realising the vision set out by the Royal Commission.

“We also look forward to further investment in the coming months as Government delivers on its commitment to fund the outcomes of the Fair Work Commission work value case, and the inaugural recommendations of the Independent Health and Aged Care Pricing Authority which should take us further down the road of recognising the true cost of delivering high quality aged care services to older Australians.

“There’s no denying the incredible pressure facing the aged care sector, including workforce shortages, the ongoing spectre of COVID-19, and the legacy of decades of underfunding.

“Figures released this month by accounting firm StewartBrown show that over the past five years the cost to provide residential care has been almost $3.8 billion more than has been provided in funding from Government.

“And the pressure is not just financial – we have welcomed funding for additional care minutes but there is no escaping the fact that it requires us to recruit thousands of extra staff in the context of record low unemployment and a global shortage of nurses.

“To give older Australians the care they deserve, Government and providers need to work together to fix current funding shortages and workforce shortfalls.

“We are already having positive conversations with Government about these issues and look forward to working closely together in the lead up to the 2023-24 Budget in May.”

Media contacts: Kate Hannon 0499 106 957 or Jane Garcia (Essential) 0455 111 593

About Aged & Community Care Providers Association:

The Aged & Community Care Providers Association (ACCPA) is the national organisation representing all providers of aged care to older Australians, delivering retirement living, seniors housing, residential care, home care, community care and related services.