Tuesday’s budget provided a billion-dollar spend to lift the wages of more than 250,000 aged care workers but flagged a future decline in spending towards residential care.
This week, Prime Minister Anthony Albanese and Treasurer Jim Chalmers handed down Labor’s second federal budget
The government announced it will increase spending on aged care from $32.7bn this financial year, which will rise to about $40bn by 2027.
Budget figures showed a drop in government-funded aged-care places from 78 per 1,000 people aged over 70 to 60.1.
An additional $167m was put towards funding a further 9,500 in-home care packages.
The government said the move “reflects the increasing preference of older Australians to remain in their own homes”.
Budget papers confirmed that the Support at Home Program, initially scheduled to kick in 1 July this year, has been further delayed until 2025.
The government said the decision was based off sector feedback.
Older Persons Advocacy Network chief Craig Gear said the delay risks "perpetuating the service gaps that older people are currently experiencing."
“Adequate care at home is what older people deserve, and they shouldn’t have to wait for it," he said.
The government has allocated $81.9m over three years to design and develop a new Aged Care Act.
Other budget measures include $309.9m to strengthen industry regulation, $139.9m to bolster the Aged Care Ratings system and $59.5m to establish a national worker registration scheme.
The Aged Care Quality and Safety commission will receive $25.3m to improve its audit and compliance program.
About $77m will go towards providing culturally-safe services for First Nations elders in aged care and $1.6m to fund an interim First Nations Aged Care Commissioner.
An additional $12.9m will go towards nutrition and $25.3m for a preliminary report on the capability review of the Aged Care Quality and Safety Commission.
The highly-anticipated pay rise for aged care staff, announced last week, will cost the government $11.3bn over four years.
Registered nurses working in aged care will see their yearly salaries increase by more than $10,000 under the changes, which are due July 1.
“The message from our government to the aged care workers of Australia is very simple: you deserve every cent," the treasurer said in his budget speech.
Other budget items include $98.7m over two years to support the viability of providers operating in rural and remote areas and $487m to extend the Disability Support for Older Australians program.
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About time Registered Nurses in aged care got a wage increase. But will it match the wages of Registered Nurses in acute care and other specialty areas? Ask the ANMF SA
I get nothing even though I work in aged care facility in Randwick where I deal with residents all day long and their families, thier individual needs and requests, I deal with dementia, lockdowns and complete courses in all expects of care all year round and my award description is “care service employee G1”
NOTHING