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Green shoots for aged care co-contributions: Federal Government invests $400K to explore increased and fair consumer payments

2 min read

Last night, The Australian revealed that the Government commissioned political consultants Kantar Public Australia back in February to look into consumer co-contributions to the cost of aged care.

Tender research reveals the $396,000 contract ran from 16 February 2023 to 7 April 2023.

A spokesperson for the Department of Health and Aged Care told The Weekly SOURCE this morning that the purpose of the research is to “understand current and future consumers’ knowledge of the policies relevant to the funding of aged care services.”

The Department says it is reviewing the findings.

March optimism

At this year’s LEADERS SUMMIT in March, Minister for Aged Care Anika Wells stood up and urged the audience to be optimistic for the future of aged care.

She explained there were things proceeding behind the scenes.

Yesterday the Minister for Health and Aged Care, Mark Butler, confirmed that the Government was looking to ensure a sustainable mix between the taxpayer and the private consumer in a speech to the National Press Club.

“We have to make sure we spend the money right, that we get … a sustainable mix about who is funding this,” he said. “That is something we are giving consideration to now.”

73% of voters support concept

New research released yesterday as well by CompliSpace has found that 73% of Australians would be prepared to forego their inheritance so older Australians could receive safe high-quality care.

Both Minister Wells and Prime Minister Anthony Albanese have said they are ambitious for aged care – does that ambition extend to driving this conversation?

Two weeks ago, Treasurer Dr Jim Chalmers and Minister Wells also released figures showing the aged care budget is on track to blow out by $5 billion this year.

With defence and disability among the portfolios vying for taxpayers’ funds, aged care is one area of expenditure where there is room for private consumers to help foot the bill.

With less than a week out to the Federal Budget, this news may give aged care providers cause for hope.

The policy work on the Budget is done months in advance so it is unlikely that there will be significant changes on 9 May, but it does appear there are green shoots of optimism for new funding avenues for residential and home care.

Watch this space.