NSW “devises own plan” for aged care in State Budget
- NSW invests: $35.7m for hospital discharge support
- Patients stranded: 1,300 await aged care services
- Queensland expands: 34 new interim care beds
- Funding dispute: States pressure Commonwealth on aged care
The NSW and Queensland Budgets have again shone a spotlight on the unresolved question of who should fund hospital-to-aged care transition care.
The NSW Budget included $35.7 million over two years for interim aged care and allied health to help older people transition out of hospital while they wait for Federally funded aged care services.
The funding includes:
- $15 million for interim aged care placements (up to 300 placements per year)
- $13 million for interim at home care supports (up to 100 patients per year)
- $7.3 million for allied health early intervention and supported discharge (more than 300 patients per year)
NSW Health Minister Ryan Park said: “Every day, around 1,300 patients are unable to leave our hospitals because they are waiting for a Commonwealth aged care or NDIS placement.

“This is not good for patients and it is not good for the system. They deserve better.
“The growth in the number of stranded Commonwealth aged care patients in our health system is unsustainable, and the Commonwealth has left the NSW Government with no choice but to devise its own plan."
The Minister emphasised that “this is by no means a signal to the Commonwealth that they are relieved of their responsibility to deliver aged care placements.”
Not For Profit aged care provider Catholic Healthcare has welcomed the investment.
“Catholic Healthcare has been advocating to both State and Federal Governments for innovative solutions that support timely hospital discharge while maintaining independence and wellbeing,” a Catholic Healthcare spokesperson told The Weekly SOURCE.
Catholic Healthcare has shared its Hospital-to-Home model with the Government as a practical solution to help address delayed hospital discharges and reduce pressure on the health system. The model provides wraparound support for older people leaving hospital, including overnight care, transport, allied health, reablement services and social connection programs.
The approach can be implemented quickly while supporting older people to recover safely and maintain their independence at home.
“We look forward to working with government to explore solutions that complement residential aged care and provide older Australians with greater choice in how and where they receive care following a hospital stay,” the spokesperson said.
The Queensland Budget was also handed down this week, with $11.6 million for an additional 34 interim care beds in the Wide Bay Hospital and Health Service, about 200km north of Brisbane.
The funding is aimed at supporting improved hospital patient flow and reducing delayed discharge.