Aged Care

Key points

The Coalition Government is delivering the most significant reform in a generation to improve the care of senior Australians as they age.

Our strong economic management means we can continue to deliver the essential services senior Australians need, and implement the reforms that deliver respect, care and dignity.

Over the next four years, aged care funding will total $130 billion.It will reach a record $34.7 billion in 2025-26, an increase of 161 per cent since Labor was in government.

Our plan for aged care is founded on our detailed response to the Royal Commission into Aged Care Quality and Safety. We are creating a new aged care system by implementing a five-year program covering the 148 recommendations, structured across five pillars and backed by $19.1 billion in additional funding:

1. Home care - $7.7 billion
2. Residential aged care services and sustainability - $8.1 billion
3. Residential aged care quality and safety - $1.5 billion
4. Workforce - $901 million
5. Governance – $918 million

A re-elected Coalition Government will:

• create a new at-home support program to meet the individual needs of senior Australians.
• provide a further 40,000 Home Care Packages, totalling more than 215,000 since 2013.
• implement 24/7 nurses and 215 minutes of direct daily care in residential aged care homes.
• grow the workforce, including 48,800 training places for aged care workers.
• deliver improved nutrition and star ratings, with public reporting on mandatory quality standards, staffing and spending.
• introduce a new Aged Care Act focused on delivering respect, care and dignity for senior Australians.

• deliver $345.7 million for improved medication management services in residential aged care facilities.
• provide $22.1 million for Multidisciplinary Outreach Services to deliver improved clinical care and reduce hospital admissions.
• implement our new Aged Care Workforce Action Plan to grow the aged care workforce.
• invest $14.9 million to support 5,250 clinical placements for Bachelor of Nursing students in the care and support sector.
• invest$20.1 million to transition to a new funding model that better supports the needs of aged care residents, such as those with dementia, and those in regional, rural and remote communities.

A re-elected Coalition Government will:

• invest $558.1 million to cut the PBS General Co-payment from 1 January 2023 by $10, as part of an annual $150 million hip-pocket saving for Australians.
  • The $10 cut per general script means the maximum price Australians will pay for PBS medicines drops from $42.50 down to $32.50, a 24 per cent saving.
  • This is the first time the PBS General Co-payment had been reduced by any Government and it could benefit the more than 19 million Australians without a concession card each year.
  • Reduce the PBS safety net benefiting concession card holders who will need fewer prescription to reach the safety net to be eligible for free medicines

Australia cannot trust Labor to deliver in aged care.

The decision to establish the Royal Commission on 16 September 2018 was one of the very first acts of the Prime Minister.

The Morrison Government called the Royal Commission because the system developed by the previous Labor Government was failing senior Australians. The same Labor Minister is proposed to be the next Aged Care Minister if Labor is elected.

Having failed to respond to the recommendations of the Royal Commission for over a year, Labor’s last-minute response on the eve of the election threatens massive nursing shortages in the aged and health care sector, along with the closure of aged care services, particularly in regional areas.

Labor has ignored the explicit advice and formal recommendations of the Royal Commission regarding the timing of the introduction of the 24/7 nurses. In doing so, Labor would create a nursing shortage across the entire healthcare sector as providers compete for staff, and those who are unable to attract staff, particularly in regional areas where the workforce is already in short supply, will be most at risk of not meeting the requirements.

Our Plan

1. More and better Home Care

The Morrison Government recognises that ageing Australians want to live at home independently for as long as they can.

A re-elected Coalition Government will increase the number of Home Care packages to more than 275,000, including an additional 40,000 in the next year.Through an increased investment and improved management we have already ensured that 99 per cent of people assessed for care have access to support immediately, with high priority cases receiving their full care within a month.

In response to the Royal Commission, we are designing a new at-home support program tailored to a person’s individual needs. This will ensure more appropriate care, including specialist dementia services. It will simplify access to care by bringing together services currently provided through the Commonwealth Home Support Program, Home Care and Short-Term Restorative Care. Senior Australians are involved in designing the program, including through the newly established Council of Elders and National Aged Care Advisory Council.

We are making it simpler for Australians to understand their home care funding with monthly statements, and increased transparency and by driving down administrative costs in line with the Royal Commission’s recommendations.

