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What the ‘aged care Budget’ will mean for you

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All eyes were on the Federal Budget this week as the Morrison Government released its response to the Aged Care Royal Commission.

After reports that the Government would only offer an extra $10 billion over four years, Treasurer Josh Frydenberg unveiled a $17.7 billion package aimed at delivering a ‘once in a generation change’ to Australia’s aged care system.

Separately, the Government released its full response to the Royal Commission which you can read here.

The 102-page report reveals the Government has committed to take up in full or in part 126 of the Commissioners’ 148 recommendations – with another 12 to be further considered and six not accepted.

Most importantly, the politicians have promised a five-year timeline for reform based on five key pillars:

  • home care,
  • residential aged care services and sustainability,
  • residential aged care quality and safety,
  • workforce; and
  • governance.

The $17.7 billion package is the biggest single Government investment in aged care – and the largest response to a Royal Commission in Australian history.

It will raise the Government’s aged care expenditure to around $25 billion – up from $20 billion – in five years’ time.

The funding is also being directed towards a number of key areas, including:

  • 80,000 Home Care Packages – 40,000 released in 2021–22 and 40,000 in 2022–23, for a total of 275,000 packages in the system by June 2023,
  • Aged care ‘navigators’ to provide more support and face-to-face services to older Australians accessing the system,
  • A mandatory 200 minutes per day of frontline care (care minutes) delivered to aged care residents, including 40 minutes with a registered nurse,
  • Stronger powers for the aged care regulator, the Aged Care Quality and Safety Commission (ACQSC),
  • A new star rating system to help consumers review and compare aged care homes,
  • a statutory duty of care for aged care providers,
  • Upskilling for existing aged care workers and training places for new staff, and
  • A new Aged Care Act to ensure people receiving aged care services have their rights respected.

The money is still below the $10 billion a year that was forecast to be needed – but it is the first step towards improving aged care services for all Australians.

A practising aged care physiotherapist for the past 13 years, Jill has worked in more than 50 metropolitan and regional aged care homes. She has also toured care facilities across the US and Africa. She is a passionate advocate for both the residents in aged care and the staff that serve them.


Discussion2 Comments

  1. Anton Hutchinson

    Still no information on how wage increases or additional hours will be funded. The $10 per day is a soggy bandaid. The 17.7 million over four years is significantly less than the $10 billion per year recommended by the Royal Commission.
    No great surprise that the government that broke residential care is reluctant to fix it.
    Let’s hope Labour puts up a detailed plan before the next election because senior Australians and their carers deserve better.

  2. Please, please spare me the B/S. Along with the P. R. from the Government it is almost overwhelming.
    I had worked at the “coal face” of age care for decades. In that time there were reviews, commissions, adjustments, in depth consultations, spot checks etc. etc. Money, like this occasion, was thrown at the problems. Somehow most of this funding ended up in new public service appointments, creating new management boards that were just as ineffective. At least in my day we received in-house training, especially re: dementia units.
    Not mandatory these days.
    Wages are still so low as to encourage anyone to apply. Without migrant workers where would the industry be. Given the nature of the job, the responsibilities, I despair at what our elderly will have to endure in some cases.
    Shame on us, from our leaders down… Is this how we say
    Thank you.

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