Delivering a fair and responsive aged care system

Fair and responsive residential and in-home aged care begins with services that meet the needs of older Australians.

Quality residential care older Australians can trust

The Australian Government introduced the Australian National Aged Care Classification (AN-ACC) funding model on 1 October 2022. The model provides more equitable funding to match residents’ needs with the costs of delivering care, including those living in regional, rural and remote areas.

Residential aged care providers will have support to adjust to the new funding model and ensure residents continue to receive high quality personal and clinical care.

AN-ACC Transition Fund - $43.8 million over 3 years.

In-home aged care that will meet changing needs

Caps on excessive home care package fees

Many older Australians are spending too much on administration and care management fees under the Home Care Packages (HCP) program.

To make costs fairer for recipients, the Government will introduce price caps for administration and management charges, and ban exit fees. By lowering these fees, older Australians will have more funding to dedicate to their home care needs.

Design a new in-home aged care program

We are committed to improving the standard of in-home aged care to better respond to the needs of older Australians.

We are investing in further research and consultation to design a new in-home aged care program that is fair for both older Australians and providers.

This research includes a:

  • trial of the new aged care assessment tool
  • costing study by the Independent Health and Aged Care Pricing Authority
  • new Service List Advisory Body to advise which services should be subsidised.

The new Support at Home Program will replace current in-home care programs from 1 July 2024. Existing in-home aged care programs will continue until this time. This includes a twelve month extension to the Commonwealth Home Support Programme.

Research and consultation for reforms to in-home aged care - $23.1 million over 12 months.

Harnessing local knowledge

Aged care services should reflect the communities they operate in, and be supported to deliver local solutions that work for their community.

The Royal Commission into Aged Care Quality and Safety recommended that we be present outside capital cities, to make sure aged care services respond to the needs of older Australians living in regional and rural locations.

We will expand our network of regional stewards to establish a regional presence in every state and territory. This network improves service delivery by identifying issues and implementing solutions based on local knowledge and connections.

Strengthening Regional Stewardship of Aged Care - $68.5 million over 4 years.

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