A re-elected Coalition Government will:

• deliver a new, simplified at-home support program tailored to an individual’s needs so they can live independently at home longer.
• give senior Australians a greater choice in the management of their own care.
• increase Home Care Packages to 275,597 by June 2023 with an investment of $6.5 billion in response to the Royal Commission.
• increase respite care places by 8,400 places each year.
• make aged care specialists available through Services Australia Centres and Community Care Finders so it’s easier for senior Australians to access services.

2. World-class Residential Aged Care

A re-elected Coalition Government will deliver a world-class residential aged care system.

The Government accepts the Royal Commission recommendation for nurses on-site 24/7 and the timing of a phased implementation, with $3.9 billion for the first stage starting in October this year.

We are driving reforms through a new funding model that focuses on the care requirements of residents, and funds the provider to respond to those needs. The Australian National Aged Care Classification (AN-ACC) funding model aligns the care needs of each resident, and increases funding to regional, rural and remote services and those supporting vulnerable groups. The model will be more equitable. And it will be transparent, with the funding subject to an independent assessment. This will also free up staff to provide direct care. An additional $20.1 million will help with the transition, with every facility receiving either the same or increased funding. Facilities will need to report on the level of care, including allied health services.

The quality of nutrition and care is being improved. An additional $3.2 billion has increased the daily basic fee in keeping with the Commission recommendation. Providers must publish financial reports to increase transparency on funding. They must maintain mandatory quality standards and will be subject to a star rating system.

Aged care residents must be able to regularly see visitors, such as family, friends and

members of their community. Personal contact is vital to maintaining social,

emotional and mental well-being, and reducing social isolation and loneliness. Under the new Aged Care Act, the Morrison Government will strengthen the Charter of Aged Care Rights. The Aged Care Quality Standards will also help ensure that providers encourage and enable visitation.

A re-elected Coalition Government will:

• provide $3.9 billion for 200 minutes of direct care and a minimum 16 hours of on-site nursing daily, moving to 215 minutes and 24/7 nurses in 2024 in line with the recommendations of the Royal Commission.
• ensure mandatory standards are included in the new Aged Care Act in 2023.
• deliver a new funding model which independently assesses the care required by a resident to ensure funding aligns with their needs, with additional funding for those with dementia, vulnerable groups and regional, rural and remote facilities.

3. Improving quality and safety

Improved quality care – with a focus on clinical health services – will keep those in aged care healthier and out of hospital.

A $22.1 million investment in clinical health care will deliver Multidisciplinary Outreach Services – providing hospital-led access to specialists and other health practitioners, including allied health professionals, geriatricians and palliative care specialists. This program will be a partnership with the states and territories, and take pressure off public hospitals.

Up to 120,000 additional GP services will be provided through extra funding to support doctors attending residential aged care facilities.

The safety of senior Australians will be improved with the extension of the Serious Incident Response Scheme to home and community care.

The Aged Care Quality and Safety Commissioner will extend its checks on facilities to be the “tough cop on the beat”, ensuring quality and safety standards are met with additional civil penalties being added to the new Aged Care Act, in line with the Royal Commission recommendations..

A re-elected Coalition Government will deliver:

• $1.5 billion to improve the quality of care and keep senior Australians safe, including $347.5 million to improve medication management and safety for aged care residents through on-site pharmacists and community pharmacy services in response to the Royal Commission recommendation.
• better connections between specialists, GPs and aged care facilities to improve the health of residents and reduce hospital admissions.
• improved care for people with dementia through increased staff training and support services.
• $21.6 million additional funding for the Aged Care Quality and Safety Commission to undertake quality audits.
• new clinical care standards to be developed by the Australian Commission on Safety and Quality in Health Care.

4. A stronger aged care workforce

The Coalition is investing $901 million to better train, retain and increase the aged care workforce.

We have released the Aged Care Workforce Action Plan 2022-2025 to create a world-class aged care workforce that puts senior Australians first, by:

• Increasing the number of workers.
• Upskilling staff in areas such as dementia and palliative care.
• Supporting aged care providers to build their workforce, particularly to meet the needs of diverse communities.

Our plan complements the National Care and Support Workforce Strategy, the A Matter of Care: Australia’s Aged Care Workforce Strategy, and the work of the Aged Care Workforce Advisory Council.

More than 48,000 training places are being provided to increase the number of workers and the quality of training.

