The Federal Government announced it will invest $3 billion to deliver more beds, more packages and better care for older Australians in the 2026 Budget.
The Government will build on changes to incentivise construction of beds for aged care residents and give providers the certainty they need to build and maintain quality residential accommodation and make Support at Home fairer and more affordable.
The Government will invest $1 billion to change the treatment of personal care services through the Support at Home program, making them free of charge alongside other clinical care.
The Government is also responding to the Independent Review of Residential Aged Care Accommodation Pricing, which provides a considered, evidence-based framework for a sustainable residential care sector that can deliver the accommodation older Australians deserve.
The Budget will respond to the Review’s findings with a package that will deliver an additional 5000 beds a year including:
- New targeted capital subsidies for residential aged care, providing additional funding for supported residents for newly built or refurbished homes;
- An increase to the Accommodation Supplement and structural changes to introduce new tiers, and additional payment for homes with more than 60 per cent supported residents.
The Government will also invest over $200 million for 20 additional Specialist Dementia Care Program units and an expansion of the Hospital to Aged Care Dementia Support Program.
As part of this package, the Government will accelerate the release of and expand access to more Support at Home places, with further details to be released in the Budget.
Further aged care measures will be announced as part of the Budget.
Minister for Aged Care and Seniors, Sam Rae, said when the Aged Care Act commenced, the Government promised it would “keep watching” how the reforms landed to make sure the system was strong and fair enough, to meet the moment.
“Showering, dressing, continence care – these aren’t optional extras,” he said.
“They’re the basics of ageing with dignity, and no older Australian should miss out because of cost.”
