The Australian Government this morning announced Round 3 of the Aged Care Capital Assistance Program with grants worth $300 million delivering 315 new or reopened beds, well short of the estimated 10,000 beds needed annually to meet rising demand from Baby Boomers.
The latest round of Aged Care Capital Assistance Program grants was aimed at improving access to residential aged care and building staff accommodation in regional, rural and remote locations.
The largest - a grant of more than $50 million - has gone to Southern Cross Care (QLD) to build a new 94-bed residential care home in Broken Hill.
The Catholic Not For Profit took over the operations of Southern Cross Care Broken Hill in June 2025 including the operations of five aged care homes: Aruma Lodge Residential Care, Broken Hill; Harold Williams Home, Broken Hill; St Anne’s Nursing Home, Broken Hill; and Oasis Aged Care, Mildura.
Victoria received the highest number of grants, 16, while NSW received the most funding, with nine grants worth a total $78 million. Round 2 created an estimated 400 new aged care beds.
View the full list of grants online here.
Though the Government has funded hundreds of programs through these grants, the process is highly competitive, and some choose to give up after applying and being knocked back multiple times.
Going forward, the Government has allocated $966.5 million for the grant program over four years to 30 June 2028, and from 2028-29, has committed to making "at least" $161 million available annually under the grant program.
The Government also announced it will release an Expression of Interest process in October to find a provider for the 120-bed aged care bed in Darwin, a $60 million promise made during the election campaign.