We have acknowledged the commitment of staff during the pandemic, delivering over $600 million in bonus wage payments.

To meet the requirement for 24/7 nurses, we are investing in:

• Aged Care Registered Nurses’ Payments$148.7 million providing financial incentives for registered nurses to join the sector, with extra bonuses in rural and remote areas.
• Transition to Practice Program.
• Aged care nurse and allied health dementia care scholarships.
• A $14.8 million clinical placements program for nurses in residential aged care settings.

The Home Care Workforce Support program will train 13,000 new workers in home care skills.

A new $34 million Centre for Growth and Translational Research at Flinders University will help ensure vital research leads to tangible outcomes for the aged care sector.

The research will support increased workforce capacity and capability, and improved models of care, care quality, productivity and commercialisation.

The establishment of the Centre is in response to Australia’s Aged Care Workforce Strategy and supported by the Australian Government’s response to the Royal Commission into Aged Care Quality and Safety.

A re-elected Coalition Government will deliver:

• 48,000 more training places for aged care workers.
• 13,000 new personal care workers.
• support for an additional 5,250 clinical placements of nurses, plus additional nursing payments and scholarships.
• training for around 2,000 aged care staff in palliative care and 3,200 personal care workers in advanced dementia training.
• $6.9 million for a national Co-operative and Mutual Enterprises Support Program, to encourage people to enter the workforce.

5. Governance

The Morrison Government has invested $918 million to improve the governance of the aged care sector.

A new Aged Care Act is being developed which will underpin the once-in-a-generation reform and protect the rights of senior Australians, ensuring respect, care and dignity.

A new National Advisory Council on Aged Care will support the implementation of the reforms, with a new Council of Elders to ensure the voice of senior Australians is heard. There will also be key representation on dementia and nutrition.

More than $630 million is being provided to improve the management and access to services in regional, rural and remote areas, including those with First Nations backgrounds and special needs groups.

A Business Advisory Service has been established to improve the governance and financial management of facilities, backed by $100 million through the Business Improvement Fund.

Our Record

Since 2013, Coalition Government funding for aged care has more than doubled.

Home Care places have increased by 520 per cent under the Coalition from 60,000 in 2012-13 to 275,600 by June 2023

Since the 2018-19 Budget, the Morrison Government has invested a record $11.9 billion in new funding to deliver an additional 163,105 Home Care Packages. This includes the 80,000 additional Home Care Packages ($6.5 billion) in the 2021-22 Budget.

Our record demonstrates our significant support for ageing Australians wishing to live independently at home for as long as possible.

We’ve listened to the experiences of Australians who gave evidence to the Royal Commission into Aged Care Quality and Safety.

We’re taking decisive action on the recommendations with reforms to deliver vital services and improved quality, care and viability in aged care.

Our record $19.1 billion response to the 148 recommendations of the Royal Commission is the biggest-ever investment in aged care.

We have achieved a 32 per cent increase in the number of direct care workers in residential care, improved nutrition through the Basic Daily Fee supplement, expanded the National Aged Care Advocacy Program and improved access to quality aged care services in rural and remote areas.

The Morrison Government has addressed serious concerns around the use of restraint practices in aged care homes. New rules came into force on 1 July 2021.

Australians have just come through a once-in-a-generation pandemic. It has been tough, especially for vulnerable senior Australians.

But we should be rightfully proud that Australia is one of the few countries to emerge stronger. Together, we’ve saved tens of thousands of lives.

Our vaccination rates are among the highest in the world, with 99 per cent of Australians aged 50 and older fully vaccinated. Vaccination, along with improved infection control training, provision of PPE and antivirals, have all reduced the impact on aged care residents

International comparisons

During the COVID-19 pandemic, no country has been able to avoid outbreaks or deaths in residential aged care when there has been widespread community transmission.

The Australian death rate is 0.96 per cent (9.6 in 1,000) against the total number of residential aged care beds across the country. By comparison, Canada has experienced over 8 times the number of deaths in care homes than Australia as at 22 April 2022.

As of 13 April 2022, Canada has reported 38,044 deaths. This includes 16,780 deaths at residential care homes (or 44 per cent).

The Risk of Labor

Cost

Funding for the Coalition’s Plan for Aged Care is already provided for within budget estimates